California, Chinese businesses seek new partnerships

Chinese and California business leaders gathered Friday to explore expanded trade partnerships, with officials from both sides emphasizing opportunities in emerging sectors despite ongoing international tensions.

A delegation of 25 Chinese companies representing finance, manufacturing, agriculture, logistics, aviation, healthcare, new energy and cultural industries met with about 100 local business representatives and elected officials at the "Port of Opportunity: US-China Business Exchange Breakfast" in Berkeley.

Ren Hongbin, chairman of the China Council for the Promotion of International Trade, who led the delegation, pointed to recent diplomatic progress as reason for optimism.

"The successful meeting between President Xi Jinping and President Trump in Busan, once again, steered the cause of China-US relations at a critical juncture, providing reassurance to the business communities of both nations," Ren told attendees.

"Last week, the two leaders held another phone conversation. President Xi noted that since the Busan meeting China-US relations have remained generally stable and are moving in a positive direction," said Ren. "We business communities should translate the important consensus reached by the two leaders into concrete actions and outcomes."

Oakland Mayor Barbara Lee emphasized the economic stakes for California, noting that roughly three-quarters of all trade through the port last year was with Asia, and China accounts for 29 percent of the Port of Oakland's total trade volume and remains its largest import partner.

"Regardless of challenges and what's happening in Washington DC, we have to stay very focused on who we are and what drives Oakland and what drives our economy and what drives the friendship between our two countries," Lee said.

The mayor highlighted Oakland's longstanding ties with China, including a decades-old sister city relationship with Dalian, and pitched the East Bay as a strategic partner for Chinese investment, particularly in agriculture, advanced manufacturing, logistics, technology and life sciences.

"We hope you see us as a serious partner in building the green economy as China and the United States both invest in clean energy, zero emission vehicles and port decarbonization," Lee added.

John Grubb, interim president and CEO of the Bay Area Council, said his member companies believe in expanding global trade ties. "They are some of the biggest trading partners with China. But it's not just the Bay Area Council companies — it's all of California," Grubb said. "In fact, about a quarter of all the trade that happens between the United States and China is actually trade between California and China."

"Our relationship has seen many tides. Some of those tides have been incredible, and some of those tides have been challenging. But what's important is that we maintain the vessel, and we maintain the bridges," he said.

Ren identified strategic emerging industries as key areas for collaboration, predicting that sectors such as new energy, new materials, aerospace, biopharmacy and the low-altitude economy "will generate trillion-yuan level or even larger markets".

He cited the San Francisco Bay Area's role as a global innovation hub, noting that companies like Apple, Intel and Nvidia have "actively expanded their business in China, contributing to China's reform and opening up while reaping substantial rewards."

Chinese Consul General in San Francisco Zhang Jianmin emphasized that economic interdependence remains a "global reality", noting that about two-thirds of all exports worldwide contain imported components and global supply chains account for about 70 percent of global trade.

Zhang highlighted the China International Supply Chain Expo as a platform where Bay Area companies, including Apple and Nvidia, have been "active participants and direct beneficiaries", enabling businesses to showcase products, match supply with demand and achieve greater synergy across global supply chains.

"Against the backdrop of slowdown in global economic growth, innovation and cooperation are more important than ever," Zhang said, noting that China's large market and complete industrial system complement the Bay Area's innovation ecosystem, creating "tremendous potential for mutually beneficial cooperation".

liazhu@chinadailyusa.com