Most of Europeans still believe that China is a top destination for investments. A recent survey revealed financial reporting information that shows a significant trend for investments into the world's second-largest economy.
According to the European Business in China Business Confidence Survey 2020, about 63 percent of Europeans believe that China remains as the top global destination for investments. Data released last Wednesday showed that the European Union Chamber of Commerce in China members prefer the country. However, there has been a showing of significant downward trends.
The trends pertain to logistics, chemicals and petroleum, automotive industries, construction, and other related industries. According to the Global Managing Director of global consultancy firm Roland Berger Denis Depoux, China has been a difficult global environment. He added that the country has caused uncertainties caused by the pandemic for businessmen, but European companies remain strong in their commitment to China.
He added that these companies have grown significantly in the country. Their unwavering confidence was perceived to be caused by increasing domestic demand and the innovative ecosystem of China.
The vide president of the European Chamber Charlotte Roule added that China has the strength and experience when it comes to being a leading force in economic recovery. She warned, however, that there is significant responsibility with that capacity. She then claimed that the added collaboration of the country with the global community would strengthen and upgrade the rules-based order. She then highlighted that those seeking support from China should also be guided with the principles of reciprocity.
For the automotive industry, Chinese brands have also been gaining a foothold in Europe. A Chinese manufacturer revealed that it experienced a breakthrough in European sales during the first quarter of the year. It added that the British brand owned by SAIC Motor, MG, yielded two percent of the region's electric vehicle market. These sales comprised of products such as ZS, EVs, and small SUVs.
MG's success came after the selling of ZS and EV units in just five European markets. The sale was led by the United Kingdom. SUVs said to have accounted for 10 percent of the country's electric vehicle sales in the first quarter of 2020. The yield then labelled the UK as the top three selling battery-powered model behind Tesla's Model 3 and Nissan's Leaf.
The sale of EVs represented about 39 percent of MG's 2,300 sales during the first quarter of 2020. Tesla, on the other hand, yielded a 100 percent, reported Berlin-based analyst Mattias Schmidt.
