Despite the negative impacts of the Covid-19 pandemic on both production and sales, Swedish companies in China continue to demonstrate a positive outlook on future growth in the market.
The Business Climate Survey conducted by Team Sweden confirms that 40 per cent of Swedish companies in China are planning to increase their investments over the next three years. Without doubt, 2020 will go down in history as a turbulent year, but according to the survey results the long-term view is optimistic.
Almost half of the 93 survey respondents are looking to increase or diversify their supplier base in China, or even shift suppliers to China from abroad. 61 per cent of respondents reported revenue growth and 78 per cent were profitable in 2019.
Close to two-thirds of Swedish companies expect sales results to be on par with or higher than 2019 levels. At the same time, the companies highlight a number of obstacles in China. These relate to difficulties in attracting the right talent, more bureaucracy and underperformance when it comes to sustainability, where many aspects could be further improved.
With this in mind, it will be critical to follow China’s development and reflect on the learnings from the collective group of Swedish companies that are already operating in the market.
Download the 2020 edition of the China Business Climate Survey for a full overview of the survey results with detailed analysis.
About the survey
The Business Climate Survey is produced on a bi-annual basis by Team Sweden where Business Sweden collaborates with Sweden’s local embassies, consulates and chambers of commerce around the world, among other stakeholders. As of 2020, the survey for China will be carried out on an annual basis to keep pace with market developments.
The survey provides first-hand perspectives and insights into business trends, issues and challenges on global markets based on extensive interviews with Swedish companies operating in each respective country.