Despite the ongoing geopolitical issues, China still continues to attract foreign investments as faith in the country's resilience and market potential grows. As a clear indication of this fact, Shanghai announced on Monday that it has managed to sign a number of new foreign investment deals with an estimated total value of $7.7 billion.
During a collective signing ceremony earlier in the week, Shanghai officials announced that a total of 42 foreign-funded projects under 15 major deals were now set to be implemented. The deals are reportedly each worth around $100 million in contract value.
The signing ceremony was attended by Shanghai Mayor Ying Yong, who witnessed the signing of the contracts. The deals were for projects that covered various industries such as biomedicine, chemical engineering, new energy generation, smart manufacturing, and integrated circuits.
Shanghai vice-mayor Xu Kinlin mentioned during the ceremony that the signing of the deals showcases Shanghai's deeper utilization of foreign capital in a wider range of fields. Xu also expressed the city's desire to cultivate more foreign-invested projects by building a better environment for them and providing them with better services.
Senior vice-president of operations and site management at BASF China, Bradley Morrison, stated during the event that Yangshan Free Trade Port Area in Shanghai has provided the city and his company with a lot of great opportunities.
The executive of the Chinese unit of the German chemical company stated that his company looks forward to more favorable policies and financial support from the Chinese government.
Heads of other foreign-owned companies who had signed deals with Shanghai also expressed the same sentiments. Area general manager of Asia-Pacific at LifeScan Inc, Mark Rosenberg, mentioned that Shanghai has become the "best location" for investors as it is at the forefront of the latest trends in China for various industries.
Rosenberg elaborated that it was important for his company to be in close proximity to the leading companies within the various sectors. This apparently allows them to immediately find opportunities to work with industry leaders.
According to the latest data from Shanghai's Commission of Commerce, around 701 multinational companies have now set up their regional headquarters in the city. The agency also revealed that around 451 multinational firms have established regional research and development centers in the city as well.
From January to August of this year, Shanghai has managed to host a total of 4,661 new foreign investment projects. This represents a 47.8 percent increase when compared to the same period last year.
