(Yicai) Aug. 29 -- Multinationals should become more confident of investing in China as those that do reap the benefits, according to a series of reports compiled by the Ministry of Commerce.

Multinationals should enhance the global layout of Chinese businesses in both status and reach, according to the reports entitled ‘Multinationals in China’ that were released yesterday at the fifth Qingdao Multinationals Summit hosted by the Ministry of Commerce and the Shandong government.

They should look for new opportunities and build synergies in consumption, green transformation, supply chain, as well as support the country’s high-level opening-up, the reports said.

Overseas-invested companies have accounted for over 17 percent of China’s tax income in the past five years, according to the reports. And they have accounted for more than 30 percent of the country’s foreign trade.

Multinationals are constantly benefiting from investing in China, Yu Zirong, vice president of the Chinese Academy of International Trade and Economic Cooperation under the Ministry of Commerce, said at the three-day event attended by more than 550 representatives from 451 multinationals.

Revenue for foreign-backed businesses in China expanded at an average rate of 4.1 percent between 2018 and 2022. Their business revenue accounted for more than 20 percent of that of industrial enterprises above a designated size. And their profit margin was higher than 7 percent.

China is about to remove all restrictions on foreign investment in the manufacturing sector, said Minister of Commerce Wang Wentao. It will continue to reduce the negative list on foreign investment that restricts investment in certain industries and will spur the opening-up in services sectors such as telecommunications, education and healthcare.

During the summit, many multinationals expressed their confidence in the China market. AstraZeneca is hiking its investment in its Qingdao inhaled aerosol plant to USD750 million, the UK pharmaceutical giant said.

Saudi Aramco invests in China because it is optimistic about China’s long-term growth potential and is determined to become a preferred partner of the country, said Yasser Mufti, executive vice president of products and customers at the Saudi Arabian oil major. Dhahran-based Saudi Aramco is dedicated to becoming an important supplier of energy and chemicals to China to help guarantee China’s energy security.

Editor: Kim Taylor