حفلة 2024

Multinational firms consider reducing risk in China

CEOs of multinational giants are scheduled to meet in Beijing this week for the China Development Forum, Reuters reported on Monday. The foreign firms are looking to reduce risk in China while the government is phasing out some overseas technology.

The uneasy relationship between the two sides is at risk of missteps. The forum, established in 2000, aims to engage with the world for common prosperity.

Chinese Premier Li Qiang emphasised attracting foreign investors and welcoming companies to deepen their presence in China’s economy.

However, economic challenges and geopolitical tensions have led to a 20 per cent decline in foreign direct investment in the first two months of the year.

Despite this, global giants like Apple and AMD are maintaining a significant presence in China. Chinese leaders are engaging with Western business elite, with reports of meetings between corporate leaders and Xi Jinping.

Challenges on the horizon include efforts to exclude Chinese technology firms from global networks and the phasing out of US products in Chinese government systems.

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