California businesses bullish on China's booming market, eye stronger relations

Shanghai and California, two major economic entities across the Pacific, have expressed their commitment to further developing trade ties while maintaining strong locality cooperation.

Guo Shaochun, Chinese consul general in Los Angeles, said the vitality of China-US relations lies with entities at the locality level.

He made the remark at the China-California Business Forum in Los Angeles on Monday, where hundreds of officials and businesspeople from China and the United States gathered.

"Both California and related provinces and municipalities in China have developed and benefited greatly thanks to mutually beneficial and win-win cooperation between them," Guo said, adding that opening up at a higher level is an important part of China's efforts to develop new quality productive forces.

China was California's top trading partner with two-way trade amounting to more than $137 billion last year, he said. More than half the containers entering and leaving the Port of Los Angeles are for trade with China, and 70 percent of cargo volume at the Port of Long Beach is China-related.

"The security and stability of the industrial chain and supply chain across the Pacific Ocean matters to both sides," Guo said.

California Lieutenant Governor Eleni Kounalakis emphasized the importance of maintaining friendly relations between China and California.

"I hope people take the opportunity to develop friendships and relationships that are so important to us," she said.

Shanghai Mayor Gong Zheng expressed the metropolis' expectations to further enhance substantive cooperation with California.

"Shanghai maintains close economic and trade cooperation with the US. California, in particular, is a key partner for Shanghai," he told the forum in a keynote speech.

Since 1980, when Shanghai and San Francisco became sister cities, many Bay Area companies have used the relationship as a gateway to enter the Chinese market. In recent years, friendly exchanges between Shanghai and cities in California have been continuously strengthened.

Win-win development

"Looking to the future, we aim to deepen comprehensive and pragmatic cooperation, achieving a higher level of mutually beneficial and win-win development," Gong said.

Los Angeles Mayor Karen Bass highlighted the economic ties and climate cooperation between her city and Shanghai.

"Chinese ports are the most significant trading partners for the Port of Los Angeles. Our ports are also leading efforts to decarbonize shipping and port operations," Bass said.

China is the sixth-largest source of foreign-owned businesses in Los Angeles and the third-largest export market for carrier companies in the city, she said. Nearly 250 businesses from China have expanded to Los Angeles, creating jobs and economic opportunity. Over the past two years, Los Angeles companies have exported more than $60 billion in goods to China.

"The LA-Long Beach-Shanghai green shipping corridor is one of the first, the longest and the busiest trans-Pacific routes to take up this challenge," Bass said. "This important climate cooperation has continued without interruption and with increasing urgency over the past two years."

Bass said there are more reasons for Chinese visitors to invest in and partner with Los Angeles, as the city is about to host the FIFA World Cup in 2026 and the Olympic and Paralympic Games in 2028.

Amy Tong, secretary of California Government Operations, who was born in Guangdong province and moved to the US with her family when she was a teenager, shared with the audience how Chinese culture has significantly enriched the state, benefiting US communities in numerous ways.

California has long been a hub for cultural exchange between China and the US, helping Chinese visitors to feel "welcomed at home" and fostering rich artistic dialogue, she said.

"Numerous museums, galleries and cultural institutions of California have events showcasing Chinese arts, calligraphy, music and dance events like the Chinese New Year celebration, and cultural festivals further strengthen ties and promote mutual understanding," she said, noting that the state has attracted many Chinese students and scholars.

Recalling California Governor Gavin Newsom's trip to China last fall, Tong highlighted the importance of people-to-people cultural exchange.

Foundation of ties

"The governor's trip was courageous no matter what your political affiliation is," she said. "We need to focus on the culture, the economics and the mutual respect. This is the foundation to our shared relationship."

Several memorandums of understanding were also signed at the forum. Among them were agreements between the Shanghai International Port Group and Matson to promote green shipping corridors, World Trade Center Los Angeles and the Shanghai Foreign Investment Development Board to strengthen economic ties, and San Francisco International Airport and the Shanghai Airport Authority to promote cultural and tourism exchange.