economy - The trend to leave China

While the world is still in the middle of another China hype and moving manufactering operations to this workplace of the world, it is good to signal also an opposite trend. Yesterday I talked with the manager of a major manufactering operation in Dongguan, Guangdong province, and he is actually thinking of moving his operation to Malaysia.
What are his arguments. First, he has a problem with the quality in China. Because of the huge demand from the world, Chinese companies have no incentive anymore to improve their quality, since they will sell anyway. Production costs are going up, including the salaries, making his part of China no longer competitive with other Asian countries. Thirdly, he expects a political backlash from both the US and Europe against products from China, WTO or no WTO. "I want to be save with my products," he says, "and assemble them in Malaysia." A part might still come from China, but it might not be that important anymore.