ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print

U.S. banks' China ambitions wane as political tensions linger

Sluggish post-COVID recovery also taints market once called the 'holy grail'

Lujiazui financial district in Shanghai. Barclays described China's economy as one that was losing steam.   © Reuters

NEW YORK -- Several major U.S. banks have been hit by the harsh reality of tensions between the world's two biggest economies, making expansion in China -- once thought of as a "holy grail" of opportunity -- increasingly fraught with risk.

Banks have begun to consider reducing staff in the region as Washington and Beijing remain entrenched in a trade war that has spanned two U.S. administrations, leading to an uptick in regulation and sanctions from both sides.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more