The United States should "use every arrow" in its quiver to ensure a level commercial playing field in China, a U.S. business lobby said yesterday, warning that 2017 could be the toughest year in decades for American firms in the country.

China's policies designed to support domestic companies and create national champions have narrowed the space for foreign companies, the American Chamber of Commerce in China said in its annual business climate report.

The White House has said U.S and Chinese officials are fleshing out a pledge by leaders Donald Trump and Xi Jinping for a 100-day plan to cut the U.S. trade deficit with China, which reached $347 billion last year. But the chamber said it hoped more attention would be paid to market access for American firms in China.