American giant IBM will close its research and development unit in China and move it to another country.
Asked about the layoffs, a company spokesman told AFP: "IBM is adapting its operations as needed to best serve our customers, and these changes will not affect our ability to support customers in the region."
Officials explained that more than 1,000 jobs in China will be cut, and it is unclear where the company will move its operations.
The company has been operating in China for decades and has thousands of employees in the country.
Its research and development teams are based in several cities, including Beijing, Shanghai and Dalian.
Tensions between the US and China have caused a number of international companies to lay off staff or relocate some of their operations.
American firms in China increasingly complain of an unfair business environment with limited intellectual property protection and preferential treatment of local competitors.
Last year, these concerns were heightened by a large-scale crackdown on US consulting firms operating in China. | BGNES
