At the CIIE, new dividends are shared, and multinational companies aim for a green economy

In the three years since China's "3060" dual carbon goal was proposed, China's economy, which has accelerated its green transformation, is providing new business opportunities and growth points for multinational companies, and creating huge new market dividends for the world.

In the pavilion of the 6th CIIE, Ai Zhouping, President of Heraeus Greater China, felt a particularly strong green atmosphere. The first financial reporter also saw at the scene that many exhibitors have launched the latest green and low-carbon technology applications and new energy products, and many exhibitors have launched carbon emission calculators, net-zero supply chain solutions and other management tools to more actively participate in the transformation of China's green economy and share the corresponding market share, which is particularly prominent at this year's CIIE.

"All countries are welcome to share the dividends of China's green and low-carbon market. Ling Ji, vice minister of commerce and deputy representative of international trade negotiations, said at the sub-forum of the 6th Hongqiao International Economic Forum on the 5th "Developing Green Investment and Trade to Build a Global Ecological Civilization" that China is the world's largest renewable energy market and the world's largest producer, consumer and exporter of new energy. China is willing to deepen cooperation with other countries in technology, R&D and production, share China's huge market opportunities, and accelerate the process of global energy transition.

Accelerate the layout of China's new energy market

Ai Zhouping told Yicai that the non-landing exhibition will allow multinational companies like them to take advantage of the trend for many years, not only to understand China's policy trends and market trends more accurately, but also to form a synergy with multiple resources. The most prominent thing in this trend is to increase investment in the general trend of green and low-carbon.

At the same time, by continuing to enter the "Energy, Low-carbon and Environmental Protection Technology Zone" to focus on the theme of "sustainability", overseas group headquarters can also see China's attention and investment in the field of sustainable development.

After several years of preparation, Heraeus has gradually completed its layout in the field of new energy in China this year, including materials and technologies in photovoltaics, wind power, new energy vehicles, precious metal recycling and hydrogen energy. A number of Chinese factories are under construction or have already been put into operation, among which the production base invested and built in Pinghu, Zhejiang Province has entered the stage of equipment commissioning and is scheduled to be officially put into operation early next year. The plant will recover precious metals from used automotive catalysts as part of Heraeus Precious Metals' investment in expanding recycling capacity worldwide.

Ai Zhouping revealed that the global R&D center related to hydrogen energy is also likely to be built in Shanghai. Andre Christl, global CEO of Heraeus Precious Metals, previously told Yicai that they have decided to continue to increase R&D investment in functional materials and hydrogen energy, further enrich products, and continue to localize more overseas high-end products.

"We saw an opportunity in the market, which also prompted us to speed up the layout. Ai Zhouping believes that in many fields such as electric vehicles and photovoltaics, China's supply chain has always occupied a dominant position in the global market, and it also has a huge market. At the CIIE, Heraeus Precious Metals signed a contract with Elkem Silicones to lock in a supply agreement worth 100 million yuan.

Ingersoll Rand, which has participated in the exhibition for the sixth year in a row, also continued last year's theme of "sustainability". Li Fangfang, vice president of strategic marketing and product management of Ingersoll Rand Industrial Technology Group in the Asia-Pacific region, told Yicai that the new products launched at the CIIE every year can receive intent orders, and they have been experiencing "exhibits become commodities and new products become explosive products".

This year, Ingersoll Rand integrated green and low-carbon labels and digital applications into the 450-square-meter booth, such as setting up a 3D printing model sand table to show the company's applications in four popular industries: food and beverage, lithium battery new energy, water treatment and medical and pharmaceutical. At the same time, the world premiere of a new product developed by the local Chinese team at the scene, this high-speed magnetic levitation blower provides a solution for users to supply gas, which can not only meet the different scenarios of customer applications, but also achieve energy saving and consumption reduction while automatic optimization.

Li Fangfang said that the global demand for air compressors is rising, and the industrial chain has a tendency to shift to China. Ingersoll Rand, as the world's leading manufacturer of air compressors, has benefited from this trend. At the same time, the rise of China's new energy economy has further highlighted Ingersoll Rand's advantages, as they can provide smarter, more efficient, safer and more reliable innovative products for the production of power batteries, photovoltaic equipment and energy storage equipment.

Therefore, on the one hand, Ingersoll Rand accelerates the layout of intelligent services and explores digital transformation with the ecosystem, and on the other hand, it increases investment in China's new energy business, such as photovoltaic and lithium battery fields, in an attempt to provide more innovative products for the new needs of localization.

"This year, Europe's energy policy has undergone a big change, which has allowed many products on paper to land, so we hope to introduce Europe's advanced technology and new products to China simultaneously through the Expo. Wang Yunfeng, senior marketing director of Bosch Comfort Technology China, told Yicai that every year at the Expo, they will bring the first new products, and this year's first launch is the "intelligent hybrid hydrogen hybrid dual heating and hot water system".

However, China's heating market demand diversification is very different from the north and the south, Wang Yunfeng said that whether European products and technologies should be changed and adjusted in the localization of landing, they want to listen to more feedback from buyers and the market on the spot. "Some of the components are already being produced and sold in China. He revealed that with the launch of the first new product in the market, they plan to localize production at the Shanghai factory next summer.

Grasp the needs of Chinese enterprises for zero-carbon management

A number of foreign-funded exhibitors told Yicai that in the past two or three years, the demand for green and low-carbon management and zero-carbon solutions by Chinese enterprises has risen rapidly.

At the CIIE, Rockwell Automation exhibited Lighthouse Factory Consulting, Rockii Net-Zero net-zero solutions, launched the Rockii ESG Alliance, and established the Caohejing Rockwell Automation Net-Zero Intelligent Manufacturing Co-creation Center to promote the realization of a "net-zero supply chain", thereby helping the green and low-carbon development of China's local manufacturing industry.

Li Dong, president of the Intelligent Manufacturing Innovation Research Institute of Rockwell Automation (China) Co., Ltd., told reporters that the competition in the traditional supply chain mainly includes cost, quality, delivery, technology and services, but with the addition of the sixth branch line - carbon emissions, the entry threshold of the future supply chain has been further improved. "In the current international competitive environment, the threshold of green is prominent, and we should prepare for it as early as possible and take the lead, rather than responding passively at the end. ”

The 2023 White Paper on ESG Development Insights for Major EU-China Trade Sectors (hereinafter referred to as the "White Paper") released by BearingPoint, a global management consulting and technology services company, also proposed that the EU has introduced a series of green development policies involving transportation, industry, infrastructure, energy, biodiversity and other fields to achieve its 2050 net-zero emission target. For example, with the expansion of the CBAM in the future, it may put pressure on Chinese automakers' exports to increase costs. The new EU battery regulations put forward clear requirements for carbon footprint, battery recycling, use of recycled materials, due diligence, etc., which also brings risks such as cost, competitiveness and compliance to China's new energy vehicle export business.

From a practical point of view, Li Dong said that although the promotion of the net-zero supply chain is a long-term process, in the past two years, it has been obvious that the demand of Chinese enterprises is accelerating.

Previously, Rockwell Automation signed a smart mine construction cooperation agreement with Diqing Nonferrous Metals, which is one of the implementation practices of Rockwell Automation's "net zero supply chain" in the Chinese market. "Last week, we just went to Diqing Nonferrous Metals to do the acceptance of the carbon screening project. The next step is to further explore Rockii's ESG strategy solutions. Li Dong said that Diqing Nonferrous Metals is the most upstream of the industrial chain, so they are also contacting the downstream enterprises of Diqing Nonferrous Metals to promote the net zero of upstream and downstream coordination.

On November 7, D&B also launched the "Supply Chain ESG Solution" at the CIIE to assist upstream and downstream enterprises to create a sustainable supply chain. In this solution, based on the ESG scores of nearly 80 million enterprises around the world, D&B uses an automated intelligent analysis platform to update the scoring data every month, which can help buyers efficiently screen suppliers based on ESG performance and achieve dynamic monitoring, so as to better manage supply chain risks.

At CIIE, BearingPoint showcased the Carbon Calculator, which can assess the carbon emissions of a company's products or services throughout the life cycle of raw material use, production processes, transportation and distribution, use and disposal, as well as emissions from business travel, employee commuting, and customer and visitor traffic to calculate company-wide carbon emissions. In addition, the carbon calculator provides services related to baseline assessment, emission reduction, carbon neutrality, carbon trading and carbon tax.

Zhang Xiaoqing, head of BearingPoint China's automotive and industrial manufacturing, consumer and retail industry, said that the carbon emission calculator will be launched in Chinese and widely promoted to Chinese customers.

"We have met two types of customers who currently have strong needs and stronger driving forces in this regard, one is that overseas companies want to enter the Chinese market, and the other is that Chinese companies want to go global. Zhang Xiaoqing told reporters that climate-related import and export policies are important factors that Chinese companies must consider when "going overseas", especially Chinese new energy vehicle companies that are increasing their efforts to go overseas.

Promote global green growth

Recently, the National Development and Reform Commission issued the "National Carbon Peak Pilot Construction Plan", proposing to select 100 typical representative cities and parks across the country to carry out carbon peak pilot construction, focusing on breaking the bottlenecks and constraints faced by green and low-carbon development, exploring the carbon peak path of cities and parks with different resource endowments and development bases, and providing operable, replicable and scalable experience and practices for the whole country. Among them, the first batch of 35 pilot places will be carried out, and the pilot construction of carbon peaking will be carried out in 15 provinces and autonomous regions.

On September 22, 2020, China put forward the "3060" dual carbon goal, that is, carbon dioxide emissions will strive to peak before 2030 and strive to achieve carbon neutrality before 2060.

Over the past three years, green and low-carbon have become the consensus and symbol of China's high-quality economic development. At the same time, related industries and industrial chains have also accelerated the transformation to high-end, intelligent and green, forming new competitive advantages in China's industries and cultivating new quality productivity. A typical case is the rapid growth of exports of the "new three" represented by electric manned vehicles, lithium batteries and solar cells.

According to the data of the General Administration of Customs, in the first three quarters of 2023, the total export of China's "new three" products was 798.99 billion yuan, a year-on-year increase of 41.7%, accounting for 1.3 percentage points of China's exports, reaching 4.5%.

At the press conference held by the State Council Information Office on October 13, Lv Daliang, spokesperson of the General Administration of Customs and director of the Department of Statistics and Analysis, said that the customs will continue to promote the innovation of regulatory service models, optimize the business environment for cross-border trade, pay attention to the demands of emerging industries such as the "new three", stimulate the business vitality and export momentum of enterprises, help improve the international competitiveness of products, promote the continuous release of new momentum for the growth of "new three" products, and better promote the development of global green and low-carbon economy.

The white paper also shows that with the wave of the EU's Green New Deal and the steady progress of China's "dual carbon" goals, ESG is undergoing a transformation from primary to mature, affecting the rapid evolution of the import and export structure between China and the EU, and China and the EU have shown distinctive innovation and green characteristics in economic and trade exchanges. "ESG is not only a symbol of long-termism, but also a symbol of the future economy. Ye Tiande, President of BearingPoint China, said.