But focus must remain on adding value to the local customers and local people, no matter what.”
tral Asia-China gas project.
Shane Tedjarati, president of Honeywell Global High Growth Regions, said the software and connected systems company is well-positioned to support the Belt and Road 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 the country has been the company’s second-largest market since 2013 and currently is the single-largest contributor to its global growth.
Experts believe the initiative creates business and growth opportunities for both Chinese and non-Chinese companies.
Belt and Road countries and regions account for about 30 percent of the global economy, according to 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 initiative, offering either technology or knowledge of local conditions, said Zhang Jianping, director of international economic cooperation at the National Development and Reform Commission.
Multinationals can also benefit from better connectivity in the long term as emerging Belt and Road 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 the South China Morning Post as saying there will be plenty of opportunities for Chinese and multinational companies to work together in the future. pipeline Lothar Herrmann, CEO, Siemens Greater China
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 rather than later, he implied.
According to the law firm, Chinese companies and their partners could together pour some $350 billion into Belt and Road-related projects in more than 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.
Lothar Herrmann, CEO of Siemens Greater China, 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 transportation 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 the highest flexibility,” he said. “But focus must remain on adding value to the local customers and local people.”