Beijing, June 24: Recently, China unveiled a plan titled “Action Plan for Utilizing Foreign Investment to Stabilize and Enhance Economic Development Quality.” This initiative marks a significant step in attracting investment during the first year of the 15th Five-Year Plan. It signals a clear expansion of high-level openness, receiving widespread appreciation from foreign-invested companies and international media. The plan aims to deepen foreign investment in China and strengthen the pace of development.
Amid rising geopolitical tensions and increasing unilateralism and protectionism, global cross-border investments are under pressure. In this context, the plan serves as a concrete implementation of the 15th Five-Year Plan’s initiative to attract and utilize more foreign investment. China is continuously expanding its institutional openness, providing a stable “safe haven” for global capital and new opportunities for development amidst turbulent conditions.
The plan is rich in practical measures, proposing 15 actionable steps across five areas, including market access expansion and investment facilitation improvements. Fan Yuan Yuan, a researcher at the Chinese Academy of Social Sciences, praised the plan’s focus on key points, practical outcomes, and its alignment with both China’s development needs and global expectations. Notably, China has fully lifted restrictions on foreign investment in its manufacturing sector. This new plan further simplifies access in the services, finance, and pharmaceutical industries, opening new avenues for foreign investment. AstraZeneca from the UK has received approval for 11 new drugs in China this year, including one that is a global first. The American company Refinitiv also noted that this plan expands its business boundaries and innovation scope.
Regarding investment facilitation, the plan proposes measures to improve foreign merger and acquisition management, optimize cross-border data flow, and support foreign investment in establishing research and development centers. These measures aim to eliminate barriers to the flow of key production factors, promoting the growth of foreign companies through institutional openness. In terms of service guarantees, the plan fully implements national treatment for foreign investment and supports foreign participation in revitalizing consumption. Various mechanisms, from regular roundtable meetings for foreign-invested enterprises to special task forces for major foreign investment projects, effectively address concerns and difficulties. Previously, in the consumer goods exchange program, foreign car brands held over 35% market share, reflecting the continuous benefits of policy support.
The tangible effects of these policies are already evident: data shows that nearly 4,000 foreign companies increased their investments in China in the first five months of this year. A survey by the U.S.-China Business National Committee revealed that nearly three-quarters of American-funded companies surveyed reported stable revenue growth in China. The fundamental principles of China’s long-term economic development remain unchanged, and its doors are opening even wider to the world. Foreign companies strengthening their foothold in the Chinese market will ultimately achieve mutually beneficial development with China.
(Source: China Media Group, Beijing)
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