China’s EU firms want a say in the policymaking behind Chengdu-Chongqing economic cluster

EU Chamber of Commerce in China publishes third stand-alone paper focusing on economic development of region in and around Sichuan province

Local municipal authorities are implored to establish a task force, address labour-supply problems and be more open and transparent

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Chongqing (pictured) has teamed up with Chengdu to create an economic hub in and around Sichuan province. Photo: Xinhua

Published: 5:45pm, 20 Apr 2022Updated: 6:16pm, 20 Apr 2022

In their ambitious undertaking to create a Chengdu-Chongqing economic cluster, municipal authorities from the two Chinese cities are being urged to involve foreign businesses in local policymaking decisions.

“Realising this ambitious development goal will require the involvement of all stakeholders – including foreign businesses – early in the policymaking process,” wrote Massimo Bagnasco, a vice-president with the European Union Chamber of Commerce in China, in a new position paper from the group.

The document, published on Wednesday, is the chamber’s third stand-alone paper focusing on the region. The last one came in 2018.

It has suggested several measures for both Chengdu and Chongqing to consider as they create their economic centre.

These include engaging foreign businesses in policymaking; establishing a task force involving businesses and policymakers from both cities; and having an open and transparent public procurement mechanism.

The latest document also raised the issue of labour supply, noting that many skilled workers from European firms are unwilling to relocate to areas within the economic circle, despite the manufacturers showing a willingness to do so.

The Chengdu-Chongqing economic circle was announced in 2019, and details of the master plan were unveiled in October last year.