On August 14, according to foreign media reports, more than a dozen major U.S. multinational companies, including apple and Disney, held a conference call with White House officials on Tuesday, expressing concern about the possible impact and scope of the ban imposed by US President trump on wechat, believing that it may weaken the company's market competitiveness.
People familiar with the matter saidApple, Ford Motor, Wal Mart, Disney, P & G, Intel, metropolitan insurance, Goldman Sachs, Morgan Stanley, UPS, Merck and Cargill attended the conference call.
For those who don't live in China, they don't understand how serious it will be if American companies are not allowed to use it Fruit,
The companies either declined to comment or did not respond to requests for comment. People familiar with the matter said the conference call was organized by the China US Trade Commission, the American Chamber of Commerce and the Business Roundtable.
The organizers first introduced the company executives, including those dealing with international relations and trade.
Some participants were concerned that the wording might make the order applicable to US companies around the world, including those in the Chinese market. Wechat is the dominant business platform in the Chinese market.
Wechat has more than 1.2 billion users in the world and is ubiquitous in China. Consumers, enterprises and various institutions use wechat for mobile payment, communication and even business. For anyone doing business in China, wechat is also an important marketing channel to establish contact with consumers。
According to people familiar with the situation, one of the purposes of exactly what Trump signed the executive order last week, according to people familiar with the matter. The order prohibits Americans from doing so
People familiar with the matter said,Companies hope the U.S. government can narrow the scope of its orders in the coming weeks. The trump administration also announced a similar action on the short video application tiktok. Tiktok owner byte jump is in talks to sell its US business.
Both companies said they would protect users' privacy. At Wednesday's earnings conference call, Tencent Chief Financial Officer Luo Shuohan said the company believes Trump's order applies only to WeChat International. He said,
Nevertheless, American companies are worried that this may completely cut off their access to the lucrative Chinese market, such as their access to wechat payments or advertising.
Apple is one of the most interested American companies. Being forced to delete wechat from the device could have devastating consequences for the company. Guo Mingqi, an analyst at Tianfeng securities, predicts that global iPhone shipments could fall by up to 30% if the ban takes effect. Apple declined to comment.
At the same time, some U.S. entertainment and sports companies worry that they may not be connected with Tencent's other digital services.
The American Center for Strategic and International Studies (Center for Strategic and International Studies) business expert Gansd (Scott Kennedy) said,
Meanwhile, according to surveys conducted in May and June, 83% of the members of the Sino US Trade Council regard China as one of the top or five priorities of their global strategy.
Nearly 70% of respondents were optimistic about China's business prospects in the next five years, and 87% said they had no plans to shift production outside the Chinese market.
Allen of the China US Trade Council said,