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Data from the National Bureau of Statistics showed that between January and April, the sales revenue of China's catering industry decreased by 41.2 percent on a yearly basis to 833.3 billion yuan (7 billion). In April, the sales revenue was 230.7 billion yuan. Although the drop narrowed to 31.1 percent on a yearly basis, the downward pressure for the entire industry was still huge.

David Kelly, chief global strategist at JP Morgan Asset Management, also believes the US can ill afford a protracted trade war.

Data showed that Chinese investment in Canada dropped by half as diplomatic clashes escalated from the beginning of this year following the arrest of Huawei CFO Meng Wanzhou after an extradition request by the US.

David Anderson, a professor and livestock economist at Texas A&M, said that with China being a major export market for US pork, the tariff will affect the overall meat market in the US.

Data from NBS showed that China's per capita disposable income stood at 30,733 yuan (,478) last year, up 5.8 percent year-on-year in real terms after deducting price factors.