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.

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.

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.

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

Tariffs and trade deals are still uncertain, but China’s government restructuring is likely to be the most significant long-term development this year for foreign companies doing business in China, said speakers at the US-China Business Council’s (USCBC) 45th Annual Membership Meeting on June 5. Members from a wide range of companies joined guest speakers to discuss changes in the Chinese business environment and the US-China commercial relationship during a pivotal time for trade.