U.S. business leaders convened with Chinese President Xi Jinping on Wednesday, marking Beijing’s continued efforts to attract foreign investment amid strained relations with the U.S.
Among the attendees were prominent figures such as Stephen Schwarzman of Blackstone, Cristiano Amon of Qualcomm, Mark Carney of Bloomberg, and Rajesh Subramaniam of FedEx, as reported by state media. CNBC reached out to the companies for comment but did not receive an immediate response.
The meeting was seen as a follow-up to Xi’s prior engagement with U.S. business executives in San Francisco last November, subsequent to his discussions with President Joe Biden.
The CDF, organized by the state, serves as a significant international conference, drawing top executives from multinational corporations. This year’s forum coincided with additional initiatives aimed at attracting foreign investment, including the hosting of an “Invest in China Summit” and the relaxation of stringent data export regulations.
One noteworthy development is the Cyberspace Administration of China’s release of new rules, eliminating government oversight of overseas data sharing unless categorized as “important data.”
This move was welcomed by Sean Stein, chair of the American Chamber of Commerce in China, for enhancing transparency and providing clarity to member companies.
Despite these efforts, foreign businesses operating in China face challenges stemming from geopolitical tensions, regulatory uncertainties, and slower economic growth.
Former U.S. Secretary of Commerce Carlos Gutierrez acknowledged the complexity of the current environment, emphasizing the need to navigate differing ideologies and economic models.
Scott Kennedy of the Center for Strategic and International Studies highlighted the shared concerns among foreign businesses about China’s economic trajectory, despite the government’s efforts to convey openness to foreign investment.
Stephen S. Roach of Yale Law School’s Paul Tsai China Center noted the lack of new policy insights at the CDF, suggesting that more substantial reforms may be addressed during the upcoming Party Third Plenum.
While foreign direct investment in China declined in 2023, the nation remains focused on attracting capital. This was evident during the “Invest in China Summit,” where Vice President Han Zheng emphasized China’s potential for investors.
Additionally, Middle Eastern and Japanese investors expressed interest in various sectors, signaling ongoing opportunities for international collaboration and investment in China’s evolving market.
