Despite rising geopolitical tensions and the growing trend of unilateralism and protectionism, Ling emphasized that China's vast market, highly efficient industrial and supply chains, and continuously evolving innovation ecosystem provide a strong foundation and fertile ground for multinational companies to invest and expand in the country.

　　Noting that the United States' tariff hikes disrupt normal China-US economic and trade cooperation and fail to address its own challenges, Zhu Bing, director of the Commerce Ministry's department of foreign investment administration, said that such measures not only harm foreign-invested enterprises in China, including US companies, but also erode multinational corporations' investment confidence and decision-making abilities.

　　“While some foreign, labor-intensive businesses are adjusting their global footprint and reallocating production capacity based on their strategic priorities and comparative advantages, many multinational corporations are evolving their investment strategies to stay competitive in China,“ Zhu said.

　　Several foreign companies have expanded production lines for high-tech products, including high-end displays and new energy batteries, signaling a shift toward advanced manufacturing. Others have increased investment in their research and development centers in China, further upgrading their innovation capabilities.

　　For example, Panasonic Holdings Corp of Japan will start construction of a factory in Shanghai in July to produce semiconductor packaging materials, with an investment of 120 million yuan ($16.5 million).

　　“China's well-developed supply chain, supportive policies, abundant R&D talent, continuously advancing innovation ecosystem and vast market potential make it an attractive destination for multinational companies,“ said Tetsuro Homma, executive vice-president of Panasonic.