Phoenix TV:

The international economic and trade situation has been complex and volatile since the beginning of this year, as mentioned multiple times earlier. There have been reports suggesting that foreign-invested enterprises lack confidence in China this year. How did foreign-funded enterprises perform in terms of imports and exports in the first half of this year? Have they been affected by changes in the international economic and trade situation? Thank you.

Wang Lingjun:

Thank you for your questions. Foreign-funded enterprises have made positive contributions to China's economic growth and are important participants in the country's foreign trade. In the first half of this year, imports and exports by foreign-funded enterprises in China reached 6.32 trillion yuan, an increase of 2.4% year on year, maintaining growth for five consecutive quarters. Despite the complex and volatile global trade situation, foreign-funded enterprises in China remain committed to deepening their presence in the country, with confidence undiminished.

This commitment to the Chinese market is reflected in foreign-funded enterprises combining their technological advantages with China's industrial support capabilities, with major industries maintaining upward export trends. Among the key manufacturing export sectors for foreign-funded enterprises, industries such as special equipment, electrical machinery and electronic equipment have all achieved relatively rapid growth. In recent years, guided by policies to stabilize foreign investment, foreign-funded enterprises have expanded from concentrated locations to broader geographic distribution, creating a more balanced presence across regions. In the first half of the year, foreign-funded enterprises accounted for 30% of imports and exports in the eastern region, 25.1% in the central and western regions, and 26.4% in the northeastern region.

Their undiminished confidence is reflected in the fact that more and more foreign-funded enterprises regard China as an ideal, safe and promising investment destination amid declining global cross-border investment flows. In the first half of the year, a record 75,000 foreign-invested enterprises in China engaged in actual import and export activities, the highest number for this period since 2021. Foreign-invested enterprises accelerated investment in production capacity, with imports of high-end equipment increasing 3.2% in the first half of the year. At the same time, foreign-invested enterprises have also focused on long-term development and stepped up innovation and research and development. In the first half of the year, imports of bonded R&D goods increased 52.1%, accounting for more than 70% of the national total.

At present, with increasing uncertainty in the global situation, China's policy stability and long-term planning have become even more valuable. I'm confident that more foreign-funded enterprises will achieve even greater success and stronger growth in China.

Thank you.