A drone photo taken on May 29, 2024 shows cargo ships berthing at the International Container Terminal of Hefei Port in Hefei, east China's Anhui Province. [Photo/Xinhua]

Multinational corporations have vowed to deepen ties with their partners in China and seize the tremendous opportunities, as the country has removed all foreign investment restrictions in the manufacturing sector with the release of the 2024 version of the negative list for foreign investment access.

The release of the shortened negative list indicates China's firm determination to fulfill its commitment to further expand high-standard opening-up, and will contribute to a more favorable business environment and consolidate the confidence of foreign investors, said officials, experts and executives of foreign-funded enterprises.

Jointly issued on Sunday by the National Development and Reform Commission and the Ministry of Commerce, the new negative list, which will take effect on Nov 1, reduces the number of restrictions from 31 to 29, achieving zero restrictions on the manufacturing sector.

The country's latest measures to expand foreign investment access in the manufacturing sector are of vital significance in establishing a modern industrial system and building more open and resilient industrial and supply chains, the Ministry of Commerce said in a statement.

The move will be conducive to further attracting foreign investment in advanced manufacturing and high-tech industries, continuously optimizing the investment structure and accelerating the development of new quality productive forces, while giving strong impetus to the country's high-quality economic growth, the statement said.

Senior executives of foreign-funded enterprises said the move will help improve the long-term business environment for foreign companies in China.

Ian Shih, president of Rockwell Automation China, said the US-based industrial automation company appreciates China's ongoing commitment to expanding high-standard opening-up and deepening reforms in foreign investment, and these initiatives provide a favorable business environment for the long-term growth of foreign enterprises in China.

"Rockwell Automation remains committed to advancing technological progress in collaboration with local partners. Through close collaboration, we actively promote the large-scale application of emerging technologies such as 5G, artificial intelligence and the industrial internet of things in China," Shih said.

He added that the company is dedicated to assisting Chinese partners in enhancing their core competitiveness and aiding in the high-quality development of China's manufacturing sector.

Tetsuro Homma, executive vice-president of Panasonic Holdings Corp, said the significant measures taken by the Chinese government to achieve high-quality development will help foreign companies better seize opportunities, strengthen their presence and step up their investment in the Chinese market.

"I have always believed that China is not only a manufacturing giant and a major consumer market, but also an innovator with exceptional engineering talent," Homma said.

Enormous opportunities

Ji Jianjun, a researcher at the Chinese Academy of Macroeconomic Research, said the implementation of the latest version of the negative list will not only provide broad space for deeper international cooperation in industrial and supply chains, but also create enormous opportunities for multinationals to invest in the country.

Zhu Keli, founding director of the China Institute of New Economy, said the country has sent a clear signal that it is dedicated to further opening up its economy to the outside world and creating a world-class and market-oriented business environment governed by a sound legal framework.

The removal of restrictions on foreign investment in the manufacturing sector is an essential requirement of China's economic transformation and upgrading, and will attract more foreign capital inflow into high-end manufacturing, research and development and design, and help the country move up the value chain, Zhu added.

Data from the Ministry of Commerce indicates that in the first half of this year, 26,870 new foreign-invested enterprises were established, marking a 14.2 percent increase compared with the same period last year.

"With the new policy facilitation, we will continue to deepen our presence in the Chinese market and increase investment in new energy projects," said Ren Jing, senior vice-president of Schneider Electric, a French industrial and technology group.

Bai Ming, a member of the academic degree committee at the Chinese Academy of International Trade and Economic Cooperation in Beijing, said China's opening-up efforts go far beyond the negative list, standing in stark contrast to the trade protectionism seen in certain developed countries.

Karen Chen, managing director and chairman of Singapore Exchange China, said, "China's ongoing reform and opening-up policies are not just offering increased investment and partnership prospects for businesses worldwide, they are also stimulating global economic expansion and contributing to the pursuit of sustainable development globally."

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