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China Defends Model, Promises Market Access at Davos

Bloomberg Markets •
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At the World Economic Forum in Davos, Chinese Vice Premier He Lifeng defended Beijing’s growth strategy, arguing that the country’s model has delivered steady expansion despite global headwinds. He warned that restricting foreign firms’ entry fuels trade imbalances, and hinted that opening more of China’s domestic market could restore equilibrium.

Investors have long pressed Beijing for clearer rules, citing barriers that keep many multinational firms from scaling in China’s $17 trillion economy. He’s remarks signal a possible policy shift, suggesting that easing joint‑venture caps or licensing hurdles may become a bargaining chip in upcoming trade talks with the United States and Europe.

Analysts will watch Beijing’s next steps for concrete commitments, such as expanding the list of sectors eligible for foreign investment or simplifying approval processes. If China delivers on market access, multinational CEOs could accelerate capital deployment, while rivals risk losing ground. Short‑term market reaction may hinge on any formal policy roadmap released in the coming weeks.