Stocks in Europe rose earlier as prospects for U.S.
US President Donald Trump said last week that in addition to preparing tariffs on the further US$200 billion worth of goods, he had tariffs on an additional US$267 billion worth of goods ready "on short notice if I want".
On Thursday, the U.S. business lobbies AmCham China and AmCham Shanghai published a joint survey showing that the negative impact on U.S. companies in China of tit-for-tat tariffs Washington and Beijing have imposed on one another was "clear and far reaching".
On Wednesday, Larry Kudlow, who heads the White House Economic Council, told Fox Business Network that Treasury Secretary Steven Mnuchin had sent an invitation to senior Chinese officials to restart trade talks.
The United States and China have so far slapped tariffs of 25% on more than $50 billion worth of each other's exports and more are in the pipeline.
The European Union Chamber of Commerce in China released its own survey on Thursday saying the tariffs were causing "significant disruptions" to global supply chains and "seriously impacting" non-Chinese and non-American companies.
China may not be able to match future USA tariffs dollar for dollar and has warned that it would take other measures.
In the case of the Trump administration's trade tensions with China, the USA clearly has an edge when it comes to imposing tariffs. "AmCham China and AmCham Shanghai urge both governments to return to the negotiating table".
Trump imposed his first phase of tariffs this summer on $50 billion of Chinese goods, including high-end technology parts and manufactured goods, while Beijing fired back dollar-for-dollar at U.S. soybeans, autos and other farm goods.
Before his meeting on Thursday, Trump boasted on Twitter that he has the upper hand in the trade feud with Beijing and feels "no pressure" to resolve the dispute.
"The U.S. administration runs the risk of a downward spiral of attack and counterattack, benefiting no one", Zarit said in statement. They said almost one-third are thinking about canceling or postponing investment decisions.
Some 63.6 percent of more than 430 companies that responded to the American chambers' survey said profits and customer demand have fallen due to the USA tariffs and 62.5 percent said the same about retaliatory Chinese tariffs.
The two chambers of commerce on Thursday urged the United States and Chinese governments to resume negotiations. The White House has accused China of forcing USA companies to partner with local firms and then stealing their intellectual property, among other grievances.
Roughly a third of firms are shifting supply chains out of China, or the USA, and an equal proportion are delaying or cancelling investment decisions, the survey showed.
Farmers felt the pain when China targeted them with retaliatory tariffs, cutting off a major market for US agriculture exports.