Shenyang, October 31, 2023, Recent years have witnessed a surge in investments within northeast China, where multinational corporations have been actively engaging in a variety of projects. Notably, one of these investments is the massive Saudi-Chinese petrochemical endeavor situated in Panjin City, Liaoning Province. This project is a collaboration between Aramco and joint venture partners NORINCO Group and Panjin Xincheng Industrial Group.
Under construction since March of this year, the project holds significant significance, as it comprises a major integrated 300,000 barrels per day refinery and a petrochemical complex boasting an annual production capacity of 1.65 million metric tons.
The appeal of northeast China for foreign investment has grown steadily, spanning diverse sectors, from China's new energy vehicle (NEV) industry to high-end equipment manufacturing and biopharmaceuticals. According to the official Chinese Xinhua news agency, this heightened interest in the region reflects foreign capital's unwavering confidence in the Chinese market and underscores the region's allure for industrial revitalization.
A series of high-level opening-up measures within this region has generated optimism among multinational corporations regarding mutually beneficial cooperation. Xinhua accentuates the industrial capabilities of northeast China, bolstering investor confidence. This includes a well-established industrial and supply chain infrastructure, along with a substantial labor force.
Li Zheng, the dean of the School of Economics at Liaoning University, emphasizes that northeast China is in the midst of a continuous process of refining its business environment and institutional framework, stimulating the vitality of market entities and fostering potential for innovation. He foresees further breakthroughs in northeast China during the 14th Five-Year Plan period of 2021-2025.
Furthermore, in Liaoning Province, the actual utilization of foreign capital has risen in the first half of 2023 when compared to the same period in 2019, as indicated by official data. Similarly, the northeastern provinces of Jilin and Heilongjiang have experienced substantial increases in the actual utilization of foreign capital, registering year-on-year growth rates of 23.83 percent and 85.2 percent, respectively.
Xinhua underscores a multitude of multi-billion-dollar foreign projects and investments within northeast China, encompassing fields like vehicle battery production, petrochemicals, and the automotive sector. Automotive industry officials have also reaffirmed their intentions to expand investment in the Chinese market and increase production capacity, particularly in light of the leading position held by the Chinese NEV industry.
Notably, northeast China holds historical significance as it represents the first industrial base established after the founding of the People's Republic of China in 1949.
