{"id":7107,"date":"2020-06-08T21:29:19","date_gmt":"2020-06-08T21:29:19","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=7107"},"modified":"2026-04-24T04:37:23","modified_gmt":"2026-04-24T07:37:23","slug":"us-china-gaming","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/us-china-gaming","title":{"rendered":"Gaming industry threatened by China-US conflict"},"content":{"rendered":"\n

Analysts fear measures could be taken against US-controlled casinos if the conflict with China continues to escalate.<\/p>\n\n\n\n\n\n\n\n

China.- The ongoing commercial and political conflict between US president Donald Trump and Chinese officials could cause danger for the Macau gaming industry.<\/p>\n\n\n\n

Risk and market intelligence consultancy firm Steve Vickers & Associates (SVA) issued a warning to investors in which it addressed serious threats to foreign firms involved in the Macau gaming industry.<\/p>\n\n\n\n

The gaming industry in the Special Administrative Regions (SARs) had already suffered a blow from the pandemic, they said, with gross gaming revenues dropping 73.7 per cent year-on-year to MOP33 billion (US$4.1 billion) in the first five months of this year, Macau Business reported.<\/p>\n\n\n\n

SVA said that the rising tensions could overshadow plans for the public tender on 2022 gaming concessions, and presented a \u2018huge vulnerability\u2019 for the current six gaming concessionaires. The firm anticipates that Beijing will ask itself whether US-controlled casinos should profit from Chinese gamblers in the midst of commercial and political conflict.<\/p>\n\n\n\n

\u201cThe commercial argument for US involvement \u2013 that Chinese companies needed American expertise \u2013 is derelict. Macau is now of age and its casinos and junket promoters can often provide services better geared to the Chinese market than those offered by American companies,\u201d SVA argued.<\/p>\n\n\n\n

The security experts said they believed the choice of Chief Executive Ho Iat Seng<\/a><\/em><\/strong> for the gaming law review and future tendering process was a message from Beijing that it would prioritise national goals over local interests. Ho has already hinted a possible reduction in the number of satellite casinos in operation.<\/p>\n\n\n\n

SVA said the move left large junket promoters under Ho\u2019s mandate in a position that was now vulnerable to geopolitics. They believe local authorities could lead the tendering process to ensure the loyalty of those operating in Macau by favouring local operators or scaling down the role of foreign concessionaires.<\/p>\n\n\n\n

Although unlikely, if the conflict escalates further, Chinese authorities could seek to squeeze out foreign interests as punishment against US concessionaires, the firm suggested as it recommended investors take precautions and evaluate geopolitical exposure.<\/p>\n\n\n\n

SVA said: \u201cCertain companies present obvious targets, given links to the Republican Party, while others, perceived as loyal, or, at least, compliant, could benefit \u2013 but perhaps at the expense of interests in the US.”<\/p>\n","protected":false},"excerpt":{"rendered":"

Analysts fear measures could be taken against US-controlled casinos if the conflict with China continues to escalate.<\/p>\n","protected":false},"author":2,"featured_media":7126,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Escalating US-China geopolitical tensions pose significant risks to Macau's gaming industry, particularly for US-controlled concessionaires. Risk consultancy SVA warns that Beijing may prioritize national interests in the upcoming 2022 gaming concession tender, potentially reducing foreign operator presence and favouring local entities, impacting GGR and investor outlook.","focusai_entities":"Donald Trump, Chinese officials, Steve Vickers & Associates (SVA), Ho Iat Seng","focusai_location":"China, Macau, US","focusai_target_profile":"ceo_executive (0.9), regulator (0.85), compliance_legal (0.75), operator_casino (0.95), investor_analyst (0.95), journalist_researcher (0.8)","focusai_suggestions":[{"label":"Macau Concession Impact","query":"What specific changes to the 2022 Macau gaming concession tendering process are anticipated to mitigate geopolitical risks for Beijing, and how might these impact the current six concessionaires' renewal prospects?"},{"label":"Geopolitical Risk Mitigation","query":"Beyond a potential reduction in foreign concessionaire roles, what other governance frameworks or operational adjustments might US-controlled operators consider to demonstrate compliance and loyalty to Beijing amidst escalating US-China tensions?"}],"footnotes":""},"categories":[16338,439,158],"tags":[12436,227,2319],"class_list":["post-7107","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-asia-news","category-legal-news","category-slider-home","tag-casinos","tag-china","tag-us"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/7107","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=7107"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/7107\/revisions"}],"predecessor-version":[{"id":21872,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/7107\/revisions\/21872"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/7126"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=7107"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=7107"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=7107"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}