(Yicai Global) July 28 -- More than 70 percent of polled foreign-funded enterprises in China are optimistic about the market outlook in the next five years, according to the findings of a state-backed survey.

Over 90 percent of survey participants said that the Chinese market has become more attractive in the second quarter or remained as desirable as before, Sun Xiao, spokesperson of the China Council for the Promotion of International Trade, said in a press conference today, citing results of a survey that involved almost 800 firms across 26 provincial-level areas.

Over four-fifths of the total expected increases or unchanged profit margins from their investment in China this year. Multinational corporations remained confident about their investments in China and there is no change in the trend of foreign-funded enterprises' expansion in the Asian country as its economic conditions have been improving this year, per Sun.

Some of the major reasons behind these firms' investments are the large size of the Chinese market, favorable policies, and a complete industrial chain. For the second straight quarter, respondents said that the most significant development opportunity is technological innovation, as well as research and development.

Moreover, the council that is backed by the commerce ministry polled 3,100 Chinese exporters. Over three-quarters of them said they are confident about development opportunities in the third quarter, Sun said.

Several factors support foreign trade as 57 percent of the 3,100 firms said that one of the encouraging factors is that overseas clients are stable. Some 55 percent of them said government policies do the same and another popular factor was the quick development of e-commerce and the tariff-free policy of the Regional Comprehensive Economic Partnership, a pact between countries including Malaysia, Japan, and Australia, which came into effect in China in January 2022.

Editor: Emmi Laine