The Development of Foreign-funded Enterprises and World-renowned Companies
Guangzhou is one of the cities which have opened to the outside world. Up to 2007, 160 of the world's top 500 transnational corporations had invested in Guangzhou including 348 foreign direct investment projects. The total investment was 13.548 billion USD, while contractual foreign capital was 5.169 billion USD and the actual use of foreign capital 4.439 billion USD. More than 60 foreign companies in Guangzhou function as their (regional) business headquarters. Microsoft (China) Industrial Base, IBM Software Innovation Centre, Intel Guangzhou International Safe Data Solution Center, British Tesco South China Headquarters and other international advanced modern service industry projects have settled in Guangzhou.
Guangzhou is the standing investment hotspot in Asia-Pacific region. Among Guangzhou's actual use of foreign capital, the top countries (regions) are British Virgin Islands, Hong Kong, Britain and Cayman Isles. The investment of enterprises from these countries (regions) occupies 90% of Guangzhou's actual use of foreign capital.
In 2007, the number of new foreign-funded enterprises in Guangzhou was 959; Guangzhou absorbed contractual foreign capital of 7.035 billion USD and the actual use of foreign capital in Guangzhou Municipality amounted to 3.286 billion USD. In that year, among those projects confirmed by Guangzhou Municipality, 246 of them had a total investment of 10 million USD, with contractual foreign capital of 6.132 billion USD. These projects occupied nearly 90% of contractual foreign capital citywide.
The settlement of a group of dominating projects, such as Hino Motors with a total investment of 3 billion Yuan, JEF Cold-rolled Steel project with a total investment of 6 billion Yuan, and the 3M South China Production Base, promoted industry competitiveness in Guangzhou further. The overseas capital doubled in the service sector. The contracted foreign investment that has just been approved by local municipality amounts to 3.95 billion USD, which optimized the open economy structure of Guangzhou. The overseas-invested enterprises are witnessing a substantial increase of investment and shares. A total of 675 fund-replenishment projects were approved, with average investment reinforcement up from 2.6782 million USD last year to 6.5111 million USD. It shows that overseas investors have increasing confidence in Guangzhou, and pushes the development of clusters of strong industries of the city.
Guangzhou Municipal Bureau of Foreign Trade and Economic Co-operation, General Office
Tel: 8390 2321
(by Carrot Chan)