Multinational companies have expressed satisfaction with the favorable business environment in Shanghai and are showing confidence in their future development in the Chinese market.

"We have seen a fast development in China over the years, and prosperity and stability in the market make us fully confident of future development," said Meng Xianyu, commercial director of Jungheinrich (Shanghai) Management, a German material-handling equipment and logistics enterprise.

About five years ago, Jungheinrich's Chairman Hans-Georg Frey decided to base the company's China headquarters in the Hongqiao CBD after he discovered how accessible it was to Hongqiao Airport and Hongqiao Railway Station.

"Such a good location provides great convenience for businesspeople who take frequent business trips in the Yangtze River Delta region and China," Meng said.

"With years of development here, we have received a lot of support and help from the administrative committee of the Hongqiao CBD," Meng said. "When we meet difficulties, the administrative committee helps us solve them. This makes us feel grateful and we have full confidence in our future development in China."

The outbreak of COVID-19 affected many industries but her company's business has already seen a smooth recovery in the Chinese market since June, she said.

Based on confidence coming from the favorable business environment and stable development in the Chinese market, the company plans to upgrade its China headquarters into an Asia-Pacific headquarters later this year, Meng said.

In a move to further expand into the Chinese market, the company will also increase its exhibition area and offer more online interactions with audiences during the third China International Import Expo, which will take place in November, Meng said.

Meng's view has been echoed by many other companies.

"I carefully looked at the map of Shanghai when we chose a place to set up our office. The Hongqiao CBD is a world-class transport and business hub, which makes it an ideal gathering place for companies," said Chen Yanzhong, general manager of Kistler Group.

Headquartered in Switzerland, the privately-owned company operates across the world and is a global market leader in dynamic measuring technology. It provides solutions in automotive research and testing, sensor technology and industrial process control.

According to Kistler, the new branch in Shanghai is the next logical step in its global corporate strategy. It is not only the future hub for all of Kistler's Chinese projects, but also it will strengthen communication with customers in China with comprehensive service, sales and technical support.

The Kistler Group has been represented in the Chinese market for more than 20 years. In 2018, it acquired LIK, a Chinese special-purpose machinery manufacturer, and started to strengthen its presence in China's dynamic vehicle market.

This step has expanded Kistler's industrial expertise by including the manufacture of automated production lines to its portfolio, with a focus on the rapidly growing electric vehicle sector, it said.

Despite the effects of COVID-19, the company is showing confidence in the future of China. Chen said the company is planning to transfer more production orders from Europe to China in a move to further save costs and improve efficiency.

"Shanghai grows at a very fast pace and the business environment in the city is becoming even better," said Li Peimin, general manager of Oishi Shanghaojia, one of the most widely respected and recognized snack food brands in China.

"We have been in Shanghai for more than two decades, in which we built up our business in China from very small beginnings. Also, we witnessed Shanghai's development," Li said, noting that Shanghai authorities' quality service and high work efficiency are impressive.

"The outbreak of COVID-19 had a profound effect on our company. As a manufacturing company, we were facing pressure over the suspension of production earlier this year," said Li.

"The local authorities provided us with supportive policies, such as tax deductions. These helped us relieve stress and return to production."

Li said the company has seen recovery since the second quarter.

"Shanghai's favorable business environment and strong service awareness make a company feel safe to do business here," Li added.