Stable Policies Foster Innovation and Shared Future He Yin Commentary

In the context of China's annual two sessions, international attention has increasingly turned toward the nation's strategies for enhancing trade and investment cooperation as it aims for a high-standard opening up. Amidst global economic turbulence and uncertainty, China stands out as a beacon of long-term stability, an aspect that has garnered admiration from the international business community.

Data from 2025 indicates that over 70,000 new foreign-invested enterprises were established across the country, marking a 19.1 percent year-on-year growth. This statistic exemplifies a fundamental truth: China remains a premier destination for foreign investment, presenting a landscape rich with opportunities. Partnering with China symbolizes an embrace of potential, belief in future progress, and a commitment to long-term growth.

The confidence derived from stability is crucial for long-term planning. Schneider Electric, a French industrial leader, has nearly four decades of history in China. From a modest team of ten, the company has expanded to five research and development centers, an AI innovation lab, and thirty manufacturing and logistics centers throughout the country. This trajectory is a testament to how the consistent development environment in China has allowed businesses to make sound growth strategies.

Schneider Electric's journey exemplifies a reciprocal commitment to foresight; China's long-term developmental focus has significantly influenced how foreign enterprises engage with the Chinese market. Companies now frequently align with China’s five-year plans, seeking guidance from governmental policy frameworks and industry forecasts. The slogan 'Investing in China means investing in the future' has become a standard mantra for many international firms.

Furthermore, the environment of stability nurtures innovation. China is firmly advancing technological innovation and fostering the growth of new high-quality productive forces. As such, more foreign enterprises are viewing China as a 'gym' to enhance their own innovation capacities and competitive advantages. For instance, Volkswagen, a long-standing participant in China's automotive industry, is now collaborating closely with its Chinese partners on research and innovation to blend 'Chinese speed with German experience' and 'Chinese ingenuity with German craftsmanship'.

Additionally, stability supports the entrepreneurial spirit. China's ongoing expansion of its open-door policy has become a magnet for entrepreneurs and diligent individuals globally. In Yiwu, East China's Zhejiang Province, over 30,000 foreign businesspeople are active daily, and the number of registered foreign-invested entities has surpassed 11,000. This city, recognized as a 'world supermarket,' is also a vibrant hub of international diversity and integration.

Danish entrepreneur Simon Lichtenberg has spent over 30 years running a business in Shanghai, actively engaging in consultations to influence potential revisions to China's Company Law. His participation in legislative discussions highlights how a safe, welcoming, and inclusive atmosphere fosters confidence among foreign investors, encouraging them to realize their entrepreneurial aspirations in China.

The increase in investment scales and evolving cooperation models underscores a deepening understanding among foreign investors regarding the opportunities within China. As they recognize the vast potential of the Chinese market, they gain a more profound appreciation of the institutional advantages supporting China's strengths, leading to a consensus regarding its irreplaceability in the global business landscape.

The draft outline of the 15th Five-Year Plan (2026-30) emphasizes the alignment of foreign investment attraction with outbound investment, aiming to bolster international trade and two-way investment cooperation. It advocates for stronger initiatives to attract and utilize foreign investment, which reflects a commitment to practical, stable policies that unlock extensive developmental potential.

As China embarks on the 15th Five-Year Plan, it is poised to uphold its ethos of openness and collaboration, aiming for mutual benefits and win-win outcomes. The nation will continue to enhance institutional openness, cultivate a conducive environment, and expand opportunities for the growth of foreign-funded enterprises, while also providing new avenues for the world through its innovative advancements.

In an ever-changing global landscape, China offers an exceptional asset: stability. This enduring stability is aimed at cultivating confidence and advancing the future of an open world economy.