70% of U.S. enterprises will invest in China as one of the three
American Chamber of Commerce April 27 in Beijing distributed a “2009 U.S. businesses in China” White Paper. Its component financial gatherings of the study effects present that though the United States heat-invested enterprises in China weighed against with earlier years, plunged to some bounds, but there are still more than 70% of China’s enterprises will be classified as one of the three greatest financial endeavour destination.
More than 90% of enterprises in China and the United States no designs to remove from the Chinese market
The White Paper shows that in 2009 due to the development prospects are not optimistic, regards China as a preferred investment destination there was a decrease in the number of enterprises, the total proportion of companies surveyed in 2007 from 51% to 22% currently. However, China as the world’s top three investment destinations in the proportion of enterprises remained stable since 2004 has been maintained at 75-78%.
The review furthermore displayed that 91% of constituent businesses that do not have any designs to remove from the Chinese market, more and more constituent businesses design to go in the second and third line towns, or elaborate their enterprise in these cities.
China and the United States Chamber of Commerce, Mr Watkins said that the Chinese market both in terms of scale or scope for development are of great potential, as long as the further improvement of business environment, China will attract more foreign investors. “Some U.S. companies are not optimistic about China’s capital market, and only in the city or the focus of inter-State transfer market.” Watkins said.
In supplement, contrasted with 2008, is actually close to two-thirds of the constituent businesses that go in China is not for the reason of trade items, but to the Chinese market-oriented output and procurement of goods and services. “This number displays that the important enhancement in the household buyer market is progressively mature.” White said.
Two-thirds of enterprises in China and the United States looks forward to 4000 billion stimulus plan from the benefit
China and the United States Chamber of Commerce member survey also showed that two-thirds of the enterprises in China and the United States looks forward to China’s 4000 billion economic stimulus plan could bring them benefits, either directly or indirectly.
White said the four trillion yuan economic stimulus plan will greatly promote the road, rail, airports, environmental protection and rural infrastructure building process. However, in determining the whereabouts of funds, the provinces and local spending decisions and any decision made by the central government have the same influence. Open and fair bidding process applicable to all public and private projects, which means that the transparency of local governments is very important.
The White Paper’s proposal to speed up China’s accession to WTO Government Procurement Agreement (GPA) of the pace. Watkins pointed out that to become a member of GPA will be able to ensure that Chinese enterprises to bid for the U.S. government contracts, while the U.S. businesses in China will receive equal opportunity to participate in China’s bid. Even if China can not immediately join the GPA, the economic stimulus program also provides an excellent opportunity to prove that China will be transparent and standardized way to strengthen the policy supervision and implementation of laws and regulations.
“Lack of administration talent” is the first dispute in China
Survey, it is tough to appeal, evolve and keep administration gifts continues the prime dispute opposite enterprises. 37% of constituent businesses functioning in China accept as factual that the major dispute is “the need of management-level personnel,” the high percentage of the preceding year by 5 percentage points.
The white paper in addition said that this element is not in the short time span to alleviate the signals, and weighed against to the prevailing monetary annoyances, the long-term troubles may be the development of enterprises in China, the potential of bigger undesirable effects.
In addition, the poll showed that 65% of member companies that intellectual property protection for them “very important” or “very important”, but also to determine its type in China, an important factor in business. However the White Paper said that the current level in China and the United States on China’s intellectual property enforcement is not very satisfied with the efficiency, this also hinders the development of American companies in China a major factor.
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