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    Foreign Companies In China Have Resumed Their Jobs And Have No Confidence In China'S Economy.

    2020/2/22 11:41:00 0

    Foreign EnterprisesEconomyConfidence

    On the 21 day, the Chinese Ministry of Commerce issued a piece of news: 32 Shandong Korean auto parts enterprises resumed their jobs before February 15th.

    This has greatly relieved the global auto companies. Earlier, some foreign enterprises were temporarily out of production due to the temporary shortage of spare parts made in China.

    As Chinese President Xi Jinping said on the 20 day with the Korean President Wen Yin on the phone, the impact of the epidemic on Sino ROK economic and trade cooperation and personnel exchanges is only temporary. Now, not only Korean enterprises, but also other foreign-funded enterprises have been resuming work and resuming production under the premise of good epidemic prevention and control.

    At present, Shanghai, Shandong, Hunan and other key foreign-funded enterprises have returned to over 80%. It is expected that by the end of February, foreign enterprises in most places will basically resume work and resume production. Among them, Tesla Shanghai factory officially resumed in February 10th, is one of the first foreign enterprises to return to work in China.

    It is seen that in the early morning of Tesla super factory in Shanghai, about 2500 workers returning to work at the entrance were tested by infrared thermometer in turn, and then moved to their respective positions to start a busy day's work. Apart from equipping staff with adequate masks, goggles and other equipment and supplies, Tesla also sterilize the work area. This ensures the two sides of epidemic prevention and control and resumption of production.

    The resumption of production by foreign companies has once again demonstrated the strong appeal of the Chinese market with a population of 1 billion 400 million.

    Since 2017, China has become the second largest foreign capital inflow country in the world for three years in a row. In January this year, the actual use of foreign capital was 87 billion 570 million yuan, an increase of 4% over the same period last year, which basically continued the steady growth momentum since last year.

    At present, a consensus of foreign-funded enterprises in China is that the impact of the epidemic on China's economy is phased and temporary, and the trend of China's long-term economic growth will not change. The head of Ford China has recently said that China's huge market demand for rigidity is still there, and Ford is confident of China's future development.

    On the 20 day, there was a news that caused widespread concern in the automotive industry. China's largest power battery manufacturer Ningde times replied to the media that it has signed a mass production and pricing agreement with Tesla, and Tesla will purchase lithium-ion power batteries to Ningde. According to Tesla's plan, by the end of this year, China's Tesla will be fully domestically produced.

    It can be seen that the importance of China's complete industrial chain to foreign-funded enterprises is not only convenient for them to open up China's market, but also helps to reduce operating costs. Goldman Sachs 2018 research report shows that if Apple Corp moves production and assembly back to the United States, the production cost will increase by 37%.

    This account will naturally be calculated by foreign-funded enterprises. Those "foreign companies moving away" from time to time apparently ignore economic rules. Some politicians in the United States, advocating the shift of the industrial chain from China on the occasion of the epidemic, are simply untenable.

    In order to help enterprises resume work and resume production, the Chinese government has introduced a series of measures to emphasize the equal treatment and equal treatment of domestic and foreign capital enterprises, guarantee the same application of supporting policies for foreign-funded enterprises, and also guide foreign-funded enterprises to make full use of all supporting policies and measures to cope with the epidemic situation.

    Taking Shanghai as an example, after introducing 28 measures to promote the steady and healthy development of enterprises, as of February 15th, the list of 140 foreign-funded enterprises in two batches has been collected and reported, so that they can enjoy the relevant preferential policies for financing. The list of 3 key foreign production enterprises is reported to the financial departments so that they can enjoy relevant financial policies.

    On the two day, the French boiler manufacturer Alfa Laval (Qingdao) Industrial Co., Ltd. is speeding up the delivery of a number of orders to Korea and Japan. The company's relevant person in charge told the media that without the support of the local government, it would not be possible to resume production capacity so quickly.

    Helping people is helping themselves. In the battle against China's epidemic situation, the performance of foreign-funded enterprises in China was impressive. Statistics show that as of February 14th, foreign-funded enterprises donated more than 1 billion 760 million of the total amount of donations to China. In addition to cash donations, they also donated a large number of basic necessities and professional medical supplies.

    This is like the chairman of the China Chamber of American commerce, Ge Guorui. "We want to prove that we are part of Chinese society." He also said that from the feedback of executives of chamber member enterprises, Chinese enterprises still have confidence in the Chinese economy, and the US business community is willing to strengthen cooperation with China.

    At present, with the painstaking efforts of the Chinese people, remarkable progress has been made in the prevention and control of epidemic diseases. China is striving to minimize the impact of the epidemic, and is confident and capable of achieving the goals of the established economic and social development goals.

    The epidemic will not weaken the huge market demand of China's 1 billion 400 million population, will not shake the solid foundation for China's long-term and stable development, nor will it shake the determination of China's further reform and opening up.

    Those foreign invested enterprises that have difficulties with China will welcome spring blossoms with China.

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