Forced technology transfer charge baseless

The US' Section 301 investigation report claims China exerts pressure on foreign companies through shareholding restrictions and administrative licensing procedures to transfer US technologies to China. But decades of China's joint ventures and cooperation with multinational corporations in the machinery manufacturing sector show the claim is untenable, as Beijing has never forced foreign companies to transfer their technologies.

Four decades of reform and opening-up have opened the door to the Chinese market. Thanks to China's huge market potential and abundant labor resources, foreign-funded enterprises have rushed to the Chinese market and established cooperation with Chinese companies to achieve win-win results over the past decades.

In the joint projects between Chinese and foreign enterprises, both parties are independent business entities and voluntarily cooperate under the principles of equality and equal value exchange, consultation and consensus. Besides, after establishing a joint venture with a Chinese company, a foreign-funded enterprise provides relatively advanced technologies in order to better meet customer needs, expand its market share, and maximize the interests of its shareholders. This is nothing but commercial investment.