AmCham China: US firms in China more optimistic about business environment

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American companies in China are more optimistic and confident in growth, thanks to the continuous efforts by the Chinese government to improve business environment for foreign companies.

That’s according to the 2018 American Business in China White Paper released by the American Chamber of Commerce (AmCham China) on Wednesday morning.

Nearly six in 10 companies rank China among their top three investment priorities, an improvement from 2016. Moreover, 46 percent of the respondents are confident that the government will further open China’s market to foreign investment within the next three years, up from 34 percent last year.

AmCham China said that while the Trump administration has put forward the “America First” agenda, China has been promoting global free trade, as well as ramping up domestic reforms.

In 2017, the Chinese government made a series of efforts to improve the business environment and encourage investment by foreign businesses.

Commercial buildings in the Beijing's Central Business District (CBD) /VCG Photo

In January, the government put forward 20 directional measures that seek to streamline government administrative procedures and enhance the regulatory environment for foreign businesses in China.

In August, the State Council released another circular on measures to enhance the business environment and facilitate the growth of foreign investment in China.

On November 10, the Chinese government announced its decision to further open up its financial market to foreign businesses by removing equity ownership caps for foreign securities, asset management companies, commercial banks, and insurance providers, which is another reason for foreign businesses to be optimistic, said the White Paper.

AmCham China said they welcome and appreciate such efforts by the Chinese government.

China has repeatedly emphasized that 2018 marks the 40th anniversary of China’s reform and opening up, stressing significant investment reforms can be expected this year.

The White Paper said that foreign companies in China hope that the reforms will be swiftly implemented.