Market offers huge potential amid new growth drivers, premier tells WEF in Davos

Premier Li Qiang (right) shakes hands with Klaus Schwab, WEF chairman, during the 54th Annual Meeting of the World Economic Forum in Davos, Switzerland, on Jan 16. The event will run through Jan 19, 2023. (PHOTO / AP)

Premier Li Qiang assured the world on Jan 16 that the Chinese economy will grow steadily thanks to its sound and solid fundamentals in terms of an industrial base, production factors and innovation capacity, as well as its huge market.

Addressing the 54th Annual Meeting of the World Economic Forum (WEF) in Davos, Switzerland, Li called on enterprises from around the world to continue to invest in China, and said “choosing the Chinese market is not a risk, but an opportunity”.

Official data released on Jan 17 showed that China’s economy grew 5.2 percent in 2023, higher than the annual target of around 5 percent.

“The overall trend of long-term growth will not change. It will provide continuous and strong impetus to the development of the world,” Li told the WEF.

Noting that China has a mega market with rapidly unlocked demand, the premier said the nation is also cultivating large-scale new growth drivers in areas such as a new type of urbanization and green transition, which will provide broader space for boosting global trade and investment.

“No matter how the world changes, China will stay committed to the fundamental national policy of opening-up and open its door still wider to the world,” he said. “We embrace investments from businesses of all countries with open arms.”

China will steadily expand institutional opening-up in terms of rules, standards and management, continue to shorten the negative list for foreign investment, provide national treatment for foreign businesses, and keep fostering a market-oriented, law-based and world-class business environment, he added.

As the WEF’s 2024 annual meeting is themed “Rebuilding Trust”, the premier urged the international community to discard prejudices, bridge differences, treat each other with sincerity, and work as one in the same direction to tackle the trust deficit.

Li put forward a five-point proposal on rebuilding trust, enhancing cooperation and promoting world economic recovery, including strengthening macroeconomic policy coordination among nations and firmly upholding the multilateral trading system to build greater synergy for global growth.

In order to keep global industrial and supply chains stable and smooth, he called for strengthening industrial specialization and collaboration, as well as firmly advancing trade and investment liberalization and facilitation.

Efforts should be made to strengthen international exchanges and cooperation on science and technology, work together for an open, just and nondiscriminatory environment for the development of science and technology, and break the barriers impeding the flow of factors for innovation, he said.

After his address, Li answered questions from Klaus Schwab, founder and executive chairman of the WEF, on topics including artificial intelligence governance and the multilateral system. 

“China neither walks away from agreements nor pulls out of organizations; nor do we ask other countries to pick sides; and we have always been a staunch supporter of multilateralism,” Li said.

Experts lauded the Chinese premier’s remarks, noting that he emphasized China’s commitment to openness and global engagement.

Ebrahim Patel, South Africa’s minister of trade, industry and competition, told China Daily, “I thought that Premier Li had some thoughtful comments, particularly on the need for us to ensure that we maintain a multilateral rules-based system, that there is greater sharing of the fruits of science and technology, and that we work on climate change as a common global goal.”

Borge Brende, president of the WEF, viewed Li’s attendance at Davos, accompanied by a prominent delegation, as a tangible illustration of China’s dedication to demonstrating openness and active engagement on the global stage.

“China remains very open for international business and plays a major role, particularly with the Global South,” remarked Brende. 

Li is the highest-ranking Chinese official to attend the annual Davos gathering in person since President Xi Jinping’s presence in 2017.

Joe Ngai, chairman of McKinsey & Co, Greater China, said the resurgence of China’s presence at Davos is encouraging, especially in a year when global collaboration and dialogue are paramount. 

Christopher Bovis, a professor at the University of Hull in the United Kingdom, said, “The most important takeaway from (Li’s) speech in Davos is the commitment of China’s administration to the principles of free trade and globalization.”

Raymund Chao, chairman of PwC Asia Pacific and China, said Li’s speech highlighted the steady progress of the Chinese economy, which serves as a strong driving force for global growth.

“In 2024, the Chinese economy is expected to maintain a sustained upward trajectory, and the implementation of various measures will continue to contribute to global economic recovery,” Chao said.

Contact the writers at caodesheng@chinadaily.com.cn