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ChinaDiplomacy

China urged to give foreign companies a fair chance to compete with domestic firms

Outgoing German ambassador calls time on stint in China by urging authorities to finally come good on promises to open markets

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Michael Clauss, the German ambassador to China, called for greater openness and transparency. Photo: Simon Song
Wendy Wuin Beijing

China should take concrete steps to ensure foreign companies enjoy a level playing field, especially in key hi-tech sectors, the outgoing German ambassador to Beijing has said.

In a farewell interview with the South China Morning Post, Michael Clauss warned there were concerns that Beijing’s current policies favouring domestic firms over their foreign competitors might prove the blueprint for the future. He also expressed hope that pledges to improve market access would finally lead to action.

China is aiming to move on from being the workshop of the world by boosting its hi-tech sector, with the Made in China 2025 plan – which is designed to bolster areas such as robotics and new energy vehicles – forming a key plank of its economic policy.

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China’s attempts to develop its hi-tech sector have generated concern among foreign companies and businesses. Photo: Xinhua
China’s attempts to develop its hi-tech sector have generated concern among foreign companies and businesses. Photo: Xinhua

But the strategy, which promotes selected domestic companies, has fostered concerns that foreign businesses will be excluded from the country’s markets.

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The ambassador said the industries promoted under the strategy were “almost identical” to those at the heart of German’s own technological development.

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