Benefits go to both local, overseas firms

tral Asia-China gas project.

Shane Tedjarati, president of Honeywell Global High GrowthRegions,saidthesoftware and connected systems companyiswell-positionedto support the B&R Initiative through its China growth strategy and portfolio.

Honeywell’s high-growth regions consistently drive more than 80 percent of the company’s growth. China accounts for the biggest chunk of that, he said, adding thecountryhasbeenthecompany’s second-largest market since2013andcurrentlyisthe single-largest contributor to its global growth.

Experts believe the B&R Initiative creates business and growth opportunities for both Chinese and nonChinese companies alike.

B&R countries and regions account for about 30 percent of the global economy, according to data of the Mercator Institute for China Studies. Projects worth some $900 billion are now either underway or on the drawing board, according to the China Development Bank.

Many Western firms are interested in contributing to the B&R Initiative, offering either technology or knowledge of local conditions, said Zhang Jianping, director of international economic cooperation at the National Development and Reform Commission.

MNCs can also benefit from better connectivity in the long term as emerging B&R markets will be further developed and their improved infrastructure might open up new markets and ultimately drive global economic growth, he said.

Stanley Jia, chief representative at the Beijing office of global law firm Baker McKenzie, was quoted by South China Morning Post as saying there will be plenty of opportunities for Chinese and multinational companies to work together in future. pipeline

But focus must remain on adding value to the local customers and local people.” CEO, Siemens Greater China

Lothar Herrmann,

It is still early days for the initiative and hence it may appear as if it is the preserve of Chinese State-owned enterprises, funded by Chinese banks and staffed by Chinese workers. All that will change sooner than later, he implied.

According to the law firm, Chinese companies and their partners could together pour some $350 billion into B&R-related projects in over 60 countries and regions in the next five years.

Ren Hongbin, chairman of China National Machinery Industry Corp, known as Sinomach, said Chinese EPC firms are facing various challenges, including international competition, geopolitical risks, tricky financing, and conflicts of culture.

Agreed Lothar Herrmann, CEO, Siemens Greater China. He also said complexity in terms of geography, culture and religion of B&R countries might be difficult to grasp, while various projects in different fields, including transport infrastructure, tourism, financial services and clean energy, are just as challenging.

“The complexity and uncertainty in some regions have made it imperative for companies to adapt to the local environment with highest flexibility,” he said. “But focus must remain on adding value to the local customers and local people.”