Grasp changes to seize opportunities

Some European Union enterprises worry that their participation in the Chinese market might face more restrictions in the future, according to a report recently released by the European Union Chamber of Commerce in China.

This worry is unfounded. As China accelerates the formation of a new development paradigm, foreign-funded enterprises' participation in the Chinese market will only become deeper and broader.

China has always attached great significance to attracting foreign-funded enterprises and providing them with a favorable development environment. Although foreign-funded enterprises account for only 2 percent of the total number of enterprises in China, they contribute 40 percent of foreign trade and one-sixth of the tax revenue, and directly and indirectly create 10 percent of the jobs in the country.

According to the development planning on foreign fund utilization during the 14th Five-Year Plan (2021-25) period the Ministry of Commerce issued last month, China will promote high-level opening-up, and more effectively attract and utilize foreign funds.

Foreign companies are actually well aware of the opportunities China will bring them in the foreseeable future. China will expand imports to meet domestic demand. And to accelerate the construction of a dual-circulation development paradigm to stimulate the potential of domestic demand does not mean that there will be fewer opportunities for foreign investors, but rather more opportunities to share the development dividends of the Chinese market.

As China is opening more industries and market sectors to foreign enterprises, they will gain broader access to many new fields, such as manufacturing, agriculture, telecommunications, internet, education, culture and medical services and logistics.

Another trend is that China will continue to optimize the structure of foreign investment utilization, encourage more foreign investment in digital transformation, energy conservation, environmental protection, green services and other industries, and participate in new infrastructure development. Relevant departments have also repeatedly expressed support for foreign enterprises to participate in undertaking national science and technology projects.

In fact, foreign enterprises are also constantly optimizing their investment layout in China. Statistics of the commerce ministry indicate that the actual utilization of foreign investment in China's high-tech industries rose 23.7 percent year-on-year from January to October.

Under the current international situation, it is understandable that some foreign companies have concerns about the development environment in China. Yet as long as they grasp the changing trends and characteristics of the Chinese economy, they will surely gain broader space for development.

- ECONOMIC DAILY