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U.S. Firms Regain Profit Footing in China as Economic Anxiety Grows

Published: Jan. 17, 2026 4:56 a.m. GMT+8

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James Zimmerman (left), chairman of AmCham China, hosts a roundtable discussion on the current business environment. Photo: AmCham China

Despite mounting concerns over a slowing Chinese economy and continued geopolitical friction, U.S. companies operating in China are growing more optimistic about their earnings outlook, according to a new report from the American Chamber of Commerce (AmCham) in China.

In its 2026 China Business Climate Survey, AmCham China found that 52% of member companies expect to be profitable this year — a six-percentage-point rise from 2025. But while earnings expectations have improved, the country’s weakening economic fundamentals have overtaken U.S.-China relations as the most pressing concern for the first time in the survey’s two-decade history.

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Explore the story in 30 seconds

52% of U.S. companies in China expect profits in 2026, up 6 points from 2025, with services sector profitability reaching 61%.
China’s economic slowdown is now the top concern for U.S. firms, overtaking U.S.-China relations for the first time in 20 years.
Despite challenges, 71% plan to keep production in China and nearly 60% will increase investment, though 20% no longer prioritize China highly.

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