In our special series “China: Dealing with the New Superpower,” we bring you the latest on what Swiss companies will need to know when they do business with China. We take a close look at how the world’s second-largest economy is changing the international, political, and economic landscape. The series also looks at market access, the consequences of the trade war with the U.S., and China's new ambitions in specific sectors, including its capabilities to shift to an innovation-driven economy.
Just like other Chinese cities, Tianjin is suffering from severe pollution due to its fast and unorganized development. In 2007 an eco-city project was launched—but it seems that it has yet to live up to expectations.
Valdis Dombrovskis, vice president of the European Commission, promotes a screening mechanism to allow EU member states to block strategic companies from takeover by foreign investors. But he wants the EU to remain open to all investors, including ones from China. #CNNMSINCHINA
Jean-Pierre Cabestan, political science professor at Hong Kong Baptist University, explains why wealth and power are so important to China’s communist party. And what it means for foreign companies. #CNNMSINCHINA
China has become the world’s second largest economy but at a high environmental cost. Eco-cities are part of its strategy to build a more sustainable society. But Isabel Hilton, CEO of the nonprofit chinadialogue, argues that the implementation of the concept has been problematic.
One in every five Swiss watches in the world is sold in Hong Kong or China. After a major crisis in 2014, sales are picking up again, thanks, in part, to millennials. Now younger people wear a Swiss watch to express their personality rather than as a status symbol.
Jimmy Tang is CEO of Prince Jewellery & Watch, one of the largest Swiss watch retailers in Hong Kong, the main export market for Swiss brands. He says sales were recovering after a three-year slump, but now trade tensions are already having an impact. #CNNMSINCHINA
Sales are on the rise again for Swiss watches in Hong Kong, their largest export destination. Mariana Kou, head of HK consumer at CLSA, explains how the market has recovered from the 2014 slump triggered by the anti-corruption campaign in China.
In China, if a product is a hit in the city, it’s also likely to do well in the country, says Vincent Chan, head of equity strategy research at Credit Suisse in Hong Kong. This dynamic, in addition to the scale of China’s markets, will continue to intrigue investors, despite the current slowdown.
Danny Yuan, head of Manpower, says robots will take away tasks, not jobs. In an interview at the WEF meeting of New Champions in Tianjin, Yuan warns that the immediate challenge is a skills shortage, which has become a “CEO headache” not just for Chinese firms but Swiss recruiters hiring in China.
China is facing a trade war with the U.S., which may force Swiss companies to rethink how they do business in both countries. But China’s biggest challenge is debt, not trade. That’s what Zhu Ning, professor of finance at Tsinghua University, told CNNMoney Switzerland at the Summer Davos in Tianjin.
China’s influence on Hong Kong is growing. But the financial center that competes with Switzerland remains a safe place where capital can be protected by the rule of law, says Bernard Chan, top adviser to the chief executive of Hong Kong.
Chinese companies want to catch up with the West and become as innovative, says Felix Moesner, CEO of swissnex China. To compete, Swiss companies have no choice but to go for deep tech. Watch our first monthly Tech Talk program with swissnex.
Jean-Jacques de Dardel, Swiss ambassador to China, says concerns about Chinese takeovers of Swiss companies are “unjustified.” In an interview at the World Economic Forum’s summer meeting in Tianjin, he also tells CNNMoney Switzerland that negotiations to update the free trade agreement with China are expected to start this year or early 2019.
In China there is one new billionaire every five days, according to UBS. Eugene Qian, president of Shanghai-based UBS Securities, says the Swiss bank is a “flourishing” business in the country and has more than 1,000 employees. UBS is also confident that it will be able to acquire a majority stake in its securities venture.