"The White House has threatened to fire the next barrage of tariffs at $200 billion more Chinese goods, expecting with this onslaught, or subsequent ones, China will wave a white flag", he said. He responded that he wasn't, two of the people said.
More than half of firms say they are already feeling Beijing's wrath, with 27% reporting increased inspections, 19% feeling heightened regulatory scrutiny and 23% witnessing slower customs clearance. The US President is trying to bring off his trifecta of trade deals after nailing the Europeans and the Mexicans with trade concessions, in the wake of his threats to nuke their products with tariffs.
To avoid the tariffs, 30 percent of US companies are looking at moving assembly out of the United States or China or finding new suppliers, the chambers said.
"If nearly a half of American companies anticipate a strong negative impact from the next round of US tariffs, then the USA administration will be hurting the companies it should be helping".
Officials are reportedly still working on the final list of products.
The chairman of the American Chamber of Commerce in China warned the Trump administration might be underestimating China's resolve to fight back.
One of the highest-profile casualties of the trade war was USA chipmaker Qualcomm's (QCOM) $44 billion acquisition of Dutch rival NXP Semiconductors (NXPI), which China killed in July by refusing to grant it regulatory approval.
Businesses remained optimistic about near-term prospects, but worries about trade prompted some to scale back or postpone capital investment plans, according to the Fed's survey, known as the Beige Book, released Wednesday.
It's unclear yet what specific sectors have been affected by the suspension, but it will likely include industries that Beijing has promised to open to foreign businesses, such as banking, securities, insurance and asset management, said Jacob Parker, vice-president for China operations of the USCBC.
The Twitter post came after White House officials confirmed that Treasury Secretary Steven Mnuchin had offered a formal invitation to Chinese leaders to restart trade talks, aimed at de-escalating the trade battle between the world's largest economies.
"Tariffs are already negatively impacting USA companies and the imposition of a proposed $200 billion tranche will bring a lot more pain", Eric Zheng, chairman of the American Chamber of Commerce in Shanghai, said Thursday in a statement.
The survey was conducted between August 29 and September 5. Exporters in the United States say their business in China has dried up since then.
This can only be right if there is no real trade war with China and I can't believe that President Trump can afford to create a real trade war because it would lead to a huge sell off on Wall Street. Some of them have criticized Trump's tactics but many echo US complaints about Chinese market barriers and industrial strategy.