Global investors shift their focus inland

Commercial upside

Chengdu has advantages in terms of commercial operations and market prospects, comparable to similar cities in eastern China. The city also has outstanding universities, such as Sichuan University and the Chengdu University of Electronic Science and Technology, and thus it holds advantages in R&D capabilities and human resources, according to Su.

"From DuPont's perspective, there are many collaboration opportunities with local enterprises in various businesses in Sichuan and the western region," Su said.

In August 2012, DuPont opened its Chengdu branch office, a milestone in the growth of DuPont China. The business in the region has been growing rapidly in recent years because of the favorable business environment and support by the government at all levels, he added.

"We plan to establish two innovation centers in China in the 2014-2015 timeframe, one in western China," Su said.

"These centers will be platforms for collaboration. By working with our local partners and connecting them to our global science network, we can better exchange ideas and create an inclusive atmosphere that generates innovative solutions.

"Establishing an innovation center in western China, we are committed to partnering with local stakeholders to get more tailor-made products into the market place, at a much faster rate, to support local growth."

Xiong Wei, vice-president of Siemens Ltd China, said the "Western Development" policy was apparently laying the groundwork to give the region wider influence and improved competitiveness.

Competitiveness is being increased with better urban infrastructure and the constant optimization and upgrading of industries.

Talent pool

"The western region has very important hub cities with great development potential, such as Chengdu and Chongqing, where there's a large talent pool and a high concentration of universities and research institutes.

"Human resources have drawn Siemens to invest in the western region. Also, the livability of the western region has meant a stable pool of talented workers. It makes the region more attractive for talent," Xiong said.

Last year, Siemens Electronics Works Chengdu, the company's first overseas digital enterprise, started operations in the Chengdu High-tech Zone. Government support, human resources, logistics and infrastructure provided a sound environment for the digital enterprise to take root in the western region.