By Yao Xueqing, People’s Daily
Wuxi National Hi-tech District (WND), located in east China’s Jiangsu province, has become a magnet for foreign investment and a key hub for European enterprises. The district is now home to 170 European-invested enterprises from countries including Germany, France, Poland, the Netherlands, and Sweden, with total European investment reaching approximately 15 billion euros ($17.35 billion).
A recent visit by People’s Daily offered a window into the thriving development of these enterprises and the drivers behind their successful cooperation with China.
“Twenty years ago, when senior executives and clients from our German headquarters came to China, the country’s auto industry was still in its early stages,” recalled Erich J. Koch, general manager of Gaudlitz Precision Technology (Wuxi) Co., Ltd. (Gaudlitz Precision).
“What drew us in was China’s enormous market potential. In 2004, our headquarters made a strategic decision to invest in China, establishing our very first overseas production base,” Koch said.
Since then, China’s auto industry has grown rapidly, with the number of vehicles on the road surging year after year,” Koch noted. “Our judgment was spot on. The decision to invest in China is absolutely the right one.”
The transformation of China’s auto industry from big to strong has strengthened Gaudlitz Precision’s confidence in deepening its presence in the Chinese market. The company has seen consistent annual revenue growth of 5 to 15 percent, cementing its position as a leader in its niche segment.
WND’s ongoing efforts to enhance its business environment have also offered strong practical support and solutions to help enterprises expand with confidence.
Bucher Hydraulics (Wuxi) Co., Ltd., a subsidiary of Switzerland-based Bucher Industries, chose to settle in Wuxi in 2018, drawn by China’s expansive market demand in construction machinery, automotive aftermarket, and materials handling.
“Some of the pro-business measures here are remarkably efficient. For example, updating business registration details can be done entirely online with just a passport photo. There’s no need for repeated trips, which saves a great deal of time and energy,” said Reinhold Frank Muehlon, an executive of Bucher Hydraulics.
Zhang Xiaojun, general manager of Hunting Energy Services (Wuxi) Co., Ltd., a subsidiary of a UK-based technology firm, highlighted Wuxi’s robust legal and innovation environment. “Wuxi boasts a market-oriented and globally competitive business ecosystem underpinned by a sound legal framework. We feel our intellectual property is genuinely respected and protected here. That’s the fertile ground where innovation can truly flourish.”
French company TLD Group, a global leader in airport ground support equipment, established its Wuxi manufacturing base in 2008. Today, it serves as the company’s major manufacturing hub in the Asia-Pacific region. Chief operating officer Wu Jianqiang credited the district’s well-developed industrial ecosystem for the company’s success.
“China is the world’s largest manufacturing country, with the most complete industrial system globally. The Yangtze River Delta region, in particular, boasts one of the most comprehensive manufacturing landscapes in the world,” Wu said.
Take a cargo loader, for instance, he explained. It contains thousands of components including the frame, cab, covers, and brackets, sourced from over 100 first-tier suppliers. All of them are located in China, and 95 percent are within a one-hour drive from Wuxi.
Today, WND features a complete industrial chain and a thriving innovation ecosystem, attracting an increasing number of multinational corporations to scale up their presence. Many are building flagship factories and headquarters here, accelerating the development of world-class industrial clusters.
In March 2023, Schneider Electric inaugurated its fifth research and development (R&D) center in China – located in Wuxi. Later that year in November, the company broke ground on a green smart industrial park in the city. Covering 68,000 square meters, the first phase is expected to be operational by the end of 2025.
“Wuxi is promoting industrial transformation through technological innovation, with a strategic focus on frontier sectors such as artificial intelligence and emerging industries,” said Hu Xiao, senior vice president of Schneider Electric. “It is striving to become a globally influential hub for high-tech innovation. This gives us great confidence in the future of our operations here.”
WND’s strategic industries – including the Internet of Things, integrated circuits, biomedicine, and intelligent equipment – have each surpassed 100 billion yuan ($13.93 billion) in output. Today, high-tech products account for over 80 percent of total industrial output among enterprises above the designated size.
Over the past three years, WND has rolled out a comprehensive suite of talent support policies benefiting 35 European enterprises and nearly 2,000 employees. It has also helped high-level professionals resolve personal and family-related concerns such as children’s education, enabling them to put down roots and focus on innovation.
With its strong industrial foundation, dynamic innovation environment, and abundant talent resources, WND is rapidly emerging as a new engine of global high-tech development.
170 European enterprises thrive in Wuxi National Hi-tech District
