Photo taken on Nov. 10, 2019 shows the Equipment exhibition area during the second China International Import Expo (CIIE) in Shanghai, east China. Photo: Xinhua

China fulfilled its commitment to increase imports in 2019 amid global rising tides of protectionism. The country boosted domestic economic expansion and offered a beacon of hope for multinationals that had suffered low profit growth in other parts of the world.

China has been shifting from an investment-driven model to a more domestic consumption-powered economy in recent years. Consumption continued to play an increasingly important role in driving economic growth, contributing to 60.5 percent of GDP growth in the first nine months of 2019.

"Expanding imports will be conducive to fostering new growth areas in consumer spending, and accelerating the transformation of the country's economic development model," said Zhang Fei, deputy director of the Chinese Academy of International Trade and Economic Cooperation.

In a bid to further meet booming domestic demand, the country lowered or canceled import duties on certain products on January 1, 2020.

The import tax on frozen pork was cut from 12 percent to 8 percent to increase domestic supplies.

The country eliminated the tariff on pharmaceutical products containing alkaloids for asthma treatment as well as raw materials for the production of new diabetes medicines to reduce medication costs and promote the production of new medicines.

China also slashed the duties on imported fruits and juices to offer more choices for consumers.

Heralding High-end 

Riding on the success of robust economic growth over the past four decades, Chinese consumers have shown burgeoning demand for quality goods and comfortable lifestyles.

Retail sales, a main gauge of consumption, increased 8 percent year-on-year in the first 11 months of the last year.

"Affluent consumers are willing to spend," said Gan Chunhui, vice president of the Shanghai Academy of Social Sciences.

Some consumers perceive foreign goods as being higher in quality than those produced domestically, which economists say is a main reason behind the soaring demand for imports.

"In the short term, boosting imports is an effective way to close the gap between domestic demand for high-end goods and the country's actual supply capacity," Gan added.

Lucrative market

China's increasingly market of 1.4 billion people and its steps of greater opening-up both present invaluable opportunities to global businesses.

Danish toymaker Lego registered low single-digit growth in the European and American markets in 2018, but its sales were most notable in the Chinese market with strong double-digit growth.

Last July in Xi'an, Northwest China's Shaanxi Province, the toymaker opened its 100th retail brand store and first certified store in Northwest China in a move to expand its footprint in the country's inland cities.

A slew of international companies including Adidas and Nike opened new flagship stores in major Chinese cities last year, while German supermarket chain ALDI entered the Chinese mainland market and Lawson convenience stores swept across third- and fourth-tier cities.

To fulfill its commitment to expand imports, China hosted two import expos in succession in Shanghai, where thousands of products made their debut to woo China's growing middle class.

"China's opening-up moves, such as hosting the import expo, inject great impetus to the world economy amid worldwide economic uncertainties," said David Liao, president and CEO of HSBC Bank (China) Company Limited.

To further open up its market, China has unveiled a series of measures over the past few years, including a shortened negative list for foreign investment, enhanced protection of intellectual property rights and an improved business environment.

The country has pledged to continue lowering tariffs and transaction costs, developing demonstration zones to creatively promote trade, and importing more high-quality goods and services from around the world.

"A new round of opening-up measures will result in massive investment and consumption opportunities. The Chinese market's potential has not yet been fully tapped by multinationals," Liao noted.