CHINA-US: US CHAMBER OF COMMERCE AND RHODIUM GROUP STUDY CLAIMS AMERICAN COMPANIES COULD LOSE US$ 500 BILLION IF THEY REDUCED INVESTMENT IN CHINA
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Caixin (February 18) quoted a Bloomberg report which said that the U.S. Chamber of Commerce had in a report, highlighting the cost of a full decoupling of the world’s two largest economies, claimed that American companies would lose hundreds of billions of dollars if they slashed investment in China or the nations increased tariffs. The group, in a joint study with the New York data and analytics firm Rhodium Group, said American gross domestic product would record a one-time loss of as much as $500 billion should U.S. companies reduce foreign direct investment in China by half. Applying a 25% tariff on all two-way trade would trim U.S. GDP by $190 billion annually by 2025. Xinhua (February 19) predictably publicised this report.
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