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Shanghai remains magnet for foreign investment: Statistics

english.shanghai.gov.cn| January 23, 2025
Lujiazui in Shanghai.jpeg
Lujiazui, the financial center of Shanghai, forms a perfect backdrop to the Bund area. [Photo by Wang Gang/For China Daily]

Despite global economic uncertainties, Shanghai continues to attract significant foreign investment, solidifying its position as a safe and stable destination for businesses seeking growth opportunities.

In the first seven working days of 2025 alone, 144 foreign-invested enterprises were established in the city, with an average registered capital of more than 13 million yuan ($1.78 million).

This surge in investment followed a strong performance in 2024, when Shanghai witnessed the establishment of 7,318 new foreign-invested enterprises, underscoring the city's unwavering commitment to fostering a business-friendly environment and its appeal as a gateway to the vast Chinese market.

Highlighting this trend is Apple's recent establishment of Apple Technology Development (Shanghai) Co Ltd in the China (Shanghai) Pilot Free Trade Zone, with a registered capital of $35 million.

This is Apple's first technology-focused company in the Chinese mainland, signaling a strategic move towards expanding its presence in the country's burgeoning technology sector.

The influx of foreign capital is further evidenced by the arrival of prominent players across diverse industries.

In July, French banking giant BNP Paribas established a wholly owned securities firm in Shanghai, becoming the fourth foreign financial institution to set up a wholly owned brokerage firm in the Chinese mainland.

A month later, Singapura Developments (Private) Limited, a subsidiary of Singapore’s Hong Leong Group, founded Chenghong (Shanghai) Investment Co Ltd with a registered capital of 5.2 billion yuan to participate in joint real estate development projects in Shanghai.

To date, Shanghai has utilized over $360 billion in cumulative foreign investment, with more than 75,000 foreign-invested enterprises.

Among the 57 countries and regions that contribute to the actual use of foreign investment, there have been significant increases in investments from France, Sweden, Italy, Australia, and other countries and regions.

Overall, Shanghai saw the registration of 8,696 new enterprises in the first seven working days of 2025, maintaining the momentum of the previous year, when 342,681 new businesses were established.

By the end of 2024, Shanghai boasted 2.9 million active enterprises, translating to 117 enterprises per 1,000 people, ranking first nationwide.

This means that for every 8.5 people in Shanghai, one is a business founder.

 

Source: Jiefang Daily

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