DHAKA, Nov 17, 2025 (BSS) - Chinese investors are showing strong interest in expanding their footprint in Bangladesh's fast-growing economy, particularly in the manufacturing, infrastructure, and power sectors, as the country continues to improve its investment climate and economic fundamentals.

In an exclusive interview with BSS, Chinese Enterprises Association in Bangladesh (CEAB) President Han Kun said the CEAB has been working as a bridge between Chinese businesses and the Bangladeshi community for over two decades, facilitating mutual understanding, trade cooperation, and new investments.

"We have been here for many years and we feel that Bangladesh is a good country for investment," Han Kun said. "The CEAB's role is to connect the two business communities and encourage more Chinese investors to explore opportunities in Bangladesh."

Established in 2004, the CEAB represents the collective voice of around 250 Chinese enterprises now operating in Bangladesh across diverse sectors including power generation, infrastructure construction, telecommunications, manufacturing, and services.

Han Kun noted that Bangladesh made some progress in improving its governance and efficiency. However, some procedural and institutional challenges are yet to encourage fully new investors who depend heavily on peer experiences when making decisions.

"New investors often consult their friends or the CEAB before coming. Sometimes they hear mixed feedback about administrative efficiency and coordination among agencies," he explained.

He said there are still instances of slow processing and occasional irregularities that could undermine the confidence of the investors.

Han said while most Chinese firms currently operating in Bangladesh remain profitable and continue to expand, their experiences sometimes discourage new entrants.

"So, improving transparency and coordination, especially in agencies dealing with foreign investors, is very important," Han Kun observed.

He, however, praised the steady improvement in public sector discipline and professionalism, saying that government officials are now more responsive than before.

"When I first came here in 2015, offices were almost closed during Ramadan, but now many officers work regularly even during Ramadan and holidays. These changes show that progress is happening, and that's a very positive sign," he said.

Highlighting Bangladesh's potential beyond traditional sectors, Han Kun said manufacturing could become the next major driver of bilateral trade and investment between the two countries.

"Manufacturing is the key sector that Bangladesh needs to develop," he said. "The country has a large and young population-ranked eighth in the world-with an average age of around 27. This demographic dividend, along with rising educational levels, gives Bangladesh a unique advantage."

The CEAB President suggested that greater investment in vocational and technical education would help close the gap between academic degrees and industrial job requirements.

"University graduates are often not ready for industrial work. If more vocational colleges and technical institutions are established, young people will be better prepared for factory and production-oriented roles," Han Kun added.

Drawing lessons from Vietnam's industrial growth, he noted that while Vietnam successfully attracted large multinational investments such as Samsung's electronics facilities, about 80 percent of its exports are still generated by foreign companies.

"Bangladesh should learn from this and ensure that foreign investment helps strengthen local industries. By forming joint ventures and partnerships, local enterprises can grow together with international investors," he said.

Han said, "That way, even if global trade patterns change, Bangladesh's manufacturing base will remain resilient,"

Han Kun also emphasized the importance of policy stability and long-term planning to sustain investors' confidence.

"There must be policy consistency so that investors know what to expect."

He cited China's experience in turning challenges into opportunities through strategic reforms.

"In China, every global challenge becomes a trigger for internal reform. When China joined the World Trade Organization (WTO) in 2001, many feared we were not ready to compete. But, the government used that pressure to reform and strengthen our competitiveness," he cited.

Over the past two decades, China has become one of Bangladesh's largest development partners and trading allies, contributing significantly to infrastructure projects such as bridges, power plants, industrial parks, and roads.

Bilateral trade between Bangladesh and China now exceeds US$25 billion annually, and investment from China continues to expand under initiatives such as the Belt and Road Initiative (BRI). With continued reforms, Han Kun believes Bangladesh could become a major manufacturing hub in South Asia, offering competitive advantages to both local and foreign investors.

"Bangladesh has come a long way. If the country continues to improve its efficiency, transparency, and infrastructure, it will surely become one of the most attractive destinations for global investment," Han concluded.