Former Vice Minister of Commerce Wei Jianguo predicted that China’s consumption scale is expected to reach 45 trillion yuan (RMB, the same below) this year, becoming the world’s largest market. The prospect of global cross-border investment performance is not good, but China’s absorption of foreign capital has risen against the trend and is expected to surpass last year.
Wei Jianguo is bullish on cross-border E-commerce companies with active foreign trade performance, saying that China’s cross-border E-commerce companies may take the top spot in the world this year.
There was a “blowout” in E-commerce, the epidemic has spawned a large number of new formats and models in China and E-commerce sales in China generally increased rapidly during the May Day holiday. “influencer marketing” has quickly become popular, with many mayors and county heads personally opening the “delivery mode.”
Wei Jianguo said that E-commerce is targeting the elderly and other potential consumer groups that need to be further developed. Local policies to encourage consumption continue to increase. New consumption will continue to grow rapidly and lead to the global consumer market.
Based on these favorable conditions, China’s total retail sales of social consumer goods are expected to grow from about 40 trillion-yuan last year to 45 trillion yuan this year, surpassing the United States as the world’s largest market.
Cross-border E-commerce has developed rapidly, and many enterprises use cross-border E-commerce to obtain more orders in European and American markets. Today, cross-border E-commerce has become a “dynamic cell” of China’s foreign trade and will provide strong support for foreign trade to tide over the difficulties.
Data show that China used 70.36 billion yuan of foreign capital in April, up 11.8% year-on-year, not only reversing the decline in March but also far higher than the 6.3% level in the same period last year.
Wei Jianguo said, China’s foreign investment this year is expected to increase to 150 billion US dollars from last year for three reasons. First, China will implement the new foreign investment law this year and pay more attention to the promotion and encouragement of foreign investment. Second, China is effectively improving its business environment and strengthening the protection of intellectual property rights, which will help stabilize global investor expectations. Third, China’s attraction to investors has shifted from cost to market day by day. Foreign investment in China can approach China’s huge market to the greatest extent, respond to the needs of Chinese consumers as quickly as possible, reduce costs, and maximize benefits.
These changes make China still attractive to global investors. He predicted that China’s absorption of foreign capital will continue to grow this year and that China will remain the first choice for more and more multinational companies.