Editor's note: China has reached its first centenary-related goal and is embarking on a new journey to fulfill its second centenary-related goal of building a strong and modern socialist country in all respects. China Daily talked to business executives of multinational corporations on their understanding of China's achievements and growth engines going forward, and opportunities they are ready to embrace.
Q1: Xi Jinping, general secretary of the Communist Party of China (CPC) Central Committee, Chinese president and chairman of the Central Military Commission, announced at the ceremony marking the centenary of the CPC that the nation has accomplished the building of a moderately prosperous society in all respects. In your view, what are the main factors that helped China accomplish this goal?
Q2: What do you make of Xi's emphasis in his speech on China pursuing peaceful development as well as its resolve to promote high-quality development and further deepen reform and opening-up? What does this mean for your business in China?
Q3: One big achievement China has made is eradication of absolute poverty. Now the country is moving toward achieving common prosperity. In your view, what is the most attractive and promising part of the Chinese economy as the country seeks to reach the second centenary-related goal－that of building a strong and modern socialist country in all respects?
Q4: China has embarked on a new development journey. What new trends do you expect to emerge as the country boosts its innovative ability to actualize the full potential of its productivity and also makes progress in improving rule of law and modern governance? How do you plan to position your business to benefit from such trends?
Q5: Which areas need to be prioritized to further increase the resilience of the Chinese economy and boost its attractiveness for foreign companies and investors?
Mark Kwok, president of AkzoNobel China/North Asia. (PHOTO PROVIDED TO CHINA DAILY)
A1 China is now the world's second-largest economy. This prosperity is a result of the century-long endeavor of hard work and innovation that has led the nation to seize this momentum and advance ever further.
As an innovation-driven paints and coatings company, AkzoNobel pioneers a world of possibilities to bring surfaces to life. Having been in China for more than half of a century, we are honored to witness and participate in building China's momentum and will continue to partner with China, the single largest market for us, on this ever-evolving journey.
A2 Innovation has become a core driver of China's quest toward high-quality development, which deeply resonates with us as an innovation-driven paints and coatings company. We aim to use innovation to drive paints and coatings beyond expectations, imagination and generations.
With the success of China's reform and opening-up policy as well as its thriving innovation ecosystem, we believe that China will become a global powerhouse for science, technology and innovation. We will continue to build an even stronger connection with China's innovation ecosystem to discover revolutionary and sustainable solutions for our customers in China and globally.
A3 The pivot of innovation and sustainability using advanced technologies is one of the most attractive parts of the Chinese economy. In AkzoNobel's view, the grand vision described in China's 14th Five-Year Plan (2021-25) is a solid foundation for the fulfilling of China's second centenary-related goal.
Sustainability is at the core of AkzoNobel, and our innovation strategy has a strong focus on sustainability. We are committed to continuous investment in sustainable solutions through collaborative innovation. The launch of the Paint the Future startup challenge in China shows our determination to partner with China's innovation ecosystem to foster a brighter future for the industry.
A4 One of the most significant trends brought by China's new development journey is the impressive dual-circulation development pattern that enables mutual and plentiful boosts to domestic and foreign markets through bolstering foreign trade and investment and accelerating innovation.
Under this new pattern, we believe a promising window of investment opportunities will also emerge. AkzoNobel is committed to continuous investment in China, and to forging new relationships within China's innovation ecosystem, creating greater value for our customers and further pushing the boundaries of paints and coatings in China and globally.
A5 It is well-known that by introducing new laws, shortening the negative list and easing market entry, China is effectively showing commitment to its opening-up and encouraging more international economic cooperation that will contribute to its high-quality development.
Therefore, AkzoNobel sees maintaining a sustainable business environment as one of the top priorities. For decades, AkzoNobel has delivered innovation that addresses the most pressing needs of our customers, consumers and across industries, in line with government agendas, to create better lives. We expect to see sustained local prosperity and thriving interest in foreign investment.
Benedikt Sobotka, chief executive of Eurasian Resources Group. (PHOTO PROVIDED TO CHINA DAILY)
A1 The goal of building a moderately prosperous society in a country with China's population could not have been achieved without the unity of the Chinese people and the right political policies: focusing on economic construction, vigorously developing production infrastructure, persisting in reform and opening-up.
The country's poverty alleviation plan has produced considerable results and it has made progress in its social undertakings thanks to its strategy of targeting new jobs, investment in emerging industries and access to healthcare and education. This has also been bolstered by its unwavering commitment to implementing a sustainable development strategy.
A2 ERG cherishes and values its relationship with China and the Chinese people. Through its integrated natural resources and infrastructure projects in Central Asia, Central Africa and Latin America, ERG is actively taking part in China's activities within the Belt and Road Initiative.
We have an extensive portfolio of commercial partnerships with China and multiple initiatives with the country's government, financial institutions and industry leaders. We look forward to deepening this cooperation in the new era. ERG is well-positioned to provide high-quality materials in the future, including key metals for EV batteries to help China achieve its economic goals, while also bringing down carbon emissions.
A3 China will no doubt achieve its goal of building an even stronger and modern country by continuing to promote trade and investment liberalization, accelerating the development of trade innovation and advancing the Belt and Road Initiative, which is a game-changer in terms of global cooperation and economic recovery. The remarkable results of its poverty alleviation strategy are testament to China's ability to precisely identify the nation's socioeconomic requirements and use the resources at its disposal to fulfill them in a targeted manner to ensure sustainable development. As such, I am confident that China will see even further success.
A4 By the end of 2020, China generated 93.4 million kilowatts of renewable energy, up 17.5 percent year-on-year. President Xi Jinping has set a target for China to achieve carbon neutrality by 2060, which we can expect will stimulate the already fast-growing NEV sector. As one of the largest sustainable cobalt producers in the world, ERG is supporting the development of NEVs while leading the socially responsible exploration of cobalt. As a major supplier of other key materials, such as aluminum, copper, high-carbon ferrochrome and iron ore products, we are also well-placed to support the country's plans to build new infrastructure.
A5 China's strong production base and operational environment, sound manufacturing industry chain and huge consumption potential have all naturally attracted considerable investor attention. The implementation of foreign investment laws and regulations as well as China's willingness to open its market wider and share development dividends with the rest of the world have also enhanced the confidence of foreign enterprises investing in China. These will be key in ensuring that the country remains attractive to foreign investment in the years to come. An additional priority is for China to maintain its well-managed regulatory environment, which makes the economy resilient and boosts its attractiveness to foreign companies and investors.
Alf Barrios,chief commercial officer and chairman of Rio Tinto China. (PHOTO PROVIDED TO CHINA DAILY)
A1 By building a moderately prosperous society in all respects, China has improved the lives of more than one-fifth of humanity. It takes strong leadership, great vision, careful planning and extraordinary efforts of the Chinese people. In particular, China's incredible rise over the last four decades of reform and opening-up is perhaps the most important example of what can happen when an economy partners with others, and opens up to global markets. We are very encouraged to see China committed to further opening-up and reform to make greater contributions to global economic and social development.
A2 Rio Tinto is one of the world's largest mining companies. We have now supplied more than three billion metric tons of iron ore and other essential metals and minerals to China, and it has been our privilege to help support China's development in this way. We will continue to find and supply the high-quality resources that China needs. In doing so, we will work with our Chinese partners to help maximize social benefit and minimize the environmental impact of our business wherever we operate.
A3 One of humanity's greatest challenges is climate change, which transcends national boundaries and requires concerted efforts around the world. We are very encouraged to see China committed to clear targets for reducing carbon intensity and achieving carbon neutrality, and the country has made it a national priority to advance research and technology that will help make low-carbon future a reality. It sets a strong example for other countries to follow, and gives businesses the certainty required to plan and invest in long-term projects. As part of Rio Tinto's commitment to achieve net zero greenhouse gas emissions by 2050, we are working with suppliers and customers throughout our global supply chains to develop new low-carbon solutions, and we have already built strong partnerships with many Chinese partners.
A4 Achieving high-quality growth and addressing global challenges such as climate change will require increased cooperation throughout the supply chain. On the demand side, Rio Tinto is working with leading centers of expertise, including China Baowu and Tsinghua University, to develop new methods and technologies for green steelmaking that will reduce emissions and improve the efficiency of resource usage. On the supply side, we are working with our Chinese partners to develop the Simandou iron ore project in Guinea. In addition to providing a new source of supply for China, this project will also help reduce its carbon emissions by supplying the type of high-quality iron ore that the next generation of steelmaking technology will need.
A5 Over the past four decades of reform and opening-up, while having made remarkable economic achievements, China also provided many foreign companies, including Rio Tinto, with abundant growth opportunities. We believe that China's continuous support for multilateral cooperation on trade and investment, and commitment to the development of an improved system for an open economy, will continue to benefit the international community. We have and will continue to explore opportunities with our Chinese partners to link China's domestic circulation to the international market for a more resilient global supply chain.
Li Lei, SABIC vice-president and regional head, North Asia. (PHOTO PROVIDED TO CHINA DAILY)
A1 Among many factors, the one we are most impressed by, especially from our industry perspective, is the drive toward innovative and advanced manufacturing.
China's recently unveiled 14th Five-Year Plan (2021-25) and 2035 long-range objectives highlight the continuous improvement of people's lives both materially and spiritually. The advanced manufacturing sector, notably the chemicals industry which SABIC engages in, has the capability to effectively support this vision through various innovative solutions ranging from AI-based smart transportation to the way we communicate and engage instantly, which is enabled by emerging technologies such as 5G, smartphones and portable devices.
A2 China's development is moving in the right direction. Beneath this tendency is China's increasing ambition to embrace the world through top-level domestic initiatives such as setting up free trade zones and ports, and impressive efforts on cross-regional collaboration.
China's transition toward high-quality development through an innovation-driven strategy deeply resonates with SABIC. Since our entry into the Chinese market in the 1980s, we have consistently been at the heart of China's economic transformation and have been proactively responding to China's call to participate in its higher-quality development through our differentiated material solutions across key industries.
A3 In our view, it is the transition to more sustainable growth that focuses on innovation and high-quality development.
The plan and objectives will usher in new guidance for the Chinese economy, aiming for higher innovation and quality standards. It is a call to foster new growth drivers amid current uncertainties, such as new infrastructure investment areas, which are generating unprecedented opportunities in the manufacturing sector, especially the chemicals industry that we operate in.
As the global economic landscape is rapidly changing, we expect China to maintain its inspiring advocacy of collaboration and globalization, thus advancing its historical ambitions.
A4 In addition to innovation in research, applications or production, governance innovation is also an important aspect. It is worth saying that in recent years we have observed China make continuous improvements in the IPR(intellectual property rights) field for IPR-related legislation and enforcement, which is presenting an inspiring trend of innovation and improvement in governance.
Strengthened IPR protections are a vital part of an increasingly transparent and rule-of-law-based business environment in China, which will better serve the Chinese people and also foreign businesses, including SABIC, thus supporting us in bringing the best portfolio of innovative and advanced technologies into the Chinese market.
A5 By introducing well-deliberated laws and regulations, strengthening IPR protections and incentives, easing market entry and making other comprehensive efforts, China is effectively showing its commitment to the next round of higher-level opening-up.
Having been in China for decades, SABIC strives to deliver innovative material solutions that address the ever-evolving needs generated from the improved modern lives of the Chinese people. We firmly believe in the sustained resilience of the Chinese economy and renewed interest in foreign investment.
Tracy Xie, president of Vale China. (PHOTO PROVIDED TO CHINA DAILY)
A1 There's no doubt that great leadership, a stable political environment, consistent economic policy as well as persistence of reform and opening-up have all contributed to this marvelous achievement.
However, the most important factor in my view is that China always prioritizes the well-being of its people.
Last year, China took strict and effective measures on the prevention and control of the COVID-19 pandemic, which made it the first major economy in the world to recover from the pandemic.
This is a very good example that clearly demonstrates China's focus of putting people's lives first, thus benefiting the country and all its people.
A2 China's pursuit of high-quality development will speed up industrial upgrading as well as the decarbonization process of its steel industry, and high-quality ore products will thus be in high demand.
Vale is also pleased to know that China will deepen reform and opening-up across the board.
We believe that China's determination on deepening reform and opening-up across the board will give a great boost to global economic growth and is of positive significance to fuel confidence in the global market.
Vale will continue to grasp opportunities brought by China's deepening of reform and opening-up across the board to develop together with China in the new era.
A3 I think it's the Chinese people. China has the largest population in the world, and the Chinese nation is a great nation that has made indelible contributions to the progress of human civilization over the past 5,000 years.
Vale has been partnering with China for almost half a century. During this process, we have not only done business but also made friends with many Chinese clients and partners.
We have learned a lot from our Chinese friends, and been deeply impressed by their professionalism, their diligence, their dedication, their pragmatism, their efficiency and their resilience among many other good characteristics.
A4 As China has embarked on a new journey toward building a great modern socialist country, the country will attach more and more importance to technical innovations as well as green development. Vale views these trends as great development opportunities for our company.
Vale believes that we have been well-positioned to contribute to China's new development journey and to achieve more mutual benefits and win-win results together with China.
A5 There are some areas where China could further increase the resilience of its economy and its attractiveness for foreign companies, including urbanization, traditional infrastructure and new infrastructure, which includes information-based infrastructure, converged infrastructure supported by the applications of new technologies such as the internet, big data and artificial intelligence, as well as innovative infrastructure that supports scientific research, technology and product development.
Vale has a very positive outlook on China, and we believe that the country will continue to play a leading role in global economic growth.
