Minister Wang Wentao Meets with VDMA President Karl Haeusgen,Minister Wang Wentao Meets with SAP CEO Christian Klein,FDI in China reached RMB574.81 billion from January to May 2023, up by 0.1% year on year

 On July 11, Commerce Minister Wang Wentao met with VDMA President Karl Haeusgen and had an in-depth exchange of views on China’s promotion of high-level opening up, exploring cooperation in emerging areas, and industrial chain and supply chain stability.

Wang Wentao noted that China will unswervingly pursue high-level opening up with its door to the outside world opening wider and wider. China is marching down the Chinese path to modernization in an all-round way. The modernization of 1.4 billion people will surely provide broad space of development for companies from across the world, not least Germany.

Wang Wentao pointed out that machinery and equipment manufacturing is a priority industry in Sino-German economic and trade cooperation. The two sides should further solidify existing cooperation foundation, explore cooperation potential in new areas, such as green and low-carbon development, digital economy and sustainable development, to further grow Sino-German economic and trade relations. Derisking should not be politicized or ideologicalized and still less lead to decoupling and desinicization. Businesses are market entities and know how to derisk best. The government should return the autonomy of derisking to businesses. Wanton meddling will only bring greater risks.

Haeusgen indicated that nearly 900 companies of the Association have established subsidiaries in China, creating nearly 150,000 jobs. Hopefully, China and Germany will carry forward the tradition of good cooperation and China will continue to expand opening up to create more opportunities for German machinery and equipment manufacturers. About 80% of German machinery products are intended for export. Decoupling is not in the interest of German business. He agreed that derisking should be based on autonomous business assessment and decision-making and supported strengthened exchange and dialogue between Chinese and German governments to provide more facility for bilateral business cooperation.

On July 11, Minister of Commerce Wang Wentao met with SAP CEO Christian Klein and had an in-depth exchange on promoting China-EU economic and trade cooperation, cross-border data flow and artificial intelligence technology application.

Wang Wentao noted that opening up is China’s basic state policy. We will unswervingly advance high-quality development and high-level opening up. China and Germany are important economic and trading partners to each other. Mutual trust is the foundation of Sino-German cooperation. Derisking should not be politicized or ideologicalized and still less lead to decoupling and desinicization

Wang Wentao pointed out that China, with its huge market and rich talent resources, is home to not only many industry champions, but also numerous promising dark horses. China is committed to building a market-oriented, law-based and international business environment. SAP is welcome to expand its investment in China, tap its technological advantages and leverage the CIIE and other platforms to become a trusted partner of more Chinese companies, help them find the right tracks and grow big and strong, and prosper together for win-win results through mutual service.

Klein indicated that over its thirty plus years in China and under its development strategy of ‘in China, for China and the world’, SAP has been committed to serving the digital transition and sustainable development of Chinese companies. It is against decoupling and actively takes part in building more resilient global supply chains, and calls for stronger international cooperation on setting unified global data security rules. For the next steps, SAP will continue to increase R&D spending in China and provide products and services of better quality for corporate customers in China.

In the first five months of 2023, paid-in FDI in China reached RMB 574.81 billion, up by 0.1% year on year, equivalent to USD84.35 billion, down by 5.6%.

By industries, paid-in FDI in the manufacturing industry was RMB147.08 billion, up 5.9%. Paid-in FDI in the high-tech industry grew by 7.5%, including a 30.8% increase in high-tech manufacturing industry and a 1.5% increase in the high-tech service industry.

By sources, paid-in FDI from France, the UK, Canada, and Japan increased by 429.7%、179.2%、170.1% and 63.3% (investment from the free trade port included).