The European Union Chamber of Commerce in China considered this Friday, 6th, that the report on government action, presented on Thursday to the Chinese legislative body, contains “positive” signs for European companies.
In a statement released after the presentation of the document at the National People’s Assembly (APN, Legislative), the organization indicated that the report includes “action points on matters relevant to European companies” operating in the Asian country.
The entity highlighted that China’s economic slowdown, identified by its members as the main problem in 2025, is “linked to structural issues”, such as competition considered unsustainable in some sectors, and highlighted that the report envisages resorting to “a whole range of approaches” to eliminate the so-called “involution”, a term used to describe excessive and unproductive competition.
The statement also highlights that the government document includes a call to “boost imports in order to promote balanced trade”, something that the Chamber interprets as a sign that Beijing “has taken into account the concerns of trading partners”, such as the European Union, regarding trade imbalances.
The organization also welcomed the continued commitment to “national treatment” for companies with foreign investment, a reference that, according to the statement, appears in the Government’s work reports “for five consecutive years”.
The document also mentions that “a new Catalog of Industries Encouraged for Foreign Investment will be applied”, a measure that the Chamber considers potentially “positive”, although it warned that more details on its application will be needed before fully assessing its scope.
Among the aspects that raise caution, the organization highlighted that the report includes an appeal for companies with foreign investment to expand their production in the country.
In this sense, he pointed out that these decisions “must be taken for commercial reasons”, and not due to factors such as location requirements or the search for equal treatment in public procurement processes.
The Chamber also commented on the growth objective defined by Beijing for this year, between 4.5% and 5%, lower than in previous years. In his opinion, it reflects that the authorities recognize that the economy “could continue to slow down”.
Still, he considers that this goal “is not as significant as some might think and may even be positive, given that the country is a rapidly maturing economy”.
The government report was presented on Thursday by Premier Li Qiang, during the opening of the annual session of the National People’s Congress, as part of the so-called “Two Sessions”, China’s main annual political event.
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