On April 18, the American Chamber of Commerce in China (AmCham) released its 2017 annual report (paywall), finding that more of its members than in decades are experiencing an unwelcoming business environment in China. Bloomberg reports that the chamber concluded, “The pace of economic reforms and market opening has been slow and faltering,” meaning that while factors such as regulatory transparency and intellectual property protection have improved, the overall perception of how much the Chinese government tilts the field in favor of Chinese businesses has increased greatly. Eighty-one percent of AmCham members said they felt less welcome in 2016 than in years before, indicating that 2017 may be perceived as the worst year yet unless regulatory trends change.
In announcing the results of the assessment, AmCham chairman William Zarit urged Washington to “use every arrow possible” against China to win back market access for American firms, rather than doggedly focusing on the U.S.-China trade deficit. Reducing the $347 billion trade deficit is the stated central goal of the ongoing “100-day” negotiations between the U.S. and China, which started on April 7 to avert a trade war after the Trump-Xi summit at Mar-a-Lago.
Loan sharks targeted as problems mount / Caixin
“China’s banking watchdog is stepping up efforts to control the booming online market for cash loans as concerns grow over unscrupulous practices that are causing uproar among the public and threatening social stability.”
Amid clampdown, China companies continue to invest less abroad / Caixin
“Overseas direct investment by Chinese companies in nonfinancial sectors plunged 30.1% in March from a year ago, the Ministry of Commerce said Tuesday, following a clampdown to reduce capital outflows.”
- China car recalls tilt heavily toward foreign brands / Financial Times (paywall)
- Ivanka Trump got Chinese trademarks approved, then dined with China’s president / Boston Globe
- Chinese bike-sharing start-up Ofo says it’s now worth more than $2 billion / CNBC
- Executive salaries at China’s largest state firms linked to ‘party building’ efforts / Reuters
- How to top the iPhone? For Foxconn, it’s with TVs / WSJ (paywall)
- Automakers charge ahead with electrics in China, even as policy drive slows / Reuters