Chinese companies report a ‘slightly worse’ business environment in the US
- Annual survey by the China General Chamber of Commerce finds roughly one in five firms operating in the US expect their revenues to decline in the next two years
- ‘Chinese companies operating in the US continued to face an exceptionally complex environment,” the chamber reports
Chinese businesses in the United States have endured a “slightly worse” financial landscape and see a gloomier picture ahead amid growing tensions between the two nations, a new survey has found.
Roughly one in five Chinese companies, or 19 per cent, that took part in the 2023 annual business survey conducted in February and March by the US chapter of the China General Chamber of Commerce (CGCC), expected their revenues in the US to decline over the next two years – up from the 14 per cent the survey found last year.
Of 101 responding firms, 24 per cent reported year-over-year revenue declines of more than one-fifth in 2022 – more than doubling the number of companies (11 per cent) which did so in the previous survey. Only 42 per cent of companies reported revenue growth, down from 54 per cent a year earlier.
“The global economy experienced continued turbulence in 2022, and Chinese companies operating in the US continued to face an exceptionally complex environment,” CGCC said.
The business group believed that the severe setback caused by more than two years of the Covid-19 pandemic, in addition to rising inflation and interest rates, were still being felt.