Mix-messages on next round of talks on US-China trade war

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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.

About half of American firms are making less money, and a similar amount are reporting higher production costs, according to the survey.

On 7 September, Mr Trump said tariffs on $200bn in goods "could take place very soon" and added that tariffs on a further $267bn in goods were "ready to go on short notice if I want".

Trump has already imposed 25-per cent customs duties on US$50 billion worth of Chinese goods, triggering a tit-for-tat response from Beijing.

The U.S. has enjoyed near-record low joblessness and faster economic growth in 2018, while Beijing's economy faces growing long-term concerns, including a sharp decline in the value of its currency.

More than 430 companies responded to the survey between August 29 and September 5, which Ken Jarrett, president of AmCham Shanghai, said had been conducted in part to provide AmCham with data for meetings with members of congress later this month. Retailers such as WalMart and Target risk being swept up in an escalating trade war if further tariffs hit a broad range of consumer goods, from TVs to sneakers. 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.

"It is hard to see how tariffs that hurt USA companies and US consumers will advance the Government's objectives with respect to China's technology policies", Apple said in its letter.

U.S. companies in China say they are already feeling the pain from the trade war.

About 30 per cent said they were adjusting supply chains by seeking to source components and/or assembly outside the US, and about the same number were seeking to source components and/or assembly outside China.

The US leader has mentioned another US$200 billion worth of Chinese imports - and all other Chinese imports to the US market - but analysts believe the administration will change course and the situation will shift after the US mid-term elections in November.

A series of companies want President Trump to know that tariffs are hurting USA industries. -China Business Council, said this week Chinese officials told it they were postponing accepting license applications from American companies in financial services and other fields until relations improve.

Treasury Secretary Steve Mnuchin on Wednesday invited Chinese officials to a new round of talks later this month over US threatened tariffs on Chinese exports worth $200 billion, and a Chinese Foreign Ministry spokesman told reporters Thursday that Beijing welcomed the invitation.

Meanwhile, almost a third of companies said they were considering delaying or canceling investments, underscoring the heightened uncertainty created by the trade tensions.

"The Trump administration should not be mistaken that China will surrender to the US demands". "There's some discussions and information that we received that the Chinese government - the top of the Chinese government wished to pursue talks". "But we can do so through means other than blanket tariffs".

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