Increasing numbers of US law firms are opting to close their Shanghai offices as financial activity and business sentiment falls, reports the Financial Times. In recent months, US firms Sidley Austin, Perkins Coie, Latham & Watkins and Orrick have all closed or said they will close their Shanghai offices, adding to the departure of Weil and Akin Gump from Beijing.
International companies and professional services firms have struggled to navigate China’s shifting business environment following the Covid-19 pandemic and have been affected by deteriorating relations between Washington and Beijing.
In Shanghai, home to China’s biggest stock market and the country’s financial center during an era of growing cross-border activity in the 2010s, the impact has been particularly acute for the legal sector.