Trump tariffs seen lowering Chinese firms' US investment plans
A China General Chamber of Commerce – USA survey released Monday showed half of Chinese companies operating in the United States plan to shift emphasis away from investments in the country in light of Trump administration tariff policies.
The business group conducted the survey of almost 100 Chinese enterprises operating in the US in March and April, finishing shortly before US President Donald Trump's so-called 'reciprocal' tariffs on Chinese products of 145 per cent and Beijing's retaliatory 125 per cent tariffs.
After weekend talks in Switzerland, both sides agreed Monday to lower tariffs for 90 days, with US tariffs reduced to 30 per cent and Chinese tariffs to 10 per cent.
Respondents to the CGCC survey included companies in 11 sectors, including consumer goods and services, energy, industrial firms, real estate, and communication services, with financial companies taking the largest share.
Among the companies saying they plan to reduce their investment in the US market, 22 per cent said they would 'significantly decrease' their focus on US investments and plan to suspend or withdraw most investments. Another 28 per cent indicated a 'slight decrease' in priority and said they would consider scaling back some investments because of current administration policies.
03:53
China, US slash most tariffs on each other after first round of trade talks
China, US slash most tariffs on each other after first round of trade talks
In contrast, 22 per cent of respondents said they would increase their US investment and 28 per cent said they would maintain investment.
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