China is marking the 10th anniversary of its Belt and Road Initiative (BRI) with renewed commitments to foster an open world economy. At the third Belt and Road Forum for International Cooperation, President Xi Jinping delivered a keynote speech emphasizing “openness and inclusiveness” as cornerstones for global economic growth.
President Xi announced eight major steps to support high-quality Belt and Road cooperation. Notably, he highlighted China’s decision to remove all restrictions on foreign investment in its manufacturing sector. This significant policy shift opens new opportunities for foreign companies to access markets in China previously inaccessible.
In addition to easing investment barriers, China pledged to align with international high-standard economic and trade rules. The country aims to further promote high-level opening-up of cross-border service trade and investment, expand market access for digital products, and enhance development in sectors such as state-owned enterprises, the digital economy, intellectual property rights, and government procurement.
The 6th China International Import Expo (CIIE), currently taking place in Shanghai, exemplifies China’s commitment to opening up. The expo has attracted over 3,400 exhibitors and approximately 400,000 professional visitors, returning to pre-pandemic levels. Participants include executives from Fortune 500 companies and leading global firms across various industries.
More than 400 new products, technologies, and services are being showcased at the CIIE, featuring high-end equipment, environmentally friendly products, and biotechnology advancements. Agricultural products like Kirin fruit from Ecuador and pineapples from Benin are entering the Chinese market, reflecting China’s efforts to stimulate imports. Further measures include reducing tax rates on imported goods and encouraging cross-border e-commerce.
China describes the Import Expo as “an international public good shared by the world,” demonstrating a commitment to multilateralism and the concept of “a community with a shared future for mankind.”
While China’s further opening-up is expected to intensify competition, it aims to benefit domestic consumers and drive reforms within state-owned enterprises. By welcoming foreign competition, Chinese companies are encouraged to innovate and improve, leading to better products and services.
Despite the positive signals, some foreign companies remain cautious due to past policy shifts and investigations. Although foreign direct investment in China decreased by 5.1 percent year-on-year in the first eight months of 2023, the new measures are intended to reassure investors that China’s doors are opening wider. Officials express confidence in China’s determination to integrate further into the global economy.
The global community watches closely how these new measures will be implemented and how foreign enterprises will respond to the evolving economic landscape in China.
Reference(s):
cgtn.com
