American companies in China are reporting record-low investment plans and declining confidence in profits this year

"Other trading partners observing these threats will have the same mistrust of the negotiation process," experts argue.

U.S. Secretary of State Marco Rubio said on Friday he had "positive and constructive" talks with Chinese Foreign Minister Wang Yi, as the two major powers vied to push their agendas in Asia at a time of tension over Washington's tariff offensive.

Shipments to the U.S. fell but marked a significant improvement from the sharp declines of May and April.

At the heart of Trump’s latest trade deal with Vietnam and talks with other trading partners is an effort to counter what he sees as China’s unfair practices to circumvent U.S. tariffs.

The prime minister of Australia, a longtime US security partner in Asia, sought to focus his trip to China this week on business and trade opportunities, sidestepping thornier issues around US-China competition such as Taiwan or Beijing’s military expansion.