MNI BRIEF: Foreign Business’ China Outlook Lowest Ever- Amcham

Foreign firms operating in China have reported a worsening business outlook as geopolitical tensions and macroeconomic issues add to challenges in the world's second largest economy, according to a sentiment survey released by the American Chamber of Commerce in Shanghai on Tuesday.

The chamber said members with an optimistic business outlook fell to 52%, the lowest point since the survey began. Chamber members also noted a deterioration in revenue results versus worldwide operations, with 40% of respondents saying their China revenue growth would outpace worldwide growth, a 7pp decrease from last year.

“China is becoming more challenging for foreign investors. What businesses need above all else is clarity and predictability,” Sean Stein, Chairman of AmCham Shanghai, said in a written statement on the chamber's website.

Senior business leaders recently told MNI the latest round of Chinese government measures that address intellectual property and market access concerns may prove ineffective at boosting foreign direct investment (FDI), as international corporations operating in Mainland China grow increasingly worried over the country's economy and lack of policy response. (SEE: MNI: China FDI Outlook Down As Economy Weakens - Chambers - Bonds & Currency News | Market News)