European companies in China assess losses from the new trade war.

Business in China: how companies saved themselves from the trade war

A survey conducted by the European Union Chamber of Commerce in China showed that most European companies managed to avoid direct losses from the trade war. Nevertheless, more than half of the respondents acknowledged that the business environment in China has become more challenging this year.

Although many companies felt the impact of Chinese tariffs on American goods, less than a third were affected by tariffs on their export operations with China. About 59% of respondents confirmed that doing business in the country has become more complex this year, reports Bloomberg.

'It is difficult to overestimate how much uncertainty this trade war has created for our members,' said the president of the European business group. 'But we believe that China can turn the crisis into an opportunity and demonstrate that it is a stable and predictable investment destination.'

The Chamber urged China to review its industrial policy if it wants to avoid further negative reactions. The government in Beijing is also looking to reverse the decline in investments, which have fallen to the lowest level in over three decades.

According to the survey results, more than 60% of companies anticipate heightened competition, over half are facing supply chain issues, and a third have felt increased political pressure from the U.S. government.