Updated May 22, 2019 - Economy

Trade war: U.S. firms in China say tariffs are hurting business

Rebecca Falconer

An employee paints a mask of American president-elect Donald Trump at a latex crafts factory on November 9, 2016 in Shenzhen, Guangdong Province of China. — A factory in China producing masks of Trump in 2016. Photo: Li Jianqiang/VCG via Getty Images

U.S.-Chinese tariff increases are hurting American business in China, 74.9% of almost 250 respondents told a survey, published Wednesday by American Chamber of Commerce (AmCham) in China and Shanghai.

Why it matters: It's another sign that the trade war is starting to bite. Bank of America-Merrill Lynch has said the standoff risks "a global recession." Now, American businesses are concerned about the effects of President Trump's action against Chinese tech giant Huawei, AmCham China chairman Tim Stratford told BBC.

The big picture: The survey, held May 16-20, found the biggest impact was a drop in product demand, with 35% of respondents saying they're restructuring their Chinese operations and about a third delaying or canceling investment decisions in China because of the trade war.

Go deeper: Tariffs on China could hit U.S. hard, too

Add Axios on Google

Trade war: U.S. firms in China say tariffs are hurting business

What to read next