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China to boost cooperation with Austria

By Ouyang Shijia | China Daily | Updated: 2019-04-27 07:15
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Companies from both sides plan third-party market tie-ups for growth

China and Austria will sign a memorandum of understanding on third-party market cooperation on Sunday, as the two countries look to develop further with the Belt and Road Initiative framework, said an official at the National Development and Reform Commission.

Wang Jianjun, director general of the department of foreign capital and overseas investment at the NDRC, said more opportunities and favorable conditions will be available for companies from both sides.

"Companies from both nations are highly complementary, showing great potential and broad prospects for cooperation in third-party markets," Wang said. "Austria has unique advantages in fields including mechanical equipment manufacturing, environmental protection, engineering design and healthcare. China has rich experience in fields such as infrastructure, energy development, machinery and equipment and financing."

Wang made the remarks on Friday at the Sino-Austrian Forum on Third Market Cooperation held in Beijing.

According to Wang, the NDRC will actively work with the Austrian Federal Ministry for Digital and Economic Affairs to establish a third-party market cooperation platform and promote cooperation in terms of projects, companies and financial support, Wang said.

China remained one of Austria's top five trading partners, and the trade volume between the two countries surged 16.2 percent year-on-year to $9.75 billion in 2018, statistics from the Ministry of Commerce show.

"Benefiting from open markets, China has made huge technological progress and has become an active participant in world trade," said Richard Schenz, vice-president of the Austrian Federal Economic Chamber. "As a result, many opportunities have evolved for Austrian companies to offer their expertise and know-how to Chinese partners not only in China, but also in markets outside of China."

Schenz cited a recent survey conducted by the chamber's Beijing office, saying 28 percent of the surveyed subsidiaries of Austrian companies in China said they were doing business with Chinese partners outside of China. And a further 38 percent of the respondents said they were considering to do so in the near future, it said.

Chen Wanjie, director of the Confucius Institute at the University of Graz in Austria, said he saw great potential for cooperation between the two countries in third-party markets.

"While 99 percent of the Austrian companies are small and medium-sized firms, many of them have advanced technologies. Combining China's large-scale production capabilities and Austria's high-tech, I believe there's a promising future. And it will also support the development in third-party markets."

In recent years, many Chinese companies are ramping up their global businesses and actively participating in countries and regions involved in the Belt and Road Initiative.

China State Construction Engineering Corp Ltd is one of the growing Chinese companies forging a bigger global footprint. To date, it has built more than 6,000 projects in over 130 countries and regions, with total revenue of more than $100 billion.

"We believe the cooperation between Austrian and Chinese companies will give full play to complementary advantages," said Jin Jiangping, vice-president of international operations at China State Construction Engineering Corp Ltd.

"Austrian companies have a better understanding of Central and Eastern Europe. And it has geographical advantages as well as strong competitiveness in design consultation and technical standards," Jin said. "We are willing to cooperate with Austrian companies in Central and Eastern Europe and other third-party markets for mutual benefit."

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