Multinational corporations (MNCs) remain overwhelmingly optimistic about China's economic trajectory, with 94% expressing confidence in the market's 2026 outlook, according to a KPMG report released this week. The findings highlight sustained foreign investor trust despite global headwinds, with 75% of surveyed firms planning to maintain or increase investments in the Chinese mainland next year.
Strategic Shifts Amid Evolving Market
As competition intensifies, 60% of MNCs have pivoted from expansion-focused strategies to prioritizing profitability. Over 80% reported deepening localization efforts, particularly in manufacturing, supply chains, and R&D. "Acquiring local partners helps bridge cultural and operational gaps," noted KPMG's Mark Harrison, emphasizing vertical integration trends in consumer sectors.
Institutional Confidence Persists
The International Monetary Fund's China representative Marshall Mills recently praised the economy's "remarkable resilience" during 2025's challenges, echoing Bloomberg's April analysis that cautioned against underestimating China's adaptive capacity. These assessments align with visible trade momentum: China-Europe freight trains handled record cargo volumes this month at key hubs like the China-Kazakhstan Logistics Base.
