Foreign Investment In China Is Encountering "Structural Inflection Point"

In recent years, with the increase of domestic factor cost, foreign investment in some manufacturing industries has turned to low cost Southeast Asian countries. Virtue and other developed countries have encouraged the manufacturing industry to return, and some foreign capital is also returning.

According to the Ministry of commerce data, the proportion of manufacturing industry in China's utilization of foreign capital has been declining in recent years.

Last year, the manufacturing industry actually used foreign capital of 39 billion 540 million US dollars, which has dropped to about half of that of the service sector.

At present, we can further study the path of pformation and upgrading of foreign investment, actively grasp the trend of foreign investment development, enhance the level of China's social productive forces through foreign capital spillover effects, and consolidate and enhance China's position in the global value chain by deeply integrating the global layout of pnational corporations.

Founded in Belgium, Maurice company founded a 3D Printing Technology Co., Ltd. in Shanghai in November 2014.

"Industrial pformation, innovation and entrepreneurship have promoted the upgrading of China's manufacturing industry, which has brought a broad market for the use of 3D printing technology."

The company's general manager, Jean, said.

After Marius entered the Chinese market, he mainly provided 3D printing software solutions to medical and industrial fields.

At present, a research center has been established in cooperation with Shanghai No.9 People's Hospital, and so on, with dozens of partners.

In the past, China attracted more foreign capital to the manufacturing industry, and foreign-funded enterprises promoted China to become the world's factory. Now the service industry attracts foreign capital to increase rapidly, and has become the main force attracting foreign investment.

According to the Ministry of commerce data, last year, the service sector actually used foreign capital of 77 billion 180 million US dollars, up 17.3% over the same period last year, accounting for 61.1% of the total national total.

As a big province of foreign capital, Zhao Jin, inspector of the Jiangsu Provincial Department of Commerce, said that Jiangsu has entered the late stage of industrialization and is pforming from industrial economy to service economy.

Under the new normal situation, Jiangsu's foreign investment should be further upgraded to accelerate the development of modern service industry that is matched with the pformation and upgrading of manufacturing industry.

This year, Jiangsu will convene the conference on foreign investment in service industry in a timely manner, and strive to launch more open policies for service industries.

The structure of foreign investment in service industry has also changed greatly, and the new format has attracted a lot of investment.

Hong Benzhu, deputy director of the Xiamen Municipal Bureau of Commerce, said that the fastest growth of contractual foreign capital in Xiamen's service industry was the computer services and software industry, business services industry, etc., which were more than 7 times over the same period.

The decline is more obvious in the real estate industry. The utilization of foreign capital in Xiamen's real estate industry is only 23 million 510 thousand US dollars, down 97.4% year-on-year.

In November last year, Taiwan sincere goods bookstore opened on the mainland's first store in Suzhou.

This complex of 56 thousand square meters has bookstores, stationery shops, cafes, restaurants, exhibition galleries and so on.

The store CO operates with more than 2000 publishing houses worldwide to drive over 50 thousand books across the sea.

"We have great confidence in the reading and cultural and creative industries in the mainland of China."

Sincere general manager Li Jiexiu said.

In addition to industry

Structural changes are also taking place within foreign-funded enterprises.

Some foreign enterprises pfer labor intensive production lines, and set up enterprise headquarters and R & D centers in China.

It is obvious that foreign enterprises move their headquarters and regional headquarters to China.

Take Shanghai as an example, the data of Shanghai Business Council show that as of the end of last year, 535 regional headquarters of pnational corporations settled in Shanghai have been established, and the headquarters economy has become Shanghai's business card.

The R & D center of traditional industries has also accelerated to China.

According to statistics, there are more than 2400 R & D institutions in China.

The R & D radiation range has been expanded from the early stage to the domestic manufacturing industry to the Asian and the global, and some R & D centers have been upgrading to R & D headquarters.

Han Jiang, director of the Economic Development Bureau of Suzhou Industrial Park, said that a famous Korean electronics company in the park has been reducing its sales revenue for 40% consecutive years in 2 years, but its profit has increased by about 10% a year.

"This enterprise has pferred labor-intensive and thin profit production lines to Vietnam, putting R & D centers, ultra-thin and touch products and other high-end new products in the park."

"From a long-term perspective, it is a law of development for enterprises to move to places with lower comprehensive cost.

What we need to do now is to improve operational efficiency in Dongguan.

Already in

Chuck Guiris, senior vice president of Levi Shoes Co., Ltd., who worked for more than 20 years, said.

Levi's parent company, Brown shoes, has a history of 100 years of shoemaking and is the largest in the world.

One of the trading companies.

In recent years, the role of Dongguan in its global layout has been changing, initially focusing on manufacturing links, and now it is becoming the most important design and R & D center of Brown footwear industry in the world.

"We closed the Taiwan office a few years ago. There are only more than 20 people in the design department of Italy, and the Dongguan company is constantly expanding. Now more than 600 employees come from 14 countries and regions."

Nevertheless, Guiris admits that in the past few decades, enterprises have moved from the United States to Taiwan and then to the mainland of China, and the cost of the mainland has become increasingly high.