Green growth is gaining traction in China and posing fresh business opportunities for global investors, according to the head of Swedish manufacturing giant Volvo Group.
"While China's economy is slowing from a percentage-point perspective, growth momentum remains strong given its large size and long-term supply-side structural reform," Martin Lundstedt, President and CEO of Volvo Group, told Xinhua on the sidelines of the 2019 China Development Forum.
The country's development priorities are changing as the government stresses blue skies, digitalization and other fields that lay a solid foundation for a sustainable future, he added.
Lundstedt described China as a "highly efficient and smooth-running tractor," which is also pulling a highly efficient trailer symbolizing the country's booming e-commerce sector that fuels fast logistics development.
The industrial transportation giant has been in China, one of its second "home markets," for 27 years with presence in over 22 provinces across the country with about 6,000 employees. The company has two joint ventures and a whole value chain in China, including research and development, manufacturing, sales and services.
He observed that the Chinese government is making solid efforts to further reform and opening-up. "We are deeply impressed by their great achievements and truly grateful to be part of it."
Lundstedt pointed out that a new generation of vehicles is emerging which are electrified, connected, and increasingly autonomous, adding he is encouraged to see that China has drawn up a plan on developing new energy vehicles in its efforts to transition into a green economy.
"These innovations can help improve safety and efficiency, introduce a smoother transport system, reduce emissions and local pollutants, and contribute to a green development path which is in line with the government agenda and people's welfare," he said.
The adoption of the foreign investment law at the annual legislative session has sent an encouraging signal to foreign investors, according to him, adding that the joint-venture mechanism is gradually changing from "have to" to "want to" for foreign firms.
Lundstedt said trust and win-win strategy are key to building a sound ecosystem. He likened partnership to a pie. "As partners, we should focus more on how to make the pie bigger instead of how to divide the small one."
Lundstedt reiterated Volvo's commitment to continuous investment in China as the country keeps pushing ahead with green growth.
"We will continue to work closely with the Chinese government, institutions and local partners, to bring the best of our expertise and innovative solutions in the electromobility, connectivity and automation areas, and support China in upgrading its own commercial vehicle industry, to make it green, smart and safe," he said.