Government Affairs for a European company in China: Navigating uncertain times

Conversations on Asia

In this episode of Conversations on Asia, I talk to Ms. Xinyi Xie about the intricacies of navigating the complicated waters of government affairs for a European company operating a business in China and the plethora of issues and challenges that European industry players face in the country . Xinyi is currently working in Shanghai as a Government Affairs Officer for Wuerth Group. Previously she worked for the European Union Chamber of Commerce in China as a Working Group Coordinator.

We start the conversation by discussing first the current situation in Shanghai and the recent changes the city has undergone. After that, we dive right into the topic at hand. I learn from Xinyi how foreign companies are faring after the lockdown. We talk about the role of government affairs within foreign companies operating a business in China and things to consider before a company decides to invest in this function in the country. We discuss the current attitude of government officials towards European companies in the country. We chat about the role of different platforms when doing government affairs in China (from national chambers of commerce to the European Chamber of Commerce, as well as member states' trade offices in the country, the European Union Delegation, etc.). We talk about the impact of the current geopolitical situation on European companies doing business in China.
We look at the current state of affairs of Sino-German relations and the impact of those evolving relations on German companies in China. Finally, we have a brief conversation on the future of EU-China relations.
This episode was recorded on July 3rd, 2022.
0:00 Introduction; 1:41 The current situation in Shanghai (Covid measures/controls); 11:46 A discussion on the dynamic Zero Covid policy; 25:59 How are foreign companies faring in China right now?; 30:47 How important is the role of a Government Affairs Officer for a foreign company doing business in China? What do they need to consider before setting up this function?; 35:51 What is the current attitude of government officials towards European companies in the country?; 40:25 Which platforms are useful for European companies to lobby further in China?; 44:20 The impact of the current geopolitical scenario on European companies in China; 49:32 The future of Sino-German relations and the impact on German companies in China; 56:12 The future of the Strategic Autonomy policy for the EU and the future of EU-China relations

Chapters

1. Introduction (00:00:00)

2. Introducing the guest and disclaimer (00:00:44)

3. The current situation in Shanghai (Covid measures and controls) (00:01:41)

4. Changes in Shanghai since the lockdown. A new state of mind (00:03:13)

5. Are people leaving Shanghai and China more broadly? (00:05:13)

6. A discussion on the dynamic Zero Covid policy (00:11:46)

7. Relaxation of the Covid policy in China? (00:19:15)

8. The economic impact of the lockdown and the dynamic Zero Covid policy (00:22:46)

9. How are foreign companies faring in China right now? (00:25:59)

10. Xinyi's role as a Government Affairs Officer (00:28:37)

11. How important is the role of a Government Affairs Officer for a foreign company doing business in China? What do they need to consider before setting up this function? (00:30:47)

12. What is the current attitude of government officials towards European companies conducting business in the country? (00:35:51)

13. Which platforms are useful for European companies to lobby further in China? Chambers of Commerce? Member States' trade offices in the country? The European Union Delegation? (00:40:25)

14. The impact of the current geopolitical scenario on European companies doing business in China. Sensitivities in Headquarters vs. sensitivities in China (00:44:20)

15. The future of Sino-German relations and the impact on German companies conducting business in China (00:49:32)

16. The future of the Strategic Autonomy policy for the EU and the future of EU China relations. The US factor (00:56:12)

17. Ending and final remarks (01:02:32)