Investments in China: Upper Austrian companies defy economic downturn

Investments in China: Upper Austrian companies defy economic downturn

Despite the weak economic growth in China, Upper Austrian companies are proving to be resilient and are continuing to invest in this market. A delegation from Upper Austria received an on-site insight into the situation of local companies in China.

Upper Austrian companies operating in China have built an excellent reputation, particularly in mechanical engineering and high-tech solutions. The region around Shanghai is known as Shang Aodili in Chinese and is considered the Chinese equivalent of Upper Austria. Business continues to boom where Upper Austrian companies are already present.

Despite the current slowdown in the Chinese economy, mechanical engineering has not yet been affected as the order books of Upper Austrian companies are well filled. In order to be successful in China in the long term, it is crucial to have a local presence and produce there for the Chinese market. Exports from Upper Austria to China are less promising, unless it involves the export of know-how, which remains in high demand in China.

The dual training that is practiced in Austria could also prove to be a successful model in China. Some Upper Austrian companies already offer apprenticeships at their locations in China. This development shows that companies from Upper Austria are prepared to take innovative approaches in order to be successful on the Chinese market.