Rising costs take toll on US investments

American investments in China have shown signs of slowing while the Chinese government works on reforming the foreign investment management system.

While many companies are still profitable in China, increasingly fewer are reporting substantial revenue increases, and those reporting even increases or slight decreases are more prevalent, according to the 2014 China Business Climate Survey Report, released by the American Chamber of Commerce China.

Nearly half of US Chamber of Commerce China member survey respondents still regarded China as a top-three investment priority. For the first time in the history of the business climate survey, the majority of members said they planned to increase China investments by 10 percent or less this year. The proportion of companies planning no increase in investment rose sharply, according to the survey.