**Beijing**: In a meeting with global business leaders, President Xi Jinping highlights China’s dedication to foreign investment and cooperation, outlining measures to enhance market access and foster an open economy amid geopolitical challenges and shifting global dynamics.
At the end of March 2024, President Xi Jinping held a meeting with top executives and representatives from the international business community at the Great Hall of the People in Beijing, affirming China’s commitment to foreign investment and cooperation. This meeting, which took place on March 28, was part of the China Development High-Level Forum, with attendance from over 40 presidents and CEOs of multinational corporations, including notable figures like Martin Räsberg of FedEx Group and Ola Källenius of the Mercedes-Benz Group.
During the gathering, President Xi highlighted the achievements China has made since the founding of the People’s Republic 70 years ago, specifically pointing to the nation’s rapid economic growth and long-term social stability, both of which he attributed to the leadership of the Communist Party and the contributions from foreign enterprises. “For many years, China has made a significant contribution to the stability of global economic growth,” Xi stated, underscoring his view that China has become an integral part of the global economy.
Xi Jinping elaborated on China’s ongoing commitment to an open economy, stressing that the country’s policies on foreign investment remain steadfast. He noted, “The door to opening up will only open wider,” indicating a future trajectory aimed at enhancing institutional openness and integrating more comprehensively into global markets. He reported that China is the world’s second-largest consumer market, housing the largest middle-income population and representing a promising destination for investment, particularly in sectors undergoing transformation such as green, digital, and smart technologies.
The meeting reflected broader efforts by China to improve the business environment for foreign investors. The President affirmed that legislative and regulatory frameworks would support foreign investment, ensuring equal treatment with domestic firms and promoting fair competition. He addressed the importance of multilateralism amidst global economic challenges, advocating for a cooperative international environment to bolster economic globalization.
Executives from foreign companies echoed Xi’s sentiments, commending China’s stable economic growth and comprehensive reforms. Many business leaders acknowledged that despite pressures from rising protectionism, China’s ongoing efforts to open its markets had stabilised foreign investment and attracted global attention. Paul Hudson, CEO of Sanofi Group, remarked on China’s transition from “Made in China” to a new quality productive force through innovation.
In addition to the meeting’s focus on economic collaboration, Xi outlined forthcoming measures, including the expansion of market access and improving the conditions for foreign-funded enterprises. He reiterated China’s role as a key player in international trade and its commitment to the multilateral trading system, particularly in a climate marked by increased protectionist policies worldwide.
As China continues to navigate complex geopolitical dynamics, particularly those stemming from ongoing tensions with the United States, the government is keen to foster confidence among foreign investors. The recent meeting illustrates a strategic move to reaffirm China’s position as a secure and appealing investment locale, and to counter perceptions of risk associated with foreign businesses operating within its borders.
Data from China’s Ministry of Commerce demonstrated positive trends in foreign investment, with 59,080 new foreign-invested enterprises established in 2024, marking a 9.9% increase from the previous year. This reflects a broader recovery in private sector confidence following the easing of anti-COVID policies in 2023, which allowed for a revitalisation of China’s economy and market.
Looking ahead, as geopolitical tensions persist, particularly in the context of potential shifts in the U.S. foreign policy landscape with the anticipated return of Donald Trump, China remains poised to adapt and promote its objectives for economic cooperation. This indicates a recognition within Chinese authorities of both the challenges and opportunities presented by evolving global dynamics.
Overall, Xi Jinping’s meeting with international business leaders serves as a strategic affirmation of China’s commitment to foreign investment and its vision for progressive engagement with the global economy, with significant implications for the direction of international trade and economic relations in the years to come.
Source: Noah Wire Services
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