Shanghai is hoping to hold on to its position as China’s financial and commercial centre by making it considerably easier for foreign multinationals to do business, fighting back against the downside risk posed by the US-China trade war.
The city’s mayor, Ying Yong, has pledged a series of cutbacks on red tape, including faster registration and license approvals for new companies, the South China Morning Post reports.
“Whatever the economic situation we will face, the door for foreign businesses will not be closed,” Ying said at the annual International Business Leaders’ Advisory Council meeting. “Instead, we will further open it for them.”
International companies have expressed fears that they could be caught in the crossfire between Washington and Beijing as the trade war ensues. In September, the EU Chamber of Commerce in China found that 7% of its member companies intended to move production out of China, while a similar American Chamber poll said nearly half of American companies expected a “strong negative impact” from the tensions.