China’s Shanghai tries to shore up foreign confidence with promise-laden action plan that’s filled with uncertainty
- New plan kicks off on Friday, but details remain scarce about how exactly it will address some of the biggest concerns facing foreign firms operating in China
- Foreign chambers appear both hopeful and sceptical after recent years took a toll on their members’ outlooks and intentions in China
One of China’s biggest economic locomotives is gearing up to roll out an action plan that it hopes will fuel foreign investment in research and development, in its latest bid to lure back businesspeople and grow as a global hub for innovation.
The promises coming out of Shanghai include better facilitating cross-border data flows and doing more to protect intellectual property (IP) rights, which remain among the major concerns of foreign companies operating in China.
The plan, which takes effect on Friday after being announced earlier this month, intends to “lift the confidence of foreign investors in Shanghai”, following a series of related directives from the central government over the past year.
In addition to pledging financial incentives and streamlined filing procedures, the plan will “help push for deeper integration of local innovative companies and foreign-funded research centres”, the city government said on Tuesday in an interpretation of the new policy directive on its website.
