China ‘may lose foreign investment to other countries’ in trade war

[To-Whose-Benefit?]

South China Morning Post
PUBLISHED : Wednesday, 10 October, 2018, 9:31pm
UPDATED : Thursday, 11 October, 2018, 4:54am

[excerpt]

https://www.scmp.com/news/china/diplomacy/article/2167939/china-may-lose-foreign-investment-other-countries-trade-war

Beijing should be alert to the risk of firms relocating, trade advisers and observers warn

China should be alert to the risk of foreign investment going elsewhere as the trade war with the US rages, while continuing to seek talks with Washington, government trade advisers and observers said.

The warning came amid worsening sentiment on bilateral ties after US Vice-President Mike Pence delivered the US administration’s first comprehensive China strategy last week, accusing Beijing of trying to meddle in the upcoming US midterm elections and fuelling fears the conflict will escalate further.

“If foreign companies, especially multinational companies, feel the trade dispute will be hard to resolve in the short term or see punitive tariffs lasting a long time, they may consider making changes to the industrial chain,” one trade adviser, speaking on condition of anonymity, said.

Good.