This aerial panoramic photo taken on Jan. 10, 2023 shows a view of Lujiazui area in the China (Shanghai) Pilot Free Trade Zone in east China's Shanghai. (Xinhua/Fang Zhe)

Leading European truck manufacturer Scania is actively targeting the Chinese market to leverage significant opportunities amid China's broader push for high-quality development, according to the president of the company's China unit.

Speaking to Xinhua recently, Mats Harborn, president of Scania China Group said that he sees tremendous potential in China's economic transformation.

According to him, China's emphasis on fostering new quality productive forces promises favorable prospects for foreign companies doing business here in the long term.

"Chinese economy is now going on from a focus on quantity to focus on quality, sustainability and efficiency. At the center of that transformation is actually sustainable and efficient transport and logistics. That's why we believe that our company can play an important role in China," Harborn said.

"Although it's very challenging, we are confident that the Chinese government will manage this transformation because that is the very foundation upon which China's future rests," he added.

The current period is a "good timing for investment in China," Harborn noted. "The investment is for the future of the China market, and it's also for us to be able to export to other markets outside of China."

A clear demonstration of the company's dedication to enhancing investment in the world's largest auto market is the construction of a zero-emission factory in Rugao City, located in east China's Jiangsu Province. This facility is the company's third global production hub after Europe and Latin America.

"In more than 60 years, Scania never did such a big investment overseas," Harborn said, noting that upon commencement of operations in 2025, the factory is projected to have the capacity to produce 50,000 trucks annually, with a workforce of 3,000 comprising both workers and engineers.

In addition to the factory, Scania is setting up an R&D company in Rugao, with a branch in Shanghai, aiming to integrate new technologies and new components into the company's unique modular system.

Harborn hailed China's leading position in innovation, particularly in areas such as electrification, autonomous driving and intelligent connected vehicles. "We want to tap into the innovative power of China and also its supply chains," he said.

China's demand for specialized vehicles such as garbage trucks, sweeper trucks, and water sprinklers is on the rise, indicating promising prospects for this market segment, Harborn noted.

"We see that the Chinese manufacturers are getting stronger and stronger, and they also boost presence in overseas markets. By being in China, we can get access to new technologies in the biggest commercial vehicle market, which will make us stronger all over the world," Harborn said.