经济大省挑大梁｜外资利润再投资，上海正成首选地

Core Viewpoint - The demand in the Asian market is driving foreign companies, such as KROHNE Measurement Technology (Shanghai) Co., Ltd., to invest in new facilities in Shanghai, benefiting from tax incentives for reinvesting profits in China [1][2][3] Group 1: Investment Trends - KROHNE's new factory will cover approximately 64 acres and will focus on developing and manufacturing electromagnetic flow meters and related components [1] - From January to October this year, Shanghai established 5,169 new foreign-invested enterprises, marking a 3.1% increase compared to the same period last year [1] - The trend of encouraging foreign investors to reinvest profits in China is becoming a key strategy for attracting foreign investment [1][2] Group 2: Tax Incentives - The new tax policy allows foreign investors to reinvest profits without repatriating them, providing a tax credit of 10% on new effective investments made between 2025 and 2028 [2][5] - KROHNE expects to benefit from over 3 million yuan in tax reductions due to this policy, which has been described as a "timely rain" for foreign enterprises [3][6] - The tax incentives are part of a broader initiative to stabilize investment expectations and reduce costs for foreign investors in Shanghai [4][5] Group 3: Industry Impact - The policy aims to guide foreign investment towards advanced manufacturing, modern services, high-tech, and energy-saving sectors [5] - Since the beginning of the "14th Five-Year Plan," foreign enterprises have enjoyed over 114 billion yuan in reinvestment tax benefits, with significant contributions from countries like the USA, Japan, Germany, and the UK [6] - The Shanghai Municipal Commerce Commission is actively promoting these tax policies to enhance their implementation and support foreign investment [7]