Shanghai is not just a bustling financial hub in China but also a favored destination for foreign investments. According to the Shanghai Foreign Investment Association, the city currently hosts 998 regional headquarters of multinational companies. With over 75,000 foreign-invested enterprises, Shanghai has accumulated a total capital utilization of $350 billion.
Among these, 258 companies made it to the top 100 list in Shanghai in key categories such as operating revenue, total imports and exports, tax contributions, and job creation in 2023, as announced by the association recognizing the best foreign-invested enterprises in the city.
American companies led the way in terms of investors’ origin, with a total of 83 represented companies, followed by 32 Japanese companies and 28 German companies. In 2023, Tesla Shanghai Co., Ltd. stood out as the only enterprise to rank in the top 10 in all four categories, according to the association.
The Shanghai municipal government officially certifies the regional headquarters of foreign companies as a sign of recognition. In July, certification was granted to 30 regional headquarters of multinational companies and 15 foreign-funded research and development centers.
Nearly half of these entities come from key sectors prioritized by the city, including electronics, life sciences, advanced equipment, and consumer goods. Some notable names include the British pharmaceutical giant GlaxoSmithKline, French exhibition company GL events, and global mining leader Anglo American.
“Shanghai stands out as one of the most attractive destinations for foreign investments globally,” stated Liu Ping, Vice Secretary-General of the Shanghai municipal government. The foreign-invested enterprises gathered in Shanghai are seen as a key driver of the city’s industrial advancements and a significant force in promoting technological innovation.
Official data shows that foreign-invested enterprises in Shanghai make a substantial contribution to the city’s economy, accounting for nearly 60% of total imports and exports, 40% of industrial output, one-third of tax revenue, one-fourth of GDP, and one-fifth of employment in the municipality.
