In today's dynamic global landscape, China is capturing the attention of investors worldwide with its unique appeal and robust economic strength.
At the recent Two Sessions, China's government work report outlined a series of policy directions aimed at attracting foreign investment. This underscores China's commitment to economic globalization and solidifies its position as a \"paradise\" for global investment.
Despite the complex and ever-changing international climate, which presents significant challenges to the global economy, China continues to thrive. Some foreign media have attempted to amplify concerns about \"foreign capital withdrawal\" and a \"deteriorating business environment\" in China, aiming to undermine confidence in the Chinese economy. However, the actual data tells a different story.
In 2023, China attracted foreign investment exceeding one trillion yuan, ranking as the third-highest level in history. Throughout the year, 53,766 new foreign-invested enterprises were established, marking a year-on-year increase of 39.7 percent. This surge in new enterprises highlights the global business community's confidence in China's future development.
The structure of foreign investment has also evolved, with 37.4 percent of investment directed towards high-tech industries, up by 1.3 percentage points from the previous year. Additionally, the manufacturing sector saw a rise to 27.9 percent, an increase of 1.6 percentage points.
Despite the impact of the pandemic and external restrictions on China-related investments imposed by some countries, which resulted in an 8 percent decrease in the actual use of foreign capital last year, early 2024 data indicates a gradual recovery. In January, the actual use of foreign capital grew by 20.4 percent month-on-month, with high-tech manufacturing experiencing a 40.6 percent surge, accounting for 34.7 percent of total foreign capital usage.
To bolster this recovery and implement the spirit of the Two Sessions, the Chinese government has introduced a series of policies aimed at expanding market access, intensifying policy efforts, and optimizing a fair competition environment. Since last year's \"24 Measures to Attract Foreign Investment,\" over 60 percent of the policy measures have been implemented or are making good progress.
These initiatives have been well-received by foreign-invested enterprises. Additionally, on March 19, the State Council launched the \"Action Plan to Steadily Promote High-level Opening up and Make Greater Efforts to Attract and Utilize Foreign Investment,\" addressing key challenges in attracting foreign investment with targeted measures. This includes issuing a negative list for cross-border service trade, preparing a new negative list for foreign investment access, reducing restrictions on foreign investment, and conducting trials in sectors such as medical care, value-added telecommunications, banking and insurance, and bond funds.
Furthermore, the government has expanded the \"Catalogue of Industries Encouraged for Foreign Investment\" and strengthened support for advanced manufacturing and other fields. To enhance the business environment, new review rules for fair competition in bidding and tendering are being implemented to tackle issues like local protectionism and ownership discrimination. In the digital economy sector, the \"Regulations on Promoting and Regulating Cross-border Data Flows\" have been introduced to ensure data security and facilitate the orderly and lawful free flow of data.
These comprehensive policies demonstrate China's unwavering determination to expand its openness and attract foreign investment. Looking ahead, with the sustained recovery of China's economy and continued opening-up, the nation is set to maintain its strong appeal to global investors. The future holds promise for more foreign-invested enterprises to seize development opportunities and collaborate with China in building a global community with a shared future.
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China remains 'paradise' and 'high ground' for foreign investment
cgtn.com
