wujiang shanghai investment 2011

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CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

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Presentation about the Wujiang - Shanghai area for private investors, production facilities and trade companies.

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Page 1: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 2: Wujiang   Shanghai Investment 2011

Changing China

Why China?

Opportunities for European

entrepreneurs

Trip to Shanghai/Wujiang

Next steps

Reservation

Support in China

Preparations

Contact details and information

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 3: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 4: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 5: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 6: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 7: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 8: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 9: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 10: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 11: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

http://www.eiu.com/subscriber_promos.aspx

http://www.eiu.com/subscriber_promos.aspx

Page 12: Wujiang   Shanghai Investment 2011

http://www.eiu.com/subscriber_promos.aspx

http://www.eiu.com/subscriber_promos.aspx

Population in 2000 Peak population (year)

Pearl River Delta “City” 16.6 m 31.2 M (2034)

Guangzhou, Shenzhen, Dongguanand Foshan

Jingjin 16.6 M 31.1 M (2035)

Beijing & Tianjin Current Beijing 16.8 MCurrent Tianjin 10.8 M

Yangtze River Delta “City” 14.8 M 21.6 M (2031)

Chongqing 6.2 M 11.2 M (2027) Current 32 M

Chengdu 3.9 M 11.1 M (2035) Current 10.4 M

Zhengzhou 6.7 M 10.1 M (2039) Current 7.2 M

Xi ‘an 4.6 M 10.0 M (2035

Changzhutan cluster 3.7 M 9.7 M (2034)

Nanjing 3.5 M 7.2 M (2035) Current 7.7 M

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 13: Wujiang   Shanghai Investment 2011

For Entrepreneurs With Plans into China

Page 14: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 15: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 16: Wujiang   Shanghai Investment 2011
Page 17: Wujiang   Shanghai Investment 2011

Trade facts 2

Page 18: Wujiang   Shanghai Investment 2011

Trade facts 3

Page 19: Wujiang   Shanghai Investment 2011

Trade facts 4

http://trade.ec.europa.eu/doclib/docs/2006/september/tradoc_113366.pdf

Page 20: Wujiang   Shanghai Investment 2011

Project Shanghai / Wujiang

Page 21: Wujiang   Shanghai Investment 2011

http://nl.wikipedia.org/wiki/Jiangsuhttp://nl.wikipedia.org/wiki/Wujiang_%28stad%29

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 22: Wujiang   Shanghai Investment 2011

Continuously growth next 20 years

Good potential for star sectors Food

Health

Pharmaceuticals

Food Good market opportunities for

added value products

Food production facilities

Health and care products Big investments Government

Chinese traditions vs Western habits

Pharmaceuticals Huge opportunities market

R&D strong support

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 23: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 24: Wujiang   Shanghai Investment 2011

PUDONG HONGQIAO

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 25: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 26: Wujiang   Shanghai Investment 2011
Page 27: Wujiang   Shanghai Investment 2011
Page 28: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 29: Wujiang   Shanghai Investment 2011
Page 30: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 31: Wujiang   Shanghai Investment 2011
Page 32: Wujiang   Shanghai Investment 2011

1. Wujiang Overview2. Location & Transportation3. Investment Sites & Industries4. Investment Cost Analyses5. Infrastructure, Government services &

Living Environment6. Preferential policies for investment

Page 33: Wujiang   Shanghai Investment 2011
Page 34: Wujiang   Shanghai Investment 2011

Wujiang Overview

Page 35: Wujiang   Shanghai Investment 2011

Total Area: 1176 km2

Total Population: 1.55 million

Wujiang

Suzhou

ShanghaiWujiang

Page 36: Wujiang   Shanghai Investment 2011

Wujiang developed into a county in AD. 909.Thousand-year Ancient Town—Tongli.World Culture Heritage—Tongli Tuisi Garden.

Page 37: Wujiang   Shanghai Investment 2011

CHINA • WUJIANG Competitiveness

List among the top 10 China county-level cities

GDP: RMB85.85billion (2009), an increase of 15.1% comparing

with the year of 2008

GDP per capita over USD10,000

Disposable income per capita over RMB27,700

Import & export volume: USD4.04billion

More than 2,600 foreign enterprises so far with the investment of

US$ 24.9 billion in total

Page 38: Wujiang   Shanghai Investment 2011
Page 39: Wujiang   Shanghai Investment 2011

2. Location & Transportation

Page 40: Wujiang   Shanghai Investment 2011
Page 41: Wujiang   Shanghai Investment 2011
Page 42: Wujiang   Shanghai Investment 2011

Hongqiao Transportation Hub

Suzhou-Nantong-JiaxingIntercity Railway

Shanghai-HuzhouIntercity Railway

Suzhou Light-train #2 Line

Suzhou-Shang Intercity Railway Branch

Page 43: Wujiang   Shanghai Investment 2011

3. Investment Sites & Industries

Page 44: Wujiang   Shanghai Investment 2011

Investment Site

Wujiang Economic Development Zone

Page 45: Wujiang   Shanghai Investment 2011

Su-Jia-Hang Expressway

Exit of Su-Jia-Hang Expressway

Wujiang Economic Development Zone

Page 46: Wujiang   Shanghai Investment 2011

Established and ratified by Jiangsu Province government in

1993, WEDZ covers a total area of 80 km2 with over 700 foreign

funded enterprises, major industries include IT manufacturing,

LCD and related supporting industries.

Page 47: Wujiang   Shanghai Investment 2011

Wujiang Export Processing Zone

Page 48: Wujiang   Shanghai Investment 2011

Investment Site

Foho Economic Development Zone

Page 49: Wujiang   Shanghai Investment 2011

Being adjacent to Shanghai, the Foho Economic Zone enjoysconvenient transportation. It’s only half an hour ride toShanghai Hongqiao International Airport by A9 Expressway.

And there are about 400 foreign funded enterprises with atotal investment of US$1.6 billion.

Page 50: Wujiang   Shanghai Investment 2011

Investment Site Silk & Textile Industry

Page 51: Wujiang   Shanghai Investment 2011

China Oriental Silk Market

Page 52: Wujiang   Shanghai Investment 2011

Investment Site Taihu Lakeshore New District

Page 53: Wujiang   Shanghai Investment 2011

Make good use of “Taihu” to

develop high-end Brand, to

develop real estate, tourism

industry etc.

Taihu New District

Page 54: Wujiang   Shanghai Investment 2011

IT manufacturing, Silk & textile, Cable & Optical cable,

Machinery & mechanics

Industries Clusters

IT manufacturing

Silk & Textile

Machinery & Mechanics

Cable & optical cable

Food processing

New type materials

Others

31%

25%11%

10%

5%

4%

14%

Page 55: Wujiang   Shanghai Investment 2011

• Solar energy

• Food processing industry

• Bio-pharmaceutical industry

• New type materials

新兴产业

Other emerging industries

Page 56: Wujiang   Shanghai Investment 2011
Page 57: Wujiang   Shanghai Investment 2011

• Industrial Land

Handover condition: road, water, drainage, sewer, electricity,

communications and gas connected to boundary of land plot; and are

even to build factories

• Ready-built Factories

• Built-to-suit for special requirement factory building

Page 58: Wujiang   Shanghai Investment 2011

• Location: Fenhu Economic Development Zone•Total land area: 20 ha•Phase 1 development: 10.7 ha•Completion date of Phase 1: Feb. 2007

Page 59: Wujiang   Shanghai Investment 2011

Pangjin Industrial Square

Location: Wujiang Economic Development Zone

Total land area: 28 ha

Completion date: End of 2008

Page 60: Wujiang   Shanghai Investment 2011

Location: Wujiang Pingwang Zhonglu Technology ParkTotal land area: 17.8 haPhase one development: 9 haCompletion date of Phase I: End of 2008

Page 61: Wujiang   Shanghai Investment 2011

Location: Wujiang Foho Economic Development ZonePhase II of 32,000m2 to be completed by end 2010

Phase II

Page 62: Wujiang   Shanghai Investment 2011
Page 63: Wujiang   Shanghai Investment 2011

Item Description Cost Remarks

Electricity

Basic charge RMB28/KVA Based on capacity

Peak:08:00-12:00,17:00-21:00 RMB1.033/KWH

Valley:00:00-08:00 RMB0.281/KWH

Normal:12:00-17:00,21:00-24:00

RMB0.602/KWH

Water RMB3/㎥

Natural gas RMB3.06/㎥

Communications

Telephone installation RMB308/set

Broad Band installation RMB2000 10G

Transportation

- ExportRMB1450/40"container

negotiable for

large quantity

RMB1100/20"container

- Import

RMB1100/40"container

RMB850/20"container

Utilities & Logistic Cost

Page 64: Wujiang   Shanghai Investment 2011

• Over 90,000 talents in total - 1000 master degree holders, 35,000 bachelor degree holders

• HR center and labor agencies help in staff recruitment• More and more Suzhou people seek career development at

Wujiang• Government adopts housing subsidy policy to help enterprises

retain talented staff.

Page 65: Wujiang   Shanghai Investment 2011

Staff Salary Remark

Salary range

Operators: RMB960 Minimum salary stipulated

by provincial government

Fresh university graduates RMB1500

Technicians: RMB2000

Engineers: ≥ RMB3000

Management staff: RMB2000 - 4000

Senior management staff: RMB4000 - 10000

Data provided by Wujiang Human Resource Co, and is for reference only.

Staff salary range

Page 66: Wujiang   Shanghai Investment 2011

Social welfare benefit scheme

Item Employer Employee

- Pension 19% 8%

- Unemployment 2% 1%

- Maternity insurance 1% -

- Work Injury insurance 0.5% -

- *Medical insurance 8% 2%

- **Housing fund 8-12% 8-12%

Note:

- Medical insurance (*) is calculated on the base of RMB1150.

- Housing fund (**) is on the base between RMB 850 & 7700.

- Others are on the base between RMB 950 & 6844.

Page 67: Wujiang   Shanghai Investment 2011

5.Infrastructure, Government Service & Living Environment

Page 68: Wujiang   Shanghai Investment 2011

Power: Sichuan – Suzhou 800KV HVDC transmission project Converter station in Wujiang.

Power supply is sufficient and reliable.

Gas: Both West-East Natural Gas Transmission Project & Sichuan Gas To East Transmission

Project Pass through Wujiang. Annual supply of 800million m3 for Wujiang.

Water:Wujiang has the best quality original water base from the Taihu Lake.

Page 69: Wujiang   Shanghai Investment 2011

Company establishment

Planning & Approval

Construction

Operations

Site selection

One-stop service:

• Submission & approval of Business License;

• Registration with different governmental

departments, such as taxation, customs, foreign

exchange;

•Assistance in expatriate staff relocation

•Consultancy on staff recruitment

Page 70: Wujiang   Shanghai Investment 2011

WFOE Establishment ProcedureApplication materials preparation by Co

Project application at Foreign Trade Economic Bureau

Company name reservation

Environmental RegistrationApplication at Development & Reform Commission

Land Use Pre-audit by Land Resource Department

Application acceptance by Development & Reform Commission

Application acceptance by Foreign Trade Economic Bureau

Issuance of Approval Certificate by Foreign Trade Economic Bureau

Material submission for Business Licenceat Industrial & Commercial Administration Bureau

Issuance of Business LicenseCompany Established

Land use application at Land Resource Department

Obtain Land quota, sign Land use contract and obtain the land

Page 71: Wujiang   Shanghai Investment 2011

The Customs and the Commodity Inspection & Quarantine

Bureau provide efficient service.

There is bonded warehouse in the park and the EDI system

makes customs clearance much faster.

Page 72: Wujiang   Shanghai Investment 2011

Harmonious Living Environment

Wujiang’s air and water quality is among the best in East China

region. The best human habitat award by Ministry of

Construction.

Page 73: Wujiang   Shanghai Investment 2011

Recreational facilities are well developed, like international

standard hotels, hospitals, malls.

Restaurants, bars and clubs offers various choices of food from

all over of the world.

Hospitality

Tongli Lakeview Hotel

Page 74: Wujiang   Shanghai Investment 2011

Education

•Wujiang Vocational Technical College

• Seven high schools, including Sino-Canadian Cooperation

High School

•Two vocational secondary schools

Wujiang Vocational Technical College

Page 75: Wujiang   Shanghai Investment 2011
Page 76: Wujiang   Shanghai Investment 2011
Page 77: Wujiang   Shanghai Investment 2011

Items Criteria Award

-Innovation First year tax contribution over

RMB20milion within three years upon

initial tax contribution

30% tax rebate of paid VAT and Corporate income tax

(local retained portion)

Qualified as “High-tech” enterprise RMB100,000

Registered Capital increase For investment over USD5million,

additional capital increase will be

awarded

30% tax rebate of the increased portion of paid VAT

and Corporate income tax (local retained portion)

comparing with previous year

Domestic sales Domestic sales over RMB100million 50% tax rebate of the increase portion of paid

corporate income tax (local retained portion) comparing

with previous year

Merging & acquisition Acquisition of local enterprises by foreign

investment

Refund all deed tax, business tax (local retained portion)

for property & land transfer

Free of Land transfer fee, and property transfer fee

Page 78: Wujiang   Shanghai Investment 2011

Items Criteria Award

Export orientation Export volume over USD50million for last year &

import and export volume over USD100million; 30%

increase of total import & export volume for two

consecutive years

RMB200,000

Innovation Qualified as “High-tech” enterprise RMB100,000

R&D Lease office for R&D Rental free for three years since operation;

Operation Business tax & VAT refund (local retained

portion)

Making profit Refund of corporate income tax for three

years since making profit

Offshore service outsourcing Revenue of USD1 RMB0.2, cap of RMB1million

Preferential policies (Cont’d)

Page 79: Wujiang   Shanghai Investment 2011

Attracting & retaining Human Resource

Housing subsidy

Qualified bachelor degree holders can apply for housing subsidy of RMB45,000 for apartment purchasing at Wujiang;

Housing subsidy of RMB100,000 & RMB150,000 for Master & PhD holders respectively;

664 qualified talents enjoyed this housing subsidy by now, and over RMB12million in total has been paid by the local government.

TechPioneer Financing

high-level intellects with projects will be entitled to receive finance support from Wujiang government:

Start-up project finance of RMB2million;

VC investment max at RMB5million

PE investment max at 30% of total investment

Page 80: Wujiang   Shanghai Investment 2011

Company name Country Main productsAnomatic USA Aluminum Packaging & AnodizingAshcroft USA Instrumentation devicesBemis USA Toilet seatsChampion USA Filtration systemFlash USA EMSidX USA Displaying furnitureIngersoll Rand USA Climate control technologyNicepak USA Wet wipe productsSchumacher USA Battery chargerSigmatron Electronics USA Control panel SKD Tooling USA Tool & die for automotiveSPX USA Equipment Manufacturing Tyden USA Container sealsWalmart USA Supermarket

Page 81: Wujiang   Shanghai Investment 2011

Company Name Country Main products

Bottcher Holding Germany Printing equipment

Constab Germany Plastics for pipes

Felss Germany Driving Shaft

Mehler Germany Engineering products

Messer Germany Industrial gases

RIBE Germany Fastening system

Stern Ingredients Germany Food additives

Volkswagen Bordnetze Germany Automotive wires

Witter Germany Elevator components

Delta Group France Personal Protection Equipment

Express France Heating tools

Lainiere de Picardie France Lining for suits

PCM France Pumps

SAI-Acoustique France Acoustic Device

Page 82: Wujiang   Shanghai Investment 2011

Company Name Country Main productsBrivaplast Italy Cosmetics Packaging GDS

Italy LCD Monitor

Kodak Monita Italy Elevators

L’Isolante K-Flex Italy Isolation materials

Omet Italy Machinery

Sampietro Tessitura Italy Silk products

Valvitalian Italy Valves

HunterDouglas Netherlands Construction materials

Ovodan Denmark Food products

Bucher Switzerland Hydraulic elevator components

LNS Switzerland Servo system

Steiger Switzerland Weaving machines

Relats, S.A. Spain Insulation materials

Savera Spain Elevator railing system

Page 83: Wujiang   Shanghai Investment 2011

Wujiang Investment Promotion Bureau

Thanks

Page 84: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 85: Wujiang   Shanghai Investment 2011

RUDY STROINKFORMER OWNER TRAMELL CROW

Page 86: Wujiang   Shanghai Investment 2011
Page 87: Wujiang   Shanghai Investment 2011

7 intensive days 3 cities

Shanghai

Wujiang

Changzhou Match Makings City trip, visit current

facilities and City Management Wujiang

Meetings in Shanghai and Wujiang (Governmental departments and DMU)

Visit to Malls in Shanghai Networking opportunities

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 88: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 89: Wujiang   Shanghai Investment 2011

Datum Tijd Locatie Activiteit Begeleiding

9-4 Zat. 21.30 Amsterdam KL893 vlucht van naar Shanghai R. Hermans

H. Terol

10-4 zon 14.05

15.00

16.00

18.00

Shanghai • Aankomst Shanghai Pudong International Airport. Maglev Speed Train naar downtown *

Check in hotel downtown

Diner, bezoek aanNanjing Lu, Bund & Peace Hotel Jazzclub

R. Hermans

H. Terol

11-4 ma 07.00

09.00

11.30

13.00

16.00

19.00

21.00

Shanghai Ontbijt

Sightseeing van enkele Shanghai highlights in Pushi en Pudong + bezoek diverse retailzaken

Lunch

Bezoek aan Nederlands Consulaat in Shanghai

Ontmoeting met enkele Europese ondernemers die in Shanghai wonen en werken

Diner met Alice Huang (Chitracon Shanghai )

Borrel in French Consession

R. Hermans

H. Terol

12-4 di 07.00

08.30

10.00

11.00

12.00

13.30

16.00

18.00

19.30

21.00

Wujiang

Ontbijt

Vervoer naar Wujiang per auto

Sightseeing bedrijventerreinen Wujiang

Ontvangst gemeentebestuur Wujiang

Lunch

Presentatie en discussie Wujiang

Individual matchmaking Wujiang

Diner

Vertrek uit Wujiang

Aankomst Shanghai

R. Hermans

H. Terol

tolk

Program

Page 90: Wujiang   Shanghai Investment 2011

Program

Datum Tijd Locatie Activiteit begeleiding

13-4 wo 07.00

09.00

12.00

14.00

18.00

20.00

Shanghai Ontbijt

Seminar Zaken doen in China door en bij PTL Group Shanghai

Lunch

Individual matchmaking Shanghai of middag vrij te besteden

Diner

Avondbezoek Pudong

R. Hermans

H. Terol

14-4 don 07.00

08.30

10.00

12.30

14.00

17.00

19.00

20.30

Shanghai

Changzhou

Ontbijt

Per trein naar

Bezoek aan eigen industriepark van PTL Group in Changzhou

Lunch in Changzhou

Bezoek aan NU Group in of individual matchmaking

Diner in

Per trein terug naar Shanghai

Aankomst Shanghai

R. Hermans

H. Terol

tolk

15-4 vrij 07.00

09.00

12.00

14.00

17.00

Ontbijt

Individual matchmaking

Lunch

Bedrijfsbezoeken Shanghai

Diner

R.Hermans

H. Terol

Tolk

16-4 zat 12.40 Retourvlucht naar Amsterdam Schiphol Airport

Page 91: Wujiang   Shanghai Investment 2011

Flights & Hotels: Own selection air company and

hotel (own expenses)

Preparation costs Euro : 375,--

▪ Inclusive transport by bus to Wujiang

Interpreter: Euro 65,-- ph

Consultancy: Euro 150,- ph

Per appointment Euro 375,--

Public Transport in Shanghai: own expenses

Dinners: own expenses

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 92: Wujiang   Shanghai Investment 2011

Some books: How to do Business in

China

East meet West

This is China Travel papers Visa for China

Passport (6 month) Money Credit card

Travel Checks

Yuan change in China

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 93: Wujiang   Shanghai Investment 2011

CHITRACON CHINESE TRANSLATIONS, INVESTMENT CONSULTING & RECRUITMENT

Page 94: Wujiang   Shanghai Investment 2011

For export support & business development in China and Middle East

CHITRACONCHINESE TRANSLATIONS, INVESTMENT CONSULTING, Match Meetings & RECRUITMENT

Page 95: Wujiang   Shanghai Investment 2011
Page 96: Wujiang   Shanghai Investment 2011

Henk Terol Mobile: +31 (0)654977703 Web: www.admarcom.com

Export Development Export Support Category Management China consultancy Food Business Development Marketing & Communication

Rob Hermans Mobile: + 31 (0)636432647 Web: www.chitracon.com

CHITRACONCHINESE TRANSLATIONS, INVESTMENT CONSULTING, Match Meetings & RECRUITMENT