China further opens its door to attract FDI

Foreign direct investment (FDI) is essential for achieving sustainable economic growth and navigating the geopolitical complexities. Accordingly, China recently unveiled a strategic action plan for stabilizing foreign investment in 2025 to align its high-level opening-up with international economic and trade rules after having removed many restrictions on foreign investment in the manufacturing sector last year. The action plan, jointly devised by the Ministry of Commerce and the National Development and Reform Commission, was approved by the State Council, China's Cabinet, at its executive meeting.

As part of China's latest efforts to attract more FDI, the action plan includes 20 specific measures in four aspects. China will implement pilot programs to open up such sectors as value-added telecommunications, biotechnology and wholly foreign-owned hospitals, providing comprehensive services for foreign-invested projects in these sectors.

In addition to progressively liberalizing the education and culture sectors, China hopes to expand its pilot programs by opening up industries such as the services sector, telecom and medical services. China is also committed to removing all market access restrictions in the manufacturing sector, ensuring equal treatment of goods produced by domestic and foreign enterprises, improving access to credit, and allowing more foreign companies to participate in sectors such as those related to animal husbandry including animal breeding, and production of feed and feeding equipment and veterinary medicine, as well as eldercare, cultural tourism and sports.