Chinese President Xi Jinping is set to meet with CEOs of global companies on the 28th, Reuters reported on the 27th (local time), citing multiple sources.
According to the sources, the list of attendees includes CEOs from German automakers BMW and Mercedes-Benz, as well as American semiconductor company Qualcomm.
President Xi is expected to express his commitment to opening up to the outside world at this meeting. China is currently facing a prolonged economic downturn, along with a real estate crisis, weakened investment and consumer sentiment, and a decline in foreign direct investment. Additionally, it is confronted with a trade war with the Donald Trump administration in the United States. Strengthening relations with foreign companies has become an urgent matter.
Earlier, at the China Development Forum (CDF) held in Beijing on the 23rd and 24th, Premier Li Qiang stated, "We will help foreign-invested enterprises deeply integrate into the Chinese market." During the forum, executives from Apple, Pfizer, Mastercard, and others met with officials from the Ministry of Commerce of China. Apple CEO Tim Cook met with He Lifeng, Vice Premier of the State Council and a key figure in China's economy, as well as Wang Wentao, Minister of Commerce.
Last year, President Xi also met with CEOs of American companies and academics who attended the CDF two days after the forum. At that time, Xi said he would "provide broader development space (opportunities) for companies from various countries, including the United States," actively seeking direct investment.
Recently, foreign media reported that President Xi plans to meet with about 20 global company CEOs attending this year's CDF around the 28th, and that the list of attendees is being finalized. Foreign media expect that this year, business leaders from a more diverse range of countries, including the UK and Europe, will meet with President Xi compared to last year.
The Chinese leadership’s direct communication with global companies is driven by a sharp decline in foreign direct investment (FDI). Last year, China’s FDI fell by 27.1% compared to the previous year, marking the largest drop since the 2008 global financial crisis. Furthermore, rising geopolitical risks have led global companies to diversify their supply chains and relocate production bases outside China to reduce risks. The economic slowdown in China and extensive crackdowns on consulting and research firms have also affected the investment sentiment of foreign company executives.
Reuters analyzed that this meeting could hold even greater significance for German automakers such as BMW and Mercedes-Benz. Although they have been outpaced by competitors like Tesla and China’s BYD and Xiaomi, China remains the largest market for German automakers. Additionally, the day before, President Trump announced a 25% tariff on all imported cars.
Samsung Electronics Chairman Lee Jae-yong, currently on a business trip to China, is also expected to attend the meeting with President Xi. Attending the CDF for the first time in two years, Chairman Lee has been expanding Samsung’s automotive electronics business in China, visiting Xiaomi’s electric vehicle factory and BYD’s headquarters.
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