With the spat between Google and the Chinese government regarding the theft of intellectual property getting fuelled day by day, a number of western companies in the country have been facing censorship of the Government.

Given the tensions creeping up between US and China over issues of currency control of China, the American companies are likely to go through a tough time in China.

Experts are of the opinion that the situation is going to worsen in the upcoming years with China getting harsher with the non-Chinese firms.

"It was inevitable after a certain time they would no longer roll out the red carpet for foreign companies and give them special treatment," said Susan Shirk, former U. S. Deputy Assistant Secretary of state.

As fallout of the situation, a number of companies including Silicon Valley have been reviewing their trade ties with China.

For years, US companies have been contributing to China’s economic expansion, spending billions of dollars for the establishment of top-notch research and development centers in the country.

China being a developing country has marked a tremendous growth, so far, with 400 million Internet users and 700 million mobile-phone subscribers. But the moving out of the foreign base from the country is much likely to come at the cost of its further growth.