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"China remains a critical market for European companies, dispelling the notion of economic decoupling," said Mats Harborn, president of the chamber.

"Clearly the Belt and Road Initiative increases connectivity. With digitalization, you are connected with the world regardless of your geographical location, so you can develop your economy and society," Portas said on the sidelines of the three-day Shanghai Forum 2019, an annual gathering hosted by Fudan University and the Korea Foundation for Advanced Studies.

"Chinese consumers also favor more high-end baijiu given upgrades in consumption, which has helped increased companies' profits," the report added.

"China's trade in creative goods between 2002 and 2015 has been exponential, with average annual growth rates of 14 percent," the report said. "In 2002, China's trade in creative goods was billion. By 2014, this figure had increased more than fivefold, tallying 1.4 billion."

"China's scale dividends are likely to be an important driver of improving the total factor productivity over the next five to 10 years," said Shen Minggao, chief economist at GF Securities, who noted more efforts are needed to drive the transformation and upgrading of the traditional manufacturing industry, enhance its efficiency, as well as improve total factor productivity, in a bid to maintain a relatively rapid GDP growth.