From what I can judge, the current business environment and policies provided by the Chinese government to foreign companies are good.

We have been investing over the past 25 years, and we shall keep doing so.

1. Chinese economy’s “new normal”

After over 3 decades of high speed growth, Chinese economy has entered a new stage of “New Normal”, and the government is committed to changing the mode of its economic development by introducing more innovation, upgrading its industries, optimizing resources and energy consumption, and helping its development become more green and sustainable.

In my point of view, China economy’s “New Normal” is characterized by 3 main aspects:

-The economy will transition from double digit growth to single digit ‘moderate’ growth

-The structure of the economy shifts towards higher services and internal consumption

-Government will emphasize innovation & green transformation

Facing downward pressure and multiple risks under the new normal, the key priority is to take a holistic approach in pursuing steady growth, structural readjustment and further reform.

-The growth rate must be kept steady to ensure that economic performance is stable.

-At the same time, structural adjustments must be made to consolidate the foundation for ensuring steady growth.

-China’s deepening reform and opening-up in all respects will bolster its economic development.

The new phase of the economy will be more sustainable, more efficient and call for lower costs. As the global energy efficiency management specialist, Schneider Electric focuses on making energy safe, reliable, efficient, productive and green, and offers integrated solutions across multiple market segments.

2. Chinese business environment and policies

China is deepening the reform in the foreign investment area and attracting foreign investment through an innovative development mode, favorable taxation policies, etc. (For example, Shanghai Free Trade Zone). However, China government pays more attention in selecting the foreign investment that matches with China development strategy and drives innovation in all aspects.

China economic transformation and innovation-driven strategy will drive foreign companies to position China market from “revenue center” to “innovation center” and invest more in R&D.

3. Business vision for next five years

As the New Normal and the emergence of a new energy world collide, China is ideally placed to benefit from a greener and more sustainable development. New models need to be invented in industries, mobility, infrastructures, buildings and cities.

At the center of digitization and urbanization, China can lead the way towards these new development models and, through open dialogue with peers, can leverage international experience where available.

As the global energy efficiency management specialist, Schneider Electric offers integrated solutions across multiple market segments, and will continue to explore the huge business potential in China and leverage advantages in manufacturing, talents, etc.

4. Chinese economy’s contribution to the global economy

As the world’s second-largest economy, fastest growing consumer market and manufacturing center, China plays a decisive and irreplaceable role in the global economy.

“One belt, One Road” strategy serves as a roadmap for how China wants to further integrate itself into the world economy and strengthen its influence in these regions. And China’s economic transformation will brings more opportunities for other countries in the world.

-- Jean-Pascal Tricoire

chairman and CEO of Schneider Electric