China giving MNCs strategic forte

Q5 Looking ahead to the second half of the year, what will you be watching most closely as indicators of China's economic resilience, reform progress and long-term growth potential?

PRASANNAN: First, the delivery pace of green industry orders: we focus on new contracts for dual fuel engines such as methanol and ammonia engines, and the existing vessel retrofit demand. We previously warned that even if all newbuilds switch to alternative fuels by 2030, 50 gigawatts of existing two-stroke capacity will still need retrofitting by 2050 to hit the IMO Net-Zero Framework target — the current lag in the retrofit market has already created clear risks of capacity shortages.

Second, the commercialization speed of cutting-edge technologies: we track the real deployment performance of digital products — including our CEON TechBot and PrimeServ Assist in local Chinese projects — to verify the rollout pace of industrial digital upgrading.

I am focused on two milestones: China's 15th Five-Year Plan decarbonization policies and the IMO's Net-Zero Framework review later this autumn. Both will shape the future of zero-carbon shipping, and we are ready to seize the opportunities with our Chinese partners.

CHENG: Looking ahead, we will be watching three areas closely. First, the resilience of Chinese companies as they expand into a broader range of global markets. Their ability to diversify, deepen local operations and invest in long-term brand building will be an important indicator of competitiveness.

Second, we will look at how policies supporting financial opening and cross-border trade facilitation are implemented in practice, helping reduce friction for businesses and support more efficient, stable financial infrastructure.

Third, we will look at whether Chinese companies continue progressing from product exports to global operations. This includes building brands, establishing local market presence, managing multi-market financial operations and creating long-term customer relationships. We believe this evolution will be one of the clearest indicators of the quality and sustainability of China's future growth.

XIA: On the macro side, industrial production, exports, domestic consumption, private investment and business confidence will remain important. But I would also look beyond headline numbers. For example, we'll note the performance of high-tech manufacturing, equipment manufacturing, services consumption, green industries and innovation-driven sectors such as new energy vehicles, low-altitude economy, advanced consumer goods and circular economy. These sectors are good indicators that can tell us more about the quality and sustainability of growth. For Evonik, our confidence in China is based on these structural trends. There will always be cycles and uncertainties, but China's direction toward innovation, sustainability and high-quality development is highly consistent with Evonik's strategic focus.

YIN: Market vitality will be one indicator for the underlying economic resilience. When consumption is driven by rising expectations for better livelihoods, it generates lasting momentum across a wide range of sectors including retail, home improvement and digital services. On the other hand, driven by large-scale urban renewal and community renovation, China continues to unlock new market potential.

Momentum in new growth engines will be another key indicator. Investment and innovation in advanced manufacturing, new energy, and AI, etc. will increasingly drive economic development, productivity gains, industrial upgrade, and new forms of consumer and business demand.