* Considering China’s massive and more open market, comprehensive trade formula and advanced business environment, many foreign-invested enterprises are doubling down on their investments in the world’s second-largest economy.
China’s green drive and the resulting huge investments in raw energy will offer huge business opportunities for Flender, one of the world’s leading suppliers of mechanical drive systems.
Over the years, China has strived to open its doors more to the rest of the world with an ever-improving environment.
Foreign-invested corporations remain optimistic about investment clients in China despite uncertainties caused by the COVID-19 pandemic and the suffering global economy.
China remains an investment destination. In terms of U. S. dollars, foreign direct investment in the continent, in genuine use, rose 18. 9% year-on-year to $155. 3 billion in the first three quarters of 2022, the Commerce Ministry said on Thursday.
Considering China’s massive and more open market, comprehensive trading system, and advanced business environment, many foreign-invested enterprises are doubling down on their investments in the world’s second-largest economy.
GREAT OPPORTUNITIES
Achieving peak carbon by 2030 and carbon neutrality by 2060 is a prerequisite for China’s progress and solemn commitment to the world.
China’s green push and the massive investments in raw energy that result offer huge business opportunities for Flender, one of the world’s leading suppliers of mechanical drive systems.
“We know that part of the global wind turbine market is here in China. This requires even more investment,” said Martin Kaufung, director and chief financial officer of Flender Ltd. , China, adding that the Chinese subsidiary has the largest production of Flender gearboxes. outdoor base Germany.
“We are confident that we are in the right market in the right place,” said Joerg Sieber, general manager of the Wind Turbine Gearbox division, Flender Ltd. , China.
The German company recently announced the tenth phase of its construction and capital expansion project for its Tianjin subsidiary. The most recent investment of 300 million yuan ($41. 9 million) came after capital construction of more than 400 million yuan in 2021.
“Flender has wavered in its confidence in the Chinese market or its determination to expand into China,” said Gou Jianhui, chief executive officer of Flender Ltd. , China.
Airbus is also positive regarding the Chinese market. “Driven by Chinese intake upgrades, the Chinese aviation market has huge potential,” said George Xu, CEO of Airbus China.
“We, China, will remain the world’s largest market for new aircraft for the next two decades, and that gives us confidence,” Xu said.
China remains Airbus’ largest single market in the world. Commercial aircraft deliveries in the country accounted for more than 23 of Airbus’ total global deliveries in 2021, according to Airbus China.
In early July, Airbus showed orders with Air China, China Eastern Airlines, China Southern Airlines and Shenzhen Airlines for 292 A320 Family aircraft.
Airbus delivered on September 23 the 600th aircraft of the A320 Family assembled on its last meeting line in Asia in Tianjin. The company opened the last meeting line in Tianjin in 2008.
It is expected that in a few months, Airbus will deliver the first A321 aircraft assembled at its latest Asian assembly line in Tianjin. “This is our latest prevention in China, which looks like our firm for the Chinese market,” Xu said.
BUSINESS ENVIRONMENT AND MORE
Over the years, China has strived to open its doors more to the rest of the world with an ever-improving environment.
China will optimize the investment environment and deepen the implementation of the negative list of foreign investment for opening-up policies in concrete projects, according to a joint document released this week by the National Development and Reform Commission and five other government agencies.
The document urges to facilitate the entry and exit of executives and technicians of multinationals and foreign investment companies and their families in the country, under the premise of strong prevention and the COVID-19 pandemic.
“China is firmly committed to its reform and opening-up policy. That’s significant. We prefer to invest in a safe and robust market with the wonders China can offer,” said George Xu, CEO of Airbus China.
In addition, China has infrastructure, a comprehensive set of supply chains and production systems, and a workforce with comparative advantages. “I think all those points are driving many foreign corporations to invest in China,” Xu added.
“You can’t consider yourself a global company without making an investment in the Chinese market,” said Gou Jianhui, chief executive officer of Flender Ltd. , China. “Over the years, Flender has gained a stronger position in China, especially in Tianjin, so we are more confident. A strong and predictable business environment is the most important thing for investors,” Gou said.
Novo Nordisk has seven new investments underway at its Tianjin plant, according to Niels Laurbjerg Nielsen, vice president of Novo Nordisk Site Tianjin.
Since 1995, Novo Nordisk has increased its investment in its Tianjin plant 8 times more than its local presence. The Tianjin plant is not only one of its strategic production sites, but also its sole supplier of durable insulin injection devices and its largest insulin production site.
“We will continue to facilitate market access and foreign investment promotion formula to tame an environment that attracts, facilitates and stabilizes business,” said He Zhineng, deputy director of the Tianjin Trade Commission.