Did you know?In an auto parts factory in Shanghai, there is a special part called "electronic throttle". This part can control the air-gas mix ratio of the car, improve fuel efficiency and reduce emissions. The manufacturer of such parts is a multinational company from France, the Valeo Group. The company has been in China for more than 30 years and today has nearly 200 production sites in China, employs more than 50,000 people and generates annual sales of more than 10 billion euros in China.
Valeo Group is just one example of the many foreign companies investing in China. Since the beginning of this year, with the introduction of a series of policies to stabilize foreign investment and expand opening up, the business environment of the Chinese market has been continuously optimized, and the market vitality has been continuously stimulated, which has also attracted more and more foreign-funded enterprises to invest in China and take root in China. So, why is China still a "magnetic field" to attract foreign investment?A part that may give you the answer.
China's economy is resilient, full of potential and full of vitality, providing a stable development platform for foreign investment
The resilience of China's economy stems from China's timely and effective prevention and control of the epidemic, as well as the scientific and precise recovery of the economy and society. Against the backdrop of a global epidemic that is still severe, China has taken the lead in controlling the epidemic and resuming economic growth, becoming the only major economy in the world to achieve positive growth.
In 2020, China's economy grew by 23%, in the first three quarters of 2021, China's economy grew by 98%。The resilience of China's economy is also attributable to China's commitment to promoting high-quality development, accelerating the transformation of its development mode, optimizing its economic structure, cultivating new drivers and enhancing its innovation capabilities.
In 2020, the added value of China's high-tech industry increased by 71%, high-tech manufacturing and high-tech services attracted foreign investment by 11% and 25% respectively. China is the world's largest commodity country, the largest foreign exchange reserves, the largest manufacturing country, the largest online retail market, the largest middle-income group, and the largest social user base. China has a population of more than 1.4 billion, a labor force of more than 900 million, and a middle-income group of more than 400 millionMore than 800 million people with higher education and professional skills.
In recent years, China has introduced a series of policies and measures to stabilize foreign investment and expand opening-up, including revising the Negative List for Foreign Investment Access, narrowing the scope of restricted foreign investment and increasing the number of industries that encourage foreign investmentThe Foreign Investment Law has been enacted to protect the legitimate rights and interests of foreign investment and to implement the same treatment of foreign-invested enterprises and domestic-funded enterprises. According to the World Bank's Doing Business 2020 report, China's ranking in ease of doing business jumped 47 places, up from 78th in 2018 to 31st.
China's industrial upgrading and innovation provide a broad space for foreign investment
China is not only a huge market, but also an innovative market. China is accelerating industrial transformation and upgrading, cultivating and expanding emerging industries, and creating new competitive advantages. In the new round of scientific and technological and industrial transformation, China has actively embraced new technologies, new forms of business and new models, and continuously unleashed its innovation vitality and potential.
In 2020, China's R&D investment reached 244 trillion yuan, accounting for 2 percent of GDP4%, ranking second in the world;The number of patent applications filed in China reached 17080,000 pieces, ranking first in the world;China has the largest number of "unicorn" companies in the world, with 227, ranking second in the world.
China's innovation capabilities and achievements provide a broad space and opportunities for foreign-funded enterprises to cooperate. The innovation cooperation of foreign enterprises in China is not only reflected in the field of technology, but also in the field of products and services. By sharing technology, resources and markets with Chinese partners, foreign-funded enterprises can jointly develop products and services that meet the needs of the Chinese market, achieving a win-win effect.
The innovation cooperation of foreign-funded enterprises in China is also reflected in the field of models and concepts. Foreign companies have improved their competitiveness and adaptability by exploring new business models and management concepts with their Chinese partners.
Conclusion
Back to the beginning of the article, a part that makes China a "magnetic field" for foreign investment. This part is a microcosm of China's economy and a symbol of China's opening up. It reflects the resilience, potential and vitality of the Chinese economy, and demonstrates the stability, sustainability and inclusiveness of the Chinese economy. It embodies the upgrading, innovation and transformation of China's industry, and demonstrates the diversity, competitiveness and cooperation of China's industry. Foreign capital