CNBC's East Tech West conference is held at LN Garden Hotel in Nansha, Guangzhou. Dave Zhong | Getty Images Entertainment | Getty Images

As the trade war continues to rumble on between the U.S. and China, businesses will have to decide on which side they choose to align themselves, according to Mikkel Hippe Brun, co-founder of commerce platform, Tradeshift. Speaking at CNBC's East Tech West conference in the Nansha district of Guangzhou, China, Hippe Brun said Wednesday that he is already seeing companies altering their long-term strategies, even as the outcome of the fight remains unclear.

"Companies need to decide on what side of the tariff world do they want to place themselves: In the U.S., or in China, or do they want to move around the world by outsourcing to other countries?" Hippe Brun told CNBC's Geoff Cutmore and Akiko Fujita. The Tradeshift executive struck an optimistic tone on the upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping at this weekend's G-20 summit. "We could absolutely see progress," said Hippe Brun. But he noted that the shock has already been felt by businesses, and they have already begun to alter their processes.