China’s Business Climate Heats Up: 90% of Firms Give Thumbs Up

China’s business environment is getting a major glow-up, according to a new report that surveyed thousands of companies. The 2024 China Business Environment Research Report, released by the China Council for the Promotion of International Trade, reveals 90% of companies are satisfied with operating conditions – up 2.1% from last year.

With input from over 6,800 businesses (including foreign firms), the study gave China an overall score of 4.37/5 across 12 key areas like infrastructure, customs efficiency, and legal transparency.

What’s Driving the Optimism?

Companies praised improvements in streamlined bureaucracy (setting up or closing businesses is easier now!) and upgraded logistics networks. One CEO described it as 'like switching from dial-up to 5G' for cross-border trade.

Looking Ahead: More Reforms in the Pipeline?

While 70% of firms saw stable or rising profits this year, they’re hungry for more changes – especially tax cuts. Meanwhile, China is drafting new laws to boost private sector growth, signaling even friendlier policies ahead. Investors, take note!

Reference(s):

China's business environment shows continued improvement: report

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