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Declines from China have been attributed to several factors. Chinese students have reported difficulty getting US visas amid a trade war between the two nations. Universities in Australia and Canada have worked harder to attract Chinese students. And some scholars say concerns over academic espionage have fueled anti-China sentiment on US campuses.

David You, vice-president of the international system business unit at Trina Solar Ltd in China, says his country's approach through the initiative is to make friends around the world.

David from Mali, who sells tambourines at the Taiyuan expo, said he did exceptionally brisk business at biennial expos in the cities of Kunming and Lanzhou, since "people had waited a long time and desire foreign goods."

Debt of companies in overcapacity sectors, such as coal, steel, cement, plated glass, aluminum and solar power, represents a share of 16 percent, the paper reported.

Daimler started its localization effort in 2005 in China, with a Mercedes-Benz E-Class sedan rolling off the assembly line of its joint venture Beijing Benz Automotive.