U.S. companies need to prepare for greater tension between President Donald Trump’s administration and China. Trump plans to impose tariffs on imports of steel and aluminum, including from China, and is said to be considering a broad range of curbs on China imports, from shoes and clothing to tech gadgets. Such moves could prompt retaliation from President Xi Jinping and lead to a Chinese backlash against American businesses.
The following are among those most at risk:
If China wanted to hit back, soybeans could be a weapon. The U.S. sold $13.9 billion to the Asian nation in 2017. While the U.S. counts China as its biggest market for the oilseed used in animal feed, Beijing has a choice of sellers to turn to in the event of a retaliation on U.S. imports. Meat imports are also a potential flashpoint. They were the second-most valuable agricultural trade between the U.S. and China in 2017, worth about $1.3 billion. China’s JD.com Inc. has agreed to buy $1.2 billion of beef from the Montana Stock Growers Association and pork from Smithfield Foods Inc. as part of a deal by the Chinese online retailer to import $2 billion of U.S. goods.
Apple and Tech Companies
Oil & Gas
China’s U.S. Acquisitions