FRANKFURT (XINHUA) – China’s development success since it opened up to the world has benefited foreign companies, and its vast market remains promising for European firms, a leading German economist has said.
“The success of Chinese development, let’s say the amazing success in the last 45 years or so was also great for foreign companies. They make a very good business and make a lot of revenue,” professor of economics at the Frankfurt School of Finance and Management Horst Loechel told Xinhua in a recent interview.
With a solid middle-class base eager to spend on consumer goods and other products, China continues to offer significant opportunities for foreign companies, Loechel said.
He said China’s “innovation power” has become so intense that nearly every European company has set up research and development centres in the country to avoid missing out.
“So, in principle, the prospects of the Chinese market appear very promising for European companies,” he said.
The digital economy has become China’s main driver of economic development over the past 20 years. Loechel suggested that it is imperative that China continue to develop the digital economy. The transformation to a greener economy could be another growth driver for China’s economy, he added.
The success of the digital economy in China has also opened up opportunities for cooperation as German and other European companies look to digitalise their manufacturing industries, said the expert.
