US companies’ China optimism dips on trade tension, with more expecting revenue to fall this year, survey finds
- Twenty-six per cent said they expect revenue in the current year to decline, a record high in the 19-year history of the US-China Business Council survey
- More than 80 per cent – 8 per cent more than a year ago – said trade tensions affected their China business operations this year
US-China trade friction is dampening the outlook for American companies operating in China, hurting their ability to compete in one of the world’s top markets, according to the results of the annual US-China Business Council member survey, released on Thursday.
Twenty-six per cent of respondents said they expected revenue from China to decline in the current year, a record high for this question in the 19-year history of the survey.
More than 80 per cent of the surveyed companies – 8 per cent more than a year ago – said trade tensions had affected their China business operations this year.
“The impact (of the trade tension) has been felt in ways that we have not seen reported in previous years,” Jake Parker, the business council’s senior vice-president, said at a survey launch event in Washington.
“Lost sales because of tariffs. Lost sales because of doubts around continued US company supply. And lost sales because US companies are not viewed as reliable suppliers,” he said.
