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Shenzhen added 3,683 new foreign-invested firms in the first half of this year, accounting for 13.7% of the nation’s total and further boosting the allure of the city as a tech hub to foreign investors.

Among them were firms set up by 310 Fortune Global 500 companies, including Siemens. In late June, Siemens launched its motion control R&D and innovation center in Bao’an District, the first hardware and software R&D innovation center established by Siemens Digital Industries in the Guangdong-Hong Kong-Macao Greater Bay Area. The center aims to foster innovative research and development in motion control technology and expedite the commercialization of research outcomes.

“The Greater Bay Area is one of the most economically vibrant regions globally. By locating the R&D and innovation center in Shenzhen, we aim to leverage the city’s talent pool and strategic location advantages effectively, promptly address customer requirements, and bring vitality to the ‘smart transformation’ of Chinese and global industries,” said Frank Golueke, general manager of Siemens’ Asia Pacific headquarters for motion control.

A wave of top executives from multinational corporations like Tesla, Panasonic, and other significant entities have recently visited Shenzhen, underscoring the increasing interest in the city as a pivotal business hub.

During a meeting July 24 with Meng Fanli, the Party chief of Shenzhen, Jeff Williams, the chief operating officer of Apple, reiterated Apple’s commitment to fortifying its collaboration with Shenzhen, recognizing the city’s critical role as an essential market for Apple’s continuous expansion in China.

This year has also seen visits to Shenzhen by Tao Lin, vice president of Tesla, Christopher Hudson, president of DMG Group from the United Kingdom, Denis Machuel, CEO of Adecco Group from Switzerland, and representatives from Korea Ocean Business Corp. These visits have aimed to deepen existing collaborations or explore fresh investment opportunities in fields such as artificial intelligence and high-end manufacturing.

“In the past six months, renowned companies from countries like the United States, the United Kingdom, Japan, and Switzerland have visited Shenzhen, showcasing the keen interest of European and American investors in investing in the city. This shows Shenzhen’s strong capacity to attract global capital and enterprises, particularly in cutting-edge production sectors,” said Cao Zhongxiong, director of the digital strategy and economic research institute of the China Development Institute.

In addition to its formidable talent pool and robust industrial and supply chains, Shenzhen’s efforts to enhance its business environment to meet international standards have been pivotal in drawing foreign investment, according to Cao.

In March, the Qianhai Authority in Shenzhen unveiled a new incentive to reward foreign-invested firms based on the increase in actual foreign capital utilized in Qianhai from the previous year.

In May, Shenzhen released three work plans aimed at optimizing the city’s business environment. The Guangdong Provincial Government also introduced fresh incentives for foreign-invested firms to bolster foreign investment.

Last year, a total of 7,258 new foreign-invested firms were established in Shenzhen, accounting for 15.1% of the total on the Chinese mainland.