China M&A: ‘Relative normalcy’ from Biden, pent-up demand from coronavirus could reignite Chinese interest in US deals, advisers say Illustration: Perry Tse
Mergers and acquisitions by Chinese companies seeking deals in the United States, particularly in less politically sensitive sectors, could pick up in 2021 as US President-elect Joe Biden is expected to adopt a more conciliatory tone with Beijing than his predecessor, according to deal advisers.
US-China relations, which have deteriorated to their worst point in decades during Donald Trump s tenure, pushed China s 2020 outbound acquisitions to their lowest level since 2007, falling behind inbound transactions for the first time since 2006, according to Refinitiv s data. Deals into and out of China fell 5.5 per cent last year to US$81.9 billion, following a 40 per cent plunge in 2019.