Shanghai is advancing China’s high-quality development through international collaboration and innovation, as discussed at the ‘Grow With China’ CEO roundtable held on October 20. The event, organized by the Foreign Affairs Office of the Shanghai Municipal People’s Government and China Daily, featured insights from economists and executives on the city’s economic strategies.
Multinational Presence and Innovation Hubs
Shanghai hosts 1,042 multinational regional headquarters and 605 foreign-funded R&D centers, according to official data from July, making it a key destination for global businesses. Marc Horn, president of Merck China, noted that the city’s innovation capacity and talent density support the company’s global operations, with Shanghai serving as a manufacturing and R&D hub for advanced display materials. This aligns with the shift from ‘in China, for China’ to ‘in China, for the world,’ as highlighted by Matthias Berninger of Bayer AG.
Economic Policies and Market Insights
Economist David Blair pointed out that Shanghai’s low operational costs and connection to the real economy are crucial for growth, emphasizing new technologies tied to production. Toshinobu Umetsu, CEO of Shiseido China and Travel Retail, added that Shanghai’s ecosystem and savvy consumers provide profound market insights, driving cooperation with local partners. The city’s trustful environment between government and enterprises was cited as a competitive advantage by Isabelle Hannedouche of Sodexo Greater China, fostering a fair and compliant ecosystem for business growth.
Foreign Investment and Global Engagement
From January to August, Shanghai approved 4,223 new foreign-funded enterprises, a 3.9% increase year-on-year, reflecting optimism among global businesses. This growth is part of China’s broader push for high-level opening-up and innovation-led development, discussed during a major Party meeting from October 20-23 on the next five-year plan. Rani Jarkas, chairman of Cedrus Group, noted China’s expanding role in global investment, with innovations in AI and battery technology offering alternatives to other countries.
Panelists also praised the International Services Shanghai portal, a multilingual resource launched by the municipal government to assist expats with business, employment, and other needs. Shanghai’s policies counter narratives of China turning inward, positioning the city as a model for future global engagement.
