The second day was kick started with a debate led by Mr Christian Murck, on whether or not China’s business environment is becoming weighted against foreigners.
Setting the context of China’s current situation, the President of American Chamber of Commerce in the People’s Republic of China recognized that China is at its major economy turning point. He highlighted that there will be major changes in its economic structure and industrial polices.
But he also expressed his worry of the situation. He said that it is unfortunate that this economic turning point is combined with its major political transition.
“Therefore the existing leadership is not able to reinvigorate the reform opening process and it’s not able to speak convincingly for the future. We therefore have to wait until the new leadership comes in, consolidate itself and begin to make its views clear. There is a significantly higher degree of uncertainty in the investment field,” said Mr Murck.
Speakers of the session were Mr Timothy P. Stratford, Partner of Covington and Burling, People’s Republic of China, Mr Su Hainan, Vice President of China Labor Association; President of Remuneration Committee of China Labor Association.
Wrapping up the session, moderator Melissa Hyak said patience and optimism is the way for foreign investors and companies to operate in China, as the country continues to undergo its economic makeover.
General manager Ong Joo Sun attended the session as his company, Hyflux has a significant presence in China with over 20 water plants operations.
“I benefitted from these talks. It makes a lot of sense for me to understand the different views about China, especially in the area of moving forward with the context of history, so that I would know what is coming for me,” said Mr Ong.
The next hot discussion was on China’s management of its currency in the coming years.
Director and CEO of Centennial Asia Advisors Singapore, Mr Manu Bhaskaran, Associate Editor of Financial Times and Editor-in-Chief of FTChinese.com, Mr Zhang Lifen, Division of Economics at Nanyang Technological University, Associate Professor Yip Sau Leung were speakers for the session, moderated by Mr Claude Smadja, President of Smadja & Smadja
Keynote speaker Zhang Lifen observed that “the appreciation of RMB is not in the sphere of political agenda, it is much more than a monetary issue.”
He said that the country is undergoing deep anxiety in handling the currency issue. And unless a crisis happens, which may force China to take up a position, it would be difficult to change the current situation.
“From now to the take over of the next leadership, if I were them, I would probably say stay put and don’t make any wrong decision or steps. Let the next leadership worry about those issues, ” said Mr Zhang.
He concluded the session by predicting that for the next three to five years, nothing spectacular on the currency issue will happen.