New York, August 10th, 2020 – The China General Chamber of Commerce – USA (CGCC) and the CGCC Foundation today released its 2020 Annual Business Survey Report on Chinese Enterprises in the U.S. Conducted in partnership with PwC, the survey found that over 50% of Chinese companies operating in the U.S. have been adversely affected by the escalating anti-China rhetoric in recent months, with 36% of those companies citing that tensions led to financial losses. Another challenge Chinese companies face in the U.S. market is barriers on immigration, which 42% of respondents cited as key area of concern for future growth. This has been exacerbated by the COVID-19 pandemic, which has also contributed to an uncertain market environment. Companies almost unanimously (90%) said that their financial performance has been negatively impacted by COVID-19, of which 50% cite the impact to be severe.
However, despite these complex issues and the ongoing uncertainty, Chinese companies continue to be committed to the U.S. market, with 60% of those surveyed stating that their investments in America remains the same. They are also optimistic about the market recovery in the U.S., with more than half (55%) of those surveyed expecting the economy to rebound from COVID-19 within the next year.
Xu Chen, Chairman of the CGCC and President of Bank of China USA, commented, “As of March 2020, our Chinese member companies have invested over $123 billion in the U.S. economy, resulting in job creation and economic growth in the U.S. market.” He added, “Since the CGCC was founded 15 years ago, the organization has been striving to create opportunities in growing Chinese investments and facilitate Chinese brands in the U.S. As the uncertainty around U.S./China relations and the COVID-19 outbreak continues, the CGCC stands ready to support both the business community and the two governments as they embark on the next phase of their relationship.”
Now in its seventh year, the survey assessed around 200 Chinese enterprises in the U.S., looking at impact of U.S.-China relations on business operations, their outlook on the U.S. market over the next two years and the anticipated difficulties.
The CGCC will hold a panel featuring speakers from U.S.-China Business Council, American Chamber Commerce of China, Wanxiang American Corporation and Lennar International on August 12 at 2pm to discuss the findings in further detail.
About China General Chamber of Commerce-USA
Founded in 2005, the China General Chamber of Commerce – USA (“CGCC”) has been recognized as the largest and most influential non-profit organization representing Chinese enterprises in the U.S. Its membership consists of more than 1,500 Chinese and U.S. companies, 54 of which are ranked on the 2019 Fortune Global 500. CGCC’s mission is to create value, generate economic growth, and enhance cooperation between the U.S. and Chinese business communities. CGCC conducts extensive research and provides a broad range of programs, services, and resources to its members and key stakeholders in an effort to foster the mutual understanding, trust, and engagement between China and the U.S. As of 2019, CGCC’s Chinese member companies have cumulatively invested over $123 billion, employ more than 220,000 people, and support over one million jobs throughout the United States.
CGCC is a national organization and includes CGCC-New York (CGCCUSA-HQ), CGCC-Chicago, CGCC-Houston, CGCC-Los Angeles, CGCC-San Francisco and CGCC-Washington D.C.
About CGCC Foundation:
Established in 2014, CGCC Foundation is a 501(c)(3) tax-exempt organization. The mission of CGCC Foundation is to deepen mutual understanding and cooperation between the United States and China through research, public charity and engagement in economic, cultural and social exchanges.