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China, Europe predict new momentum in trade ties

By Chen Liubing | chinadaily.com.cn | Updated: 2021-01-14 14:27
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Containers are seen at China's largest land port, Manzhouli port, in Inner Mongolia autonomous region, on Jan 5, 2021. [Photo/Xinhua]

The pandemic has not shaken the investment confidence of European enterprises to China, as 89 percent of European companies plan to stay in China, and two-thirds of enterprises list China as the top three investment destinations, according to a survey conducted by European Union Chamber of Commerce in China, the report said.

L'Oreal China has witnessed 20.8 percent growth in the first three quarters of 2020, with growth in e-commerce business and high-end cosmetics market leading the charge, said Fabrice Megarbane, president of North Asia Zone and CEO of L'Oreal China, to People's Daily. China has a huge consumer base, which has created favorable conditions for the rapid development of the digital economy, he added. Jean-Philippe Poulin, China region president of French yeast producer Lesaffre, also noted that the group has continued to increase investment in China. The open market of China means opportunities to the world, he said.

Some Chinese enterprises, on the other hand, have increased their investment in the European market as well. Chinese battery maker SVOLT Energy Technology decided to inject 2 billion euros to set up battery plant and R&D center in Germany. The factory is projected to produce 300,000 to 500,000 batteries for electric vehicles, and create around 2,000 jobs. Lenovo Group also announced a plan to build a new assembly line in Ullo town, Pest county, Hungary, to produce personal computers and conduct R&D at its data center.

China and Europe have completed investment agreement negotiations as scheduled last year. As a balanced, high-standard and mutually beneficial agreement, the treaty has shown China's determination and confidence to push high-level opening-up. The agreement will provide greater market access, higher level of business environment, stronger institutional guarantees and brighter cooperation prospects for mutual investment. The treaty will also greatly boost world economic recovery in the post-pandemic era, enhance the international community's confidence in economic globalization and free trade, making significant contributions to the building of an open world economy.

Joerg Wutt, president of the European Union Chamber of Commerce in China, said the on schedule conclusion of the investment agreement has given a strong boost to multilateralism and free trade, which will bring substantial benefits to both sides, including more product choices and more market opportunities.

Ambassador Zhang Ming, head of Chinese Mission to the EU, said China's construction of the new development paradigm will lead its economy to a path of high-quality growth. EU companies can also seize opportunities for development as the two sides are forging green partnerships and digital partnerships.

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