China Market Intelligence

June 27th, 2018
By Jake Laband

While US-China trade tensions are front of mind for many executives in Beijing, attendees of the US-China Business Council’s (USCBC) Beijing China Operations Conference last week indicated that other operational issues continue in the background. Senior executives from a broad range of industries gathered June 21 in Beijing to discuss key operational issues: tax reform, SOE partnerships, China’s outbound development, and US-China relations.

Andy Rothman,...

June 27th, 2018
By Anna Ashton

US companies now have stronger recourse against Chinese businesses that claim Chinese law as a protection for unfair practices. According to a unanimous US Supreme Court ruling earlier this month, Chinese government claims about what its law requires do not automatically protect Chinese companies that violate US law.  

US vitamin C purchasers Animal Science Products Inc and Ranis Co. accused Chinese vitamin C producers of violating US antitrust laws by colluding to...

June 19th, 2018
By USCBC Staff

Following President Donald Trump’s directive that the Office of the US Trade Representative identify another $200 billion to $400 billion worth of Chinese goods for tariffs, China’s Ministry of Commerce announced Tuesday that it would respond “quantitatively and qualitatively” to any additional tariffs levied on Chinese exports to the US. The new US tariffs would come on top of those slated to be implemented on July 6, covering $34 billion worth of Chinese goods, with another $16 billion of...

June 19th, 2018
By USCBC Staff

China’s Ministry of Finance has announced its retaliation list in response to the United States’ tariff announcement earlier today. In essence, China removed airplanes from its April 4 proposed list, but added many new line items in order to match the value of imports subject to tariffs on the US list. USCBC’s unofficial translation of China’s April list can be found here. That list proposed 25 percent tariffs on 106 tariff lines of US products worth $50 billion.

The revised list ...

June 15th, 2018
By USCBC Staff

The United States will move forward in early July with a 25 percent tariff on a wide range of Chinese imports worth approximately $50 billion, barring any breakthroughs in negotiations that might delay implementation. Within an hour of the announcement, China’s Ministry of Commerce said it would implement reciprocal tariffs of “the same scale and intensity.” USCBC issued a statement calling on both sides to step back from tariffs and negotiate a solution.

The announcement by the...

June 13th, 2018
By Jake Laband

Chinese Communist Party (CCP) officials are increasingly calling on companies to support the creation of party organizations among their employees. The potential for party groups to influence corporate decision making has raised concern among some US company executives: What are foreign companies obligated to do, and how should companies respond to requests to establish party organizations in their China subsidiaries?

Legal requirements for foreign companies

China’s laws...

June 13th, 2018
By Patrick Lozada

Starting July 1, tariffs on 1,449 categories of imported consumer goods coming into China will be decreased from an average of 15.7 percent to 6.9 percent, an average overall decrease of 55.9 percent for a wide range of consumer products including cosmetics, sports equipment, appliances, food, and clothing. USCBC in recent years has advocated for reduced tariffs on consumer products to rebalance China’s economy toward consumption and boost export opportunities for American...

June 13th, 2018
By Ricky Altieri

In recent months regulators have announced that China will introduce punitive damages and more stringent penalties for certain intellectual property rights (IPR) violations, which would improve China’s intellectual property protection. In addition, regulators have considered making it a crime to steal certain kinds of agricultural IP and expanded the power of local government officials to perform IP-related investigations. However, the announcements lack specifics and do not mention...

June 13th, 2018
By Sun Yi & Ricky Altieri

Draft regulations related to China’s 2017 Cybersecurity Law may come into effect as soon as this month, according to US-China Business Council (USCBC) conversations with government regulators. China’s cyber authorities recently published drafts of four regulations that supplement the Cybersecurity Law, which has drawn concern from the business community because of its data localization requirements, security assessment procedures, and ambiguous scope. These drafts could affect...

June 13th, 2018
By Patrick Lozada and Owen Haacke

As tensions between the United States and China grow, US companies are exploring strategies to maintain and expand their sales to state-owned enterprises (SOEs) and government-affiliated entities.  The US-China Business Council (USCBC) conducted a survey of member companies, which resulted in a few key findings and best practices for businesses.

Sector and geographic considerations

Sector and geography are important factors that can have a...

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