A CCPIT survey reveals 90% of foreign firms find China’s business environment satisfactory, with growing optimism and increased investment plans, particularly among European companies, primarily in eastern regions.

Positive Business Sentiment in China

The China Council for the Promotion of International Trade (CCPIT) recently reported that 90% of surveyed foreign enterprises consider China’s business environment "satisfactory" or better. Their findings, shared during a press release in Beijing on October 31, revealed rising optimism among European and U.S. companies regarding market conditions for 2024.

Increasing Investment Willingness

Approximately 20% of the foreign firms surveyed indicated plans to increase their investments in China, marking a 2.07% rise from the previous month. Notably, European companies displayed heightened interest, with a 2.5% increase. The eastern region of China emerged as a preferred investment area, with 59.52% of firms looking to expand production lines or enhance digital transformations.

Commitment to Support Foreign Businesses

CCPIT spokesperson Sun Xiao emphasized the importance of improving services for foreign-invested enterprises. With a focus on enhancing market access and closing procedures, the council aims to better serve the needs of these businesses, fostering a conducive environment for foreign investment in the country.

Source : 90% of surveyed foreign firms are satisfied with China’s business environment: CCPIT

The US has implemented regulations restricting investments in key technology sectors in China, citing national security risks, particularly concerning AI and semiconductors, following President Biden’s previous executive order.

US Investment Restrictions on Key Technology Sectors

The United States has implemented new regulations that restrict investments in crucial technology sectors in China, including artificial intelligence and semiconductors, driven by national security concerns. The Treasury Department’s announcement marks a significant change in the US stance on foreign investment in critical technologies.

Effective January 2, US citizens, residents, and companies will be barred from transactions involving advanced technologies. Investors must also alert the Treasury about investments in less advanced technologies that pose potential national security risks, reflecting a broader approach to safeguarding American interests.

These restrictions stem from growing worries about China’s technological capabilities and military applications. The move follows President Biden’s previous executive order to prevent US investments from unintentionally benefiting adversaries. As tensions rise, these regulations are expected to impact the global tech industry significantly.

Source : US implements new investment restrictions on AI and semiconductors in China

China’s property market is recovering, with all 158 luxury units at Sunac China’s One Sino Park in Shanghai sold in three hours, generating 5.88 billion yuan, amid new government stimulus measures.

Signs of Recovery in China’s Property Market

China’s property market shows signs of recovery as Beijing implements measures to revitalize the sector. Recently, buyers flocked to a luxury residential project in Shanghai, indicating renewed interest in real estate.

Successful Sale of One Sino Park Units

The third batch of Sunac China Holdings’ One Sino Park sold all 158 units within three hours, generating ¥5.88 billion (US$825.8 million). This follows the successful sales of the project’s previous phases, totaling ¥21.5 billion. The luxurious flats in the Huangpu district were priced at ¥172,000 (US$24,150) per square meter, attracting double the number of interested buyers compared to available units.

Investor Perspectives on Real Estate

Shanghai resident Sun, who purchased a sizable apartment, expressed satisfaction in securing an asset that can “maintain its value.” He noted that current market conditions make home buying a more sensible investment compared to other options like the stock market.

Source : China property: Sunac’s Shanghai luxury flats sell out in 3 hours