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China supports foreign participation in SOE reforms

0 Comment(s)Print E-mail Xinhua, March 3, 2016
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China will support foreign participation in its drive to reform state-owned enterprises (SOEs), Spokesman of the Ministry of Commerce Shen Danyang said Wednesday.

Mergers and acquisitions (M&As) by foreign entities will help upgrade China's industrial structure, bring in advanced management experience and sharpen domestic firms' international competitiveness, Shen said at a press conference.

M&As involving foreign companies have been growing steadily in recent years, though the overall scale and their proportion of China's foreign direct investment (FDI) are still below global standards, Shen said.

The value of foreign capital M&As was US$17.8 billion last year, accounting for 14 percent of FDI into China, lower than the 38-percent international level, according to Shen.

He said China will continue to improve the environment for foreign investment and lower the investment threshold, while encouraging foreign investment into sectors like high technology, environmental protection and services.

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