An integral part of Durham’s dining scene, the seasoned Chinese eatery, Neo-China, shuts its doors after running for more than three decades. A family enterprise through and through, the establishment faced an uphill battle as soaring prices of inventory became a pressing concern. This sudden surge in prices was catalyzed by the imposing of a 145% tariff on Chinese products by the United States in April of this year.
Post this increase, the ensuing trade war has seen some cooling off, demonstrated by a temporary 90-day cessation put on a tariff, which was subsequently scaled back to 30%. However, uncertainty started brewing again as the U.S. Court of International Trade recently obstructed President Donald Trump’s endeavor to slap comprehensive tariffs on foreign merchandise. This decision was rapidly tailed by a ruling from the court of appeals, granting the president the right to persist with tariffs through an emergency powers legislation.
Owners of smaller businesses, like Jordan Wang of Neo-China, are caught in this cyclical wave of frustration and confusion. The ordeal through the period of tariff imposition and the ensuing uncertainty about the future dynamics of U.S. – China relations has left them in a tough spot. Wang lamented, ‘The economic bedlam this year and the tariffs are the final straw that broke the camel’s back.’
Wang, who was already encountering escalating costs tied to managing an older restaurant, said, ‘An existing route, which might be fraught with hardships and constant adaptations to bounce back, has now disappeared. We are left grappling to deal with an unpredictable future.’ He noted that, although the prices of Chinese imports have somewhat plateaued, the maintained costs threaten the existence of his business.
Neo-China, a business operating on razor-thin margins, struggles to find alternatives to its key ingredients including specific varieties of Chinese soy sauces. Wang ultimately found himself caught in a position where he was forced to sell the very business that his family built over several years, recognising that the sustenance of the business amid these costs was untenable.
Yet, a glimmer of hope remains for the location that once housed Neo-China. Post-acquiring the restaurant from his family, Jordan Wang had ambitions of restoring Neo-China to its former glory. However, circumstances led him to sell it to a organization that owns Asia Pot in Raleigh. With their partnership, they plan to establish a brand-new eatery that they hope will gain traction among the younger audience.
Wang believes that the spirit of Neo-China will live on through the new venture. He commented ‘The reimagined project will present a different facade, a changed wrapping. There will be a total revamp of the menu and a determination to place this establishment back in the spotlight, just as I initially intended.’
The vision that Wang shares for the new enterprise paints a nostalgic image. He aims for the new project to resurrect Neo-China’s golden era from the 90s and the early 2000s, when the restaurant was at the peak of its popularity.
Despite these optimistic projections, Wang understands that the path ahead won’t be devoid of obstacles. Issues emanating from the ongoing trade war between the U.S. and China are expected to pose challenges for the new establishment. However, he says that being part of a restaurant group would soften the blow of these costs.
The wheels for the construction of this fresh restaurant concept are set to be in motion immediately after the closure of Neo-China. With an anticipated reopening in August, the timing has been strategized to coincide with the return of students to campus for the forthcoming academic year.
The post Decades-Old Chinese Restaurant in Durham Closes Its Doors appeared first on Real News Now.
About Author
