U.S. law firms hasten retreat from mainland China

NEW YORK/HONG KONG -- U.S. law firms rapidly scaled back their mainland China offices this year amid a growing list of challenges including a worsening capital market, structural economic problems and geopolitical tensions.

Headcount for U.S. law firms in the world's second-largest economy sharply decreased to 545 in July from 643 in 2022, according to figures from legal services database Leopard Solutions. Multinational firms had expanded on the back of a global dealmaking boom, and in anticipation of China reopening its borders to foreign visitors after the coronavirus pandemic.