Survey report says companies' outlook on Sino-US business relations has improved

Chinese companies operating in the United States remained largely profitable last year despite geopolitical tensions, according to a recently released survey report, which also indicated improved expectations for Sino-US economic relations this year.

The 2026 Annual Business Survey Report on Chinese Enterprises in the US was unveiled on Monday in Washington, DC, by the China General Chamber of Commerce-USA and the CGCC Foundation.

The event brought together business leaders, industry experts and others to discuss the survey findings, which revealed remarkable operational resilience among Chinese companies and a pivot toward cautious optimism for the coming year.

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According to the report, 81 percent of surveyed Chinese companies in the US remained profitable in 2025, while the share of enterprises with pretax profit margins above 15 percent rose sharply from 7 percent to 21 percent over the past year.

The report noted that the outlook of surveyed companies for the bilateral relations in 2026 has improved significantly. "In economic and trade relations, expectations of 'moderate deterioration' fell by 24 percentage points from the previous year, while expectations of 'modest improvement' rose sharply to 36 percent," it said.

The CGCC, which was founded in 2005, is the largest independent chamber representing Chinese business interests in the US.

Speaking at the event, Zhang Jianyu, chairwoman of the CGCC, said the chamber's member companies have cumulatively invested more than $140 billion in the US economy, directly creating over 230,000 jobs and contributing to more than 1 million positions nationwide.

Qiu Wenxing, minister and deputy chief of mission at the Chinese embassy in the US, who delivered a keynote address, underscored the need for deeper integration of the world's two largest economies.

Referring to the investment and employment statistics quoted by the CGCC chairwoman, Qiu said: "That is the contribution Chinese companies have already made. We can do more to help America achieve even better lives for its people."

He urged US business leaders to be "quick and agile to seize the opportunity presented by China's development", particularly through the 15th Five-Year Plan (2026-30), which offers expanded market access for international investors.

Qiu called on the Chinese and US business communities to "do the right thing instead of the politically correct thing", advocating for deeper engagement and more objective dialogue.

The relationship between China and the US is inherently mutually beneficial, and that characteristic could form the foundation for shared prosperity, he said, emphasizing that the two countries must find a common path based on "mutual respect, peaceful coexistence and mutually beneficial cooperation".

"The world depends on a stable, sound and sustainable relationship," Qiu said, adding that the efforts of the two governments to stabilize ties are providing "positive momentum" and certainty for businesses.

Pin Ni, vice-chair of the CGCC and president of Wanxiang America Corp, said that any "decoupling" between China and the US would be disastrous for the latter due to its inflationary impact.

Amid the expectations of improved economic ties, the survey report addressed some significant hurdles. It said that tariff policies remain the primary source of pressure, negatively affecting 79 percent of respondents through rising costs and supply chain disruptions. It added that geopolitical tensions have also become a "structural ceiling" for brand building.

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Ni emphasized that achieving successful long-term growth in the US requires a deeper commitment to localization and human capital. "Localization is not just about investing in a company; it is about investing in the local people," he said.

The strategic goal of Chinese companies in the US is to become a permanent and contributing part of the local economy, he added.

Monday's event included a panel discussion on the global rise of Chinese brands. While the speakers acknowledged that Chinese companies produce high-quality products, they emphasized the need for them to improve their "narrative capability" to extend their reach. Crisis management and storytelling should be combined to successfully navigate local challenges, the speakers added.

Contact the writers at yifanxu@chinadailyusa.com