Experts say foreign investment plan showcases China's commitment to opening up
China has committed to broadening the list of industries that welcome foreign investment, increasing support for reinvestment by foreign-invested entities, and improving their financing options. These efforts are part of a comprehensive set of 20 measures designed to stabilize foreign investment. Experts assert that the recently unveiled 2025 action plan highlights the nation’s commitment to the global market and its goal of high-level opening-up.
TroibNews 
China has committed to broaden the range of industries that welcome foreign investment, enhance support for reinvestment by foreign-invested businesses, and streamline financing options as part of a set of 20 measures designed to stabilize foreign investment. Experts assert that this newly issued action plan for 2025 highlights China's dedication to the international market and its commitment to a high-level opening-up.
Pan Yuanyuan, deputy director of the International Investment Department at the Chinese Academy of Social Sciences, pointed out the significant impact of foreign investment on China's economic development. She noted that since 2017, there has been a marked slowdown in global foreign direct investment, accompanied by a decrease in global capital inflows. Nonetheless, Pan underscored that China is steadfast in its efforts to promote an expansive opening-up, reflecting its confidence in the international market and its economic robustness.
According to Zhao Fujun, director of the Comprehensive Research Office at the Department of External Economic Research at the State Council's Development Research Center, the plan outlines practical measures aimed at stabilizing existing foreign investment and increasing new capital inflows. He believes that the execution of this action plan will be pivotal in bolstering foreign investment, enhancing investor confidence in China, and supporting the country’s high-quality development trajectory.
The action plan also advocates for greater foreign capital participation in equity investments within China and calls for improvements to the rules and processes governing foreign mergers and acquisitions.
Zhang Wei, Vice President of the Academy of International Trade and Economic Cooperation at the Ministry of Commerce, emphasized that this initiative is expected to attract more foreign firms to deepen their investments in China through acquisitions, fostering higher-level international collaboration between Chinese and foreign enterprises.
Furthermore, the action plan seeks to enhance service guarantees for foreign investments, facilitate the movement of personnel, and ensure fair treatment across the board.
These initiatives are aimed at creating a more conducive environment for foreign-invested enterprises in China, allowing them to partake in the benefits of the country's economic growth, says Zhang.
By the conclusion of 2024, nearly 1.24 million foreign-invested enterprises had been established in China, with a total actual foreign investment amounting to 20.6 trillion yuan, which has contributed nearly 7 percent to employment and roughly one-seventh of the country’s tax revenues.
Thomas Evans contributed to this report for TROIB News
Pan Yuanyuan, deputy director of the International Investment Department at the Chinese Academy of Social Sciences, pointed out the significant impact of foreign investment on China's economic development. She noted that since 2017, there has been a marked slowdown in global foreign direct investment, accompanied by a decrease in global capital inflows. Nonetheless, Pan underscored that China is steadfast in its efforts to promote an expansive opening-up, reflecting its confidence in the international market and its economic robustness.
According to Zhao Fujun, director of the Comprehensive Research Office at the Department of External Economic Research at the State Council's Development Research Center, the plan outlines practical measures aimed at stabilizing existing foreign investment and increasing new capital inflows. He believes that the execution of this action plan will be pivotal in bolstering foreign investment, enhancing investor confidence in China, and supporting the country’s high-quality development trajectory.
The action plan also advocates for greater foreign capital participation in equity investments within China and calls for improvements to the rules and processes governing foreign mergers and acquisitions.
Zhang Wei, Vice President of the Academy of International Trade and Economic Cooperation at the Ministry of Commerce, emphasized that this initiative is expected to attract more foreign firms to deepen their investments in China through acquisitions, fostering higher-level international collaboration between Chinese and foreign enterprises.
Furthermore, the action plan seeks to enhance service guarantees for foreign investments, facilitate the movement of personnel, and ensure fair treatment across the board.
These initiatives are aimed at creating a more conducive environment for foreign-invested enterprises in China, allowing them to partake in the benefits of the country's economic growth, says Zhang.
By the conclusion of 2024, nearly 1.24 million foreign-invested enterprises had been established in China, with a total actual foreign investment amounting to 20.6 trillion yuan, which has contributed nearly 7 percent to employment and roughly one-seventh of the country’s tax revenues.
Thomas Evans contributed to this report for TROIB News
