Chinese authorities have instructed an American Chamber of Commerce in the southwestern city of Chengdu to cease operations, officials with the organisation said on Tuesday.
The chamber notified members on Monday that, in accordance with Chinese laws and regulations, it had to stop operations and "no longer carry out any activities in the name of the American Chamber of Commerce in Southwest China."
Benjamin Wang, the group's chairman, said that it was in discussions with local authorities about its registration and future direction.
China's Ministry of Civil Affairs (MCA) appeared to be enforcing a rule that countries maintain only one official chamber of commerce in the country, Wang said.
The MCA did not immediately respond to a request for comment.