* The steady increase in investment in Northeast China reflects the confidence of foreign capital in the Chinese market and highlights the attractiveness of the region’s industrial revival.
* In recent years, significant efforts have been made to promote the revitalization of Northeast China as the region’s industrial structure continues to be optimized.
SHENYANG, Oct. 23 (Xinhua) — At a workshop of German auto parts supplier Vitesco Technologies in Changchun, capital of northeast China’s Jilin province, autonomous delivery robots move to provide materials for industrial robots, while a small number of workers work in busy production line.
Serving as one of its important manufacturing bases, Vitesco Automotive Changchun Co., Ltd. has invested more than 500 million yuan (about 69.6 million US dollars) in Jilin province in the past three years.
“China’s new energy vehicle (NEV) production is already leading the world, so we will continue to invest further in the Chinese market and expand production capacity,” said Jiang Huaisheng, general manager of Vitesco Automotive Changchun Co., Ltd. .
A staff member works in a workshop of Vitesco Automotive Changchun Co., Ltd. in Changchun, northeast China’s Jilin Province, April 21, 2023. (Xinhua/Si Xiaoshuai)
Once the heart of the nation’s heavy industry, Northeast China has long been plagued by industrial overcapacity, shrinking resources and a talent drain.
The growth of Vitesco Automotive Changchun Co., Ltd. however, it provides insight into the optimism of foreign capital about the potential of this region, which includes Heilongjiang, Jilin and Liaoning provinces.
In the past few years, numerous multinational corporations have invested or increased their investment in various projects ranging from NEV and high-end equipment manufacturing to biopharmaceuticals in Northeast China, making the region a hot spot for foreign investment.
In March this year, the construction of a mega Sino-Saudi chemical project worth 83.7 billion yuan in Panjin City of Liaoning Province began. In May, BMW Group’s joint venture in China, BMW Brilliance Automotive Ltd., began construction of a new battery manufacturing plant in Liaoning’s capital, Shenyang, with a total investment of 10 billion yuan.
This photo taken on March 29, 2023 shows the groundbreaking ceremony of a China-Saudi Arabia fine chemicals and raw materials joint venture project in Panjin, northeast China’s Liaoning Province. (Xinhua/Pan Yulong)
Official data shows that the actual use of foreign capital in Liaoning Province in the first half of this year exceeded the level of the same period in 2019, while in Jilin and Heilongjiang it increased by 23.83% and 85.2% year-on-year respectively. base.
The continued growth of investment in Northeast China reflects the confidence of foreign capital in the Chinese market and highlights the attractiveness of the region’s industrial revival.
As the first industrial base built after the founding of the People’s Republic of China in 1949, Northeast China not only boasts a complete industrial chain and supply chain, but also has many industrial workers, which boosts investor confidence.
Jochen Gohler, president and CEO of BMW Group Region China, said the company values Shenyang’s auto industry and talents, and therefore continues to increase its investment in the NEV sector and large-scale projects.
BMW i3 electric cars are pictured at the Lydia Plant of BMW Brilliance Automotive (BBA) in Tiexi District of Shenyang, northeast China’s Liaoning Province, June 23, 2022. (Xinhua/Yang Qing)
In addition, the favorable business environment also contributes to the growth of foreign enterprises in Northeast China.
“Heilongjiang continues to improve and optimize its investment environment and introduce many favorable policies for investors. The government attaches importance to food production and increases investment in agriculture and rural revitalization, providing a broad market for our development,” said Luca Mainardi, president of CNH Industrial (Greater China).
In recent years, significant efforts have been made to promote the revitalization of Northeast China as the region’s industrial structure continues to be optimized.
A series of high-level opening-up measures in Northeast China have multinational corporations optimistic about new opportunities for profitable cooperation and add new growth engines to revitalize the region.
“Northeast China has a solid industrial and research foundation, and is now moving from traditional and modern industrialization to new industrialization,” said Li Zheng, dean of the School of Economics at Liaoning University, who believes that breakthroughs will be made in northeast China’s complete revitalization by during the 14th Five Year Plan (2021-2025).
“Meanwhile, Northeast China is continuously optimizing its institutions, mechanisms and business environment, which will further stimulate the vitality of market entities and the potential for social creation,” Li added.
(Video reporters: Si Xiaoshuai, Shao Meiqi, Gao Ming, Zhao Yong; Video editors: Jia Xiaotong, Wei Yin, Zheng Xin)■