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European commerce still hungry for China: survey

(China Daily)
Updated: 2008-11-25 16:25

European companies in China are generally optimistic and committed to the Chinese market and its future, despite mounting challenges, according to the latest survey by the European Union Chamber of Commerce in China.

More than 250 European companies active in China reported their optimism about doing business in China, although they had concerns as well.

The Survey shows that although the Chinese economy is slowing down, the rising number of European companies in China, especially small-and medium-sized companies, demonstrate that China remains an attractive destination to investors. More companies are reporting greater profitability than last year and over two-thirds of the surveyed companies generate less than 10 percent of their current global revenue in China. This means business growth potential still remains high.

"This year's survey re-confirms that the Chinese market is the most important emerging market for European businesses, and given the global slowdown it might actually rise in significance," said Joerg Wuttke, President of European Union Chamber of Commerce in China.

Marianne Friese, secretary general of the European Chamber, said, "the survey provides our member companies and also business policy makers in Europe and China with insight that can help them maximise the opportunities and overcome the challenges in this growing market. We must assume that the recent events on the financial markets will influence our members' business decisions. Considering China's continued growth and the underlying confidence of European businesses in China, we hope to see positive developments in the year to come".