$84b deals shine spotlight on Shanghai

Shanghai witnessed deals worth 565.8 billion yuan ($84.4 billion) for 322 major industrial projects on Thursday.

The deals were announced at a global investment promotion convention where 48 major industrial projects worth 162.7 billion yuan kicked off construction.

Observers said this signals a fresh vote of confidence by domestic and overseas investors in the megacity.

Some 90 of the newly secured projects worth 204.9 billion yuan are in line with the city's three strategic pillars: integrated circuits, biopharmaceuticals and artificial intelligence.

High-profile projects include SenseTime's investment in the second phase of an AI computing center, as well as the 3 billion yuan investment by Ascentage Pharma to build a marketing center and a clinical medicine center.

Local authorities also mapped out new frontiers for future development. By 2025, the city will have green and low-carbon industries worth 500 billion yuan, industries related to the metaverse will be worth 350 billion yuan, and the smart terminal sector will top 700 billion yuan.

On Wednesday, the municipal government certified 30 regional headquarters of multinational corporations and 10 research and development centers.

With this, Shanghai now boasts 848 MNC headquarters and 512 foreign-funded R&D centers.

The manufacturing sector, including biopharmaceuticals, intelligent manufacturing and automobiles, accounts for 57.5 percent of them. The services sector, including trade, retail and high-end services, takes up the rest.

"We remain firmly committed to Shanghai," said Kong Jun, senior vice-president and general manager of Siemens Shanghai Medical Equipment Ltd. The German medical technology powerhouse unveiled last week its latest localization strategy in China, vowing to promote localization of full product lines, further innovation based on Chinese market needs and upgrade local business models.

The company's Shanghai diagnostics plant is scheduled to finish construction by the end of 2022. A wider ecosystem based on the Siemens Healthineers Shanghai Innovation Center is advancing in an orderly manner. In addition, Shanghai also serves as a crucial manufacturing and export hub for Siemens.

Consumer brand Dyson vowed to invest 100 million pounds ($121.5 million) in China over the next two years to localize offerings and enhance R&D capabilities.

The hair-dryer and vacuum cleaner-maker is looking to double the revenue of its international business by 2025, in which China will play a pivotal role, said Huang Shaojie, vice-president of Dyson Trading Shanghai Co Ltd. The company is leveraging Shanghai to strengthen its strategic layout and resource allocation in China.

Industrial conglomerate Dassault Systemes chose to move its Asia-Pacific headquarters from Tokyo to Shanghai, precisely for the growth prospects presented by Shanghai in particular and China in general, said Cui Haiyan, vice-president of Dassault Systemes (Shanghai) Information Technology Co Ltd.

Cui also lauded the city's "open environment and efficient service", which represents a major attraction to draw international talent.