At a workshop of German gelatin manufacturer Gelita in Liaoyuan City, northeast China's Jilin Province, over 100 workers are diligently installing and commissioning equipment.

An expansion is underway for a new production line that is set to manufacture an impressive 6,500 tonnes of gelatin annually. Last year, Gelita made a significant investment of over 700 million yuan (about 98 million U.S. dollars) in Liaoyuan, elevating the local production capacity to an internationally top-tier standard.

"Upon full operation, the project is anticipated to yield an annual output value of 800 million yuan. We are very optimistic about the development potential of the manufacturing industry in northeast China," said Kevan Zhang, director of Public Relations for Gelita China. 

A worker operates the equipment at a workshop of German gelatin manufacturer Gelita in Liaoyuan City, northeast China's Jilin Province, Aug. 16, 2024. (Xinhua/Tang Chengzhuo)

Northeast China, historically recognized as a traditional industrial base, gave birth to China's first automobile, first jet aircraft and first 10,000-tonne ship. However, during its transformation, it encountered challenges such as resource depletion and talent outflow, which led to the moniker "Rust Belt."

The growth of Gelita Liaoyuan Gelatine Co., Ltd. mirrors China's ongoing initiatives to revitalize its northeastern region. The positive changes have significantly bolstered foreign investors' confidence in the development potential of Jilin, Heilongjiang and Liaoning provinces.

Official data indicate that in 2023, the actual utilization of foreign capital in Jilin and Heilongjiang saw an increase of 23.2 percent and 11.8 percent year on year, respectively. Liaoning welcomed 959 new foreign-funded enterprises and attracted an actual foreign investment of 3.38 billion U.S. dollars in the same year.

Northeast China, with its robust industrial foundation, has achieved remarkable results in automation and digital transformation in recent years. This has drawn numerous multinational companies to seek investment or expand their investments in the region in various sectors such as new energy vehicles, high-end equipment manufacturing and biopharmaceuticals.

This photo taken on April 26, 2024 shows a scene at the signing ceremony for deepening strategic cooperation between BMW and Shenyang, in Shenyang, northeast China's Liaoning Province. (Xinhua/Pan Yulong)

In April, German automaker BMW announced an additional investment of 20 billion yuan to localize the manufacturing of a new generation of BMW models by 2026 at its production base in Shenyang, capital of Liaoning.

German automaker Audi established its first Chinese factory dedicated to producing pure electric vehicles in Changchun, capital of Jilin. With an expected investment exceeding 35 billion yuan, the factory is scheduled to commence production by the end of the year.

Northeast China is not only a hotspot for foreign investment but is also increasingly seen as a research and development hub. Foreign companies are developing cutting-edge technologies and deploying advanced production lines in the region.

In July, German automotive parts supplier Vitesco Technologies commenced serial production of its battery management electronics in Changchun. The first large-scale production is planned for a leading Chinese car manufacturer, which will equip its new electric vehicle models with state-of-the-art battery management technology.

Guests watch an introduction video of the Audi FAW NEV Co., Ltd. in Changchun, northeast China's Jilin Province, Jan. 26, 2024. (Xinhua/Xu Chang)

Last August, Vitesco inaugurated a new research center covering nearly 8,000 square meters, housing 500 researchers, and featuring 12 laboratories in Changchun.

Moreover, attractive talent policies have enhanced investor confidence.

In 2023, Jilin and Liaoning experienced net population inflows of 43,400 and 86,000, respectively, reversing a decade-long trend of net outflow. Heilongjiang achieved its best performance in five years for retaining and attracting university graduates.

A staff member operates at a workshop of Vitesco Automotive Changchun Co., Ltd. in Changchun, northeast China's Jilin Province, April 21, 2023. (Xinhua/Si Xiaoshuai)

CNH, an equipment, technology and services company, has a long heritage in China dating back to the early 20th century.

"Our plant in Harbin, which was opened 10 years ago, has been our largest industrial investment in the world over the last 30 years. We have localized here and have invested more than 250 million U.S. dollars into the site since then," said Luca Mainardi, president of Asia Pacific at CNH.

Bing Zheng, director of the northeast revitalization development research institute at Jilin University, believes that northeast China has seized the opportunity presented by the transformation and upgrading of the manufacturing industry, continuously expanding external cooperation.

"The region's solid industrial foundation, strong talent pool and ongoing optimization of the business environment are key factors in attracting foreign investment," Bing said.