Companies across the country are bleeding cash as they struggle with overcapacity and weak spending in a slumping economy, leaving them vulnerable to tariffs.

The owner of Calvin Klein and Tommy Hilfger has been placed on China's unreliable entities list, which could force it to cease operations in the region.

After many months of threats, the US has imposed 10% tariffs on all Chinese goods coming into the country. Helen Qiao, chief economist for Greater China at Bank of America, joins John Lee and Katia Dmitrieva to gauge the impact in the world's second largest economy and what could lay ahead.