China pivotal to MNCs' global biz strategy

After establishing empowerment centers in Shanghai and Qingdao, Shandong province, as well as other regions within the country in recent years, the Stockholm-headquartered group is currently building its South China headquarters in Shenzhen, Guangdong province, at an investment of more than 200 million euros ($212.4 million). The facility will be operational by the end of next year.

This will create an "Industry 4.0"demonstration model, including a global "lighthouse factory" and the core resource ecosystem for the entire industrial chain. It will also offer solutions support for clients in Southeast Asia and other Asian countries, said Weiss.

Driven by its institutional opening-up, market size, robust infrastructure, growing innovation strength and talent pool, as well as its status as a "world factory", China's foreign direct investment, in actual use, reached $163.3 billion in 2023, an increase of 176 times compared to $920 million in 1983, data from the Ministry of Commerce showed.

Foreign executives at the CIIE often express "long-term confidence in China", grounded in the country's stable economic fundamentals and the consistent trajectory of steady growth in the world's second-largest economy, said Liu Tao, a researcher specializing in market economy studies at the State Council's Development Research Center.

Despite a high benchmark set in the previous year, China's economy posted a year-on-year growth rate of 4.8 percent in the first three quarters, surpassing that of many other major global economies, according to the National Bureau of Statistics.

By Nov 10, companies had already signed up for over 100,000 square meters of exhibition area for the eighth CIIE to be held in November next year, said the CIIE Bureau, one of the expo's organizers.

Reflecting this enthusiasm, Treasury Wine Estates, Australia's largest winemaker by sales revenue and the parent company of Australian wine brand Penfolds, believes that the CIIE is a well-developed business platform for China to open up global cooperation and promote a shared prosperous market.

Penfolds' booth showcased wines from countries including Australia, the United States, France and China for the fifth time during the seventh CIIE in Shanghai.

"This is an exciting time for TWE and the Penfolds business, with China remaining a highly attractive long-term growth opportunity," said Tom King, managing director for Penfolds.

King said that re-establishing the group's Australian portfolio in China this year has seen a fairly positive response from consumers to date, reflecting the ongoing strength of Penfolds' brand in the market.

"We will invest further to support our growth ambitions in China, including expanding our local team and developing business on digital sales platforms, while continuing to strengthen our commitment to the Chinese market, its consumers and the local industry," he added.

To meet surging domestic demand for various agricultural products, the Basel, Switzerland-headquartered Syngenta Group signed import agreements with a number of companies such as Louis Dreyfus Company, the Netherlands-based processor and merchant of agricultural goods, and Jiusan Grain and Oil Industry Group Co Ltd in Harbin, Heilongjiang province, for a total contract value of $1.5 billion during the seventh CIIE.

The agreements cover key agricultural exporting countries, including Brazil and Argentina, with a wide range of products such as feed grains, coffee, edible oil and oilseeds.

"Future agriculture must not only sustain a growing population, but also actively and effectively protect the environment. Achieving an efficient and green transformation is only possible through accelerated innovation in agricultural technology," said Su Fu, president of Syngenta Group China.

As a company deeply rooted in China's agricultural sector, Syngenta will focus on the vast market and significant opportunities arising from China's push toward agricultural modernization, said Su.

The export and import value of foreign-invested companies reached 10.61 trillion yuan ($1.47 trillion) between January and October in China, marking a 1.3 percent year-on-year increase and comprising 29.5 percent of the nation's total foreign trade value, according to statistics released by the General Administration of Customs.

zhongnan@chinadaily.com.cn