Xi Jinping Engages Global Executives in Beijing
In a significant diplomatic endeavor, Xi Jinping, China’s paramount leader, convened with top executives from renowned multinational corporations, including Saudi Aramco, BMW, Toyota Motor, and FedEx. This high-profile meeting took place at the prestigious Great Hall of the People in Beijing on Friday. The discussion centered around bolstering foreign investment in China, particularly in light of deteriorating trade relations with the United States.
This gathering marks the third occasion within the past 17 months that Mr. Xi has actively sought to engage multinational executives, reflecting a strategic push to attract investment amidst a backdrop of sluggish economic growth and increasingly strict national security regulations that have made global firms hesitant to make significant commitments in the Chinese market.
Recent statistics reveal a substantial decline in fresh foreign investment in China over recent years. However, there remains a notable exception: the German automotive sector, which views China, the largest automotive market globally, as a critical battleground to compete against its burgeoning domestic rivals.
- According to Rhodium Group, a consulting firm, German automakers accounted for half of the new investments from the European Union last year.
- BMW has significantly increased its stake in a Chinese joint venture and recently announced plans to integrate artificial intelligence technology developed in collaboration with Chinese tech giant Alibaba into its in-car assistant system.
- Volkswagen has made headlines with the establishment of a massive new electric vehicle factory in central China, which stands out as one of the few manufacturing facilities erected by foreign companies in the country last year.
- Additionally, Volkswagen has acquired a minor stake in the Chinese automaker Xpeng, embracing a strategy it describes as “in China, for China.”
Among the notable attendees at the meeting were Oliver Zipse, the Chief Executive of BMW, alongside Akio Toyoda, the Chairman of Toyota Motor, underscoring the importance of this initiative in fostering international business relations and securing investment commitments in a challenging economic landscape.
