According to the company’s website news release on March 19, 2023, on March 18, SABIC, a global leading diversified chemical company, joined hands with Caijing Think Tank and Caijing Magazine to launch the 2023 Global Economic Confidence Index (GECI) in Beijing. During the launch event, prominent experts and leaders including Li Lei, Vice President and Regional Head, North Asia, SABIC, gathered again to analyze the global and Chinese economic trends and outlooks, and discuss the opportunities and challenges encountered in the process of economic recovery, providing insights and suggestions to boost market confidence and economic growth.
Other leaders present included Zhu Min, Deputy Director General of China Center for International Economic Exchanges and former Deputy Managing Director of IMF; Cai Fang, former Vice President of Chinese Academy of Social Sciences (CASS) and member of Monetary Policy Committee of the People’s Bank of China; Li Yang, CASS Member and Executive Board Director of National Institution for Finance & Development; Liu Yuanchun, Director of Institute for Chinese Economic Practice and Thinking, Tsinghua University; Zhang Yansheng, Chief Research Fellow, China Center for International Economic Exchanges; Xu Zhaoyuan, Deputy Director General, Research Department of Industrial Economy at Development Research Center of the State Council; Li Xunlei, Chief Economist of Zhongtai Securities.
Li Lei, SABIC’s Vice President and Regional Head of North Asia highlighted in his presentation that revitalization of the manufacturing industry needs to be advanced both “vertically” and “horizontally” by strengthening innovation focus under the premise of sustained strategic determination, as China actively promotes high-quality development and accelerates the establishment of a new development pattern. He said, “With the new challenges ahead, driving the development of the entire manufacturing industry - towards a more high-end, intelligent, environmental-friendly direction with a focus on innovation - has unprecedented significance.” He further mentioned that the promising China market will unleash the potential of foreign chemical enterprises that feature large investment scales, significant investment in innovation and robust profitability. And through determined reforms and relentless innovation, China’s “strategic plan” in inspiring foreign enterprises to continue to delve deeper into the vast expanses of the country will help drive progress in the revitalization of the manufacturing industry.
First launched in 2020, the GECI has revealed the global economic insights and outlooks of world-renowned economists, and top minds in the governments, business and finance to the public for four consecutive years. This year marks the full emergence of the global economy from the pandemic, and is also the first year following the full optimization and adjustment of China’s pandemic prevention and control policies. In this year’s survey, though the global economy has demonstrated resilience beyond market expectations, it is still in the middle of recovery and adjustment, with geopolitical risks, ongoing high inflation and issues arising from industrial restructuring continuing to weigh on growth. A stable recovery of the Chinese economy is expected in 2023, as China continues to possess the advantages of a large economic scale, a complete industrial system, and a sound industrial layout to overcome the triple pressure of demand contraction, supply shocks, and weakening expectations.
Furthermore, more than half of the respondents are optimistic or relatively optimistic about the development of China’s manufacturing industry, which represents strong internal impetus for the upgrading and development of the real economy. Sustainable development of China’s manufacturing industry and the chemical industry’s green and low-carbon transformation presents the most important opportunity for the sustainable development of China’s manufacturing industry.
The report also shows that to fully unleash existing development potential, China needs to deepen reform efforts and systematic policy support, including boosting the confidence of the private economy, actively promoting consumption growth, and optimizing the business environment for foreign-funded enterprises.
Since entering China in the 1980s, SABIC has striven to build solid thought leadership. It has not only launched the GECI for four consecutive years, but has also maintained a fifteen-year strategic partnership with Boao Forum for Asia. In late March, SABIC will once again participate in its 2023 Annual Conference as the honorary strategic partner for the fourth year and will contribute industry insights, working with the Forum to drive sustainable development in Asia and the rest of the world.
