China News Agency, Tianjin, June 28 (Reporter Chen Su) China’s economy is recovering rapidly. Against this background, what opportunities will multinational companies get in China? At the 14th Summer Davos Forum held in Tianjin from 27th to 29th, Wu Chun, managing partner of Boston Consulting Group (BCG) in China, said in an exclusive interview with a reporter from China News Agency that China has provided multinational companies with a large number of ” Deterministic” development opportunities, paying attention to China means paying attention to the future.
Since the beginning of this year, with the steady transition of the prevention and control of the new crown epidemic, China’s economy has ushered in recovery. According to data from the National Bureau of Statistics of China, from January to May, China’s total retail sales of consumer goods increased by 9.3% year-on-year, 0.8 percentage points faster than that from January to April. Among them, service consumption grew rapidly. In May, the national catering revenue increased by 35.1% year-on-year. As a “barometer” of economic development, the electricity consumption of the whole society in May was 722.2 billion kwh, an increase of 7.4% year-on-year.
China insists on opening up to the outside world at a high level. As the economy warms up, many high-level figures of multinational companies are increasingly appearing in China, looking for development opportunities in the recovering China.
Wu Chun said that from the perspective of China’s economic performance in the first and second quarters, consumption has recovered, but demand has not yet been fully released. Therefore, there is still room for consumer confidence and a consumption-led economic recovery. It is believed that the Chinese economy and companies operating in China will continue to maintain resilient development in 2023. In particular, China’s vast market opportunities and continuous economic reform measures can provide local and multinational companies with a large number of “certainty” development opportunities.
Regarding China’s development opportunities, Wu Chun said that they mainly lie in three aspects:
First, with the clarification of the policy direction of expanding domestic demand and promoting consumption this year, the boost in consumption will drive the development of various industries. It is estimated that by 2030, China will add another 80 million middle-class and above population, creating a large room for growth in the consumer market.
Second, in recent years, China’s digital economy is experiencing rapid development, and cutting-edge digital technology has had a huge boost to economic growth. The release of the “Overall Layout Plan for the Construction of Digital China” this year has further stimulated increased investment in various places. The increased layout of digitization and intelligence will further change the industrial development pattern, and China’s diversified application scenarios will also create broader growth. space.
The third is the business opportunities brought by the “double carbon” goal. It is estimated that in order to achieve the dual-carbon goals, China will invest at least 250 trillion yuan in total before 2050, and the contribution of related green investment to GDP will reach 2%-3%. This huge green investment will give birth to countless new formats and technologies, and will also create more business opportunities for green solution providers in various industries.
At present, while the global economy is recovering, it is also facing many challenges and uncertainties. The latest economic outlook report released by the Organization for Economic Cooperation and Development predicts that the global economic growth rate will slow down from 3.3% in 2022 to 2.7% in 2023. The global economy has begun to improve, but the recovery is still fragile. The Ukrainian crisis and inflation are the key risks of global economic uncertainty, but on the positive side, global business and consumer sentiment are recovering. Activities provide motivation.
“In the past three years, China has proved the great resilience of its economy. China is still the main growth driver of the global economy, and the stable recovery of China’s economy will have a strong driving effect on the global economy.” Wu Chun said, according to BCG calculations, by 2030 China will contribute at least 25% of global economic growth in 2019. It can be seen that as the world enters a new round of recovery, China will continue to provide momentum and internal driving force for world economic growth under the general trend of economic globalization. “So, to focus on China is to focus on the future.”
In the “uncertainty” of the world economy, China, which continues to open its doors and expand its opening up, has injected “certainty” into foreign companies and the world economy. At the opening ceremony of this Summer Davos Forum, China once again appealed to the world to strengthen cooperation, solidarity and cooperation, and further released the signal of expanding opening up. Provide mutually beneficial and win-win cooperation opportunities.
Wu Chun said that through such an important communication platform as the Summer Davos Forum, he believes that entrepreneurs around the world can better understand the development trend of China’s economy and grasp more opportunities for China’s development. BCG, as the first group of multinational companies to witness the rise of China’s economy, will continue to cultivate China in the future, adhering to the entrepreneurial spirit based on innovation, and contributing to the development of China’s economy and even the global economy. (over)