China’s ongoing transition to “new normal” featuring slower but higher quality growth means new investment opportunities for Italian companies, according to a report of Milan-based Italy-China Foundation presented on May 10.

The seventh edition of the annual report highlights the essence of the “new normal”, which is not fast growth, but a more mature economic structure that relies increasingly on consumption, services and innovation.

“China’s industrial system is undergoing a giant transformation process which aims at increasing profitability, reducing overcapacity in many sub-sectors and enhancing innovation in the productive chain,” the report reads.

While continuing to offer opportunities to Italian investors, China’s “new normal” compared to the past requires Italy’s deeper knowledge of emerging sectors and regional economies in the Asian country, Italy-China Foundation President Cesare Romiti stressed presenting the report.

Environment protection, information technology, biotechnologies, new materials and green vehicles are among the developing growth sectors analyzed in the 430-page report, which focuses on the economic potentials of each Chinese province.

The report also underlines China’s promise to promote the advancement and reform of its economy while pushing forward the Belt and Road initiative, a move that experts say shows the Asian country’s resolve to bring the world closer together through trade and cultural exchanges.

“We need to stop thinking that China serves as the world’s factory, because China has great technological innovation, and its economy is opening up to the world,” said Alberto Rossi, head of operational marketing and analyst at Italy-China Foundation’s Centre of Studies for Enterprises (Cesif).

Statistics from Global Blue, a tourism shopping tax refund service provider which contributed to the report, showed that Chinese shoppers remain the largest tax-free shopping market, accounting for a third of global sales.

Stefano Rizzi, country manager Italy at Global Blue, told Xinhua on May 10 that shopping is an important part of the holiday experience for regular Chinese travelers in Italy.

Last year, Chinese tourists’ purchases were up 56 percent against an average of 16 percent in Italy, he noted.