November 29th (AMSP/CGTN) – – The second China International Supply Chain Expo (CISCE) will continue until Saturday. This event is significant as it aims to highlight the significance of global supply chain cooperation and stability.
From raw material production to manufacturing and final product delivery to consumers, the entire process constitutes a supply chain.
For instance, batteries made by the Chinese company CATL using lithium ore imported from Australia are powering electric vehicles of some European brands, which are then driven on the streets of Germany. This illustrates the global nature of modern supply chains. Globalization enables producers to source materials from the most cost-effective regions, allowing them to generate profits and provide consumers with better products at lower prices.
However, geopolitical uncertainties and trade frictions are posing challenges to current global supply chain systems.
In response, China is working to secure smooth and stable global supply chain connections. This commitment is exemplified by China’s hosting of the world’s first national-level expo focused solely on supply chains.
Over 500 companies participated, with notable international representation from the United States and Europe at 36%. The expo resulted in the signing of 200 deals worth approximately $20 billion. Six forums were also held to discuss the problems and opportunities in building and strengthening supply chains.
China is well-positioned to host this expo, as its manufacturing industry has remained the world’s largest by scale for 14 consecutive years, accounting for about a third of the global total. This solidifies China’s core role in global supply chains.
Furthermore, Chinese companies are strengthening their presence in the global supply chain system by establishing overseas factories. By the end of 2023, Chinese companies had invested in 48,000 outbound branches or factories across 189 countries and regions. This trend of global expansion is also reflected in China’s growing outbound direct investment, which increased by 8.7% in 2023.
The Global Supply Chain Expo, now in its second year, serves as both a demonstration of China’s supply chain resilience and a platform for forging new global connections. It is part of China’s response to trade protectionism and fragmentation, showcasing the country’s confidence and commitment to safeguarding supply chain security and stability, which Premier Li Qiang emphasized as the foundation for development – not just for China, but for the world.
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