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Microsoft asks hundreds of China-based staff to consider relocation: Report

Microsoft asks hundreds of China-based staff to consider relocation: Report

Microsoft is reportedly asking about 700 to 800 of its China-based staff in cloud-computing and AI operations to consider relocating to other countries amidst escalating US-China trade tensions. The employees, mostly Chinese nationals, have been offered the option to transfer to countries including the U.S., Ireland, Australia, and New Zealand.

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Microsoft has reportedly requested approximately 700 to 800 of its China-based employees, predominantly engineers of Chinese nationality, to consider relocating to other countries, according to a report by WSJ.

This request has been made in the wake of escalating US-China tensions, with the Biden administration imposing restrictions on several sectors of Chinese imports. 

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The employees have been offered an option to transfer to countries including the US, Ireland, Australia, and New Zealand. Despite the potential relocations, a Microsoft spokesperson, cited in the report, has confirmed the company's commitment to the region and its intention to continue operations in China.

President Joe Biden declared significant tariff increases on various Chinese imports on Tuesday. The affected products include electric vehicle (EV) batteries, EVs themselves, semiconductors, solar cells, and a range of medical equipment such as face masks, medical gloves, syringes, and needles.

The American tech giant Microsoft has had a presence in China for more than 20 years, entering the market in 1992. The company's largest R&D centre outside US is in China. 

China has responded cautiously to the US decision to increase tariffs on $18 billion worth of Chinese goods, ranging from syringes to batteries. China criticised the Biden administration's actions and promised to take "resolute measures" to defend its interests. 

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Published on: May 16, 2024, 10:45 AM IST
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