International companies show confidence in Chinese market resilience

Foreign investment maintained steady growth in Shanghai in the first half of 2020, reflecting the confidence of foreign investors in the resilience of the Chinese market amid the global economic slowdown due to the COVID-19 pandemic.

According to statistics from the Shanghai government, the city received $10.28 billion in foreign investment in the first six months of 2020, an increase of 5.4 percent based on the same period in 2019.

As of June 30, the city is home to 746 regional headquarters of multinational companies, up by 26 from last year. The total number of foreign-invested research and development centers is now 471, an increase of 10 from 2019.

A total of 54 foreign investment projects with a combined contracted value of $8 billion were inked in Shanghai on July 22, among which 15 are related to new infrastructure construction, artificial intelligence, internet technology, pharmaceuticals and integrated circuits.

According to Xu Kunlin, vice-mayor of Shanghai, the slew of projects signals companies' determination and confidence in China and in Shanghai.

"The city has a complete set of infrastructure, an environment that respects the rule of law, and an efficient government, on top of a multitude of talents, all of which are integral to a company's growth and development," said Philippe Snel, China representative of PRD Group.

Fengxian online

The government service center of Fengxian. CHINA DAILY

Aiming for more foreign investors, the Shanghai government and all lower-level governments in the city have made great efforts in supporting them in the first half of 2020.

Fengxian district, a traditional manufacturing hub in Shanghai, has paid great attention to organizing online promotions to keep global investors in contact amid the pandemic, district officials said.

"We hosted 76 online promotions in the first half of 2020 and attracted an audience of about 25.6 million," said Gu Weixing, director of the investment promotion office of Fengxian and the Oriental Beauty Valley industry promotion office. "More than 1,300 foreign investors' information has been collected from those online events."

A WeChat platform, named Invest Fengxian Cloud, which allows potential investors to obtain detailed information about parcels of land including total area, location, rental and function, began operation in November. There are staff members to answer investors' inquiries and provide them with investment information, according to Shao Xudong, deputy director of the investment promotion office of Fengxian.

"We are constructing a Taobao-like platform so investors can select sites in Fengxian online," Shao said.

"Compared to other districts, Fengxian has not always had high-profile projects, but we will spare no effort to strengthen communication and settle new projects in the region," Gu said.