South China

Strong Showing for Chinese Cities on List of Asia-Pacific Cities of the Future

Dec. 22 – Chinese cities performed well in the new ranking of the Asia-Pacific Cities of the Future 2011-12 published by FDI Intelligence magazine, a bi-monthly news and foreign direct investment (FDI) publication owned by The Financial Times based in London.

The FDI future cities survey is carried out across 141 Asia-Pacific cities every two years. The ranking is made according to six criteria: economic potential, human resources, cost-effectiveness, quality of life, infrastructure and business friendliness. Continue reading →

China Briefing Releases New Business Guide for the Greater Pearl River Delta

Dec. 14 – China Briefing has just released the fourth edition of its regional business guide “The Greater Pearl River Delta: Business Guide to South China” – offering business-minded individuals an up-to-date reference source for all of the key issues concerning setting up and successfully operating a business in South China.

By leveraging its proximity to the special administrative regions of Hong Kong and Macau, the Pearl River Delta (PRD) became the “Greater PRD” – China’s manufacturing heart and a region connected not only through financial ties but through a web of government initiatives to encourage its integration. This has included Closer Economic Partnership Arrangements and massive infrastructure developments such as the Hong Kong-Zhuhai-Macau Bridge.

Having risen to prominence around the pillar cities of Guangzhou and Shenzhen, the Greater PRD today is the home of high-technology in China. While Hong Kong is the regional management center for many high-technology firms, Shenzhen, Dongguan, and Guangzhou are being joined by Zhuhai and Huizhou as centers for the manufacturing of high-technology goods. Continue reading →

Posted in Business, Economy and Politics, FDI and Foreign Trade, Manufacturing, Markets, Shipping & Logistics, South China, Technology | Tagged China Briefing Regional Guides, Doing Business in China, Fujian, Fuzhou, Guangdong, Guangxi, Guangzhou, Haikou, Hainan, Hong Kong, Macau, Pearl River Delta, Shenzhen, South China | 3 Comments

Shenzhen Rolls Out New BYD E-Taxis

Photo: Rani Bongiovanni, Dezan Shira & Associates

Shenzhen BYD E6 taxi

Dec. 13 – Shenzhen has begun integrating electric vehicles into its public transport with the recent commercial introduction of local auto-maker BYD’s vehicles appearing on the city streets. An initial fleet of some 300 e-taxis are now plying the roads. Named the E6, the vehicle offers enough space for five passengers and has a range of some 160 kilometers. Plans are currently being put into place to convert all of Shenzhen’s public vehicular transport to electric – including buses and all taxis – over the next five years. Continue reading →

Posted in Automotive, Business, Markets, Oil & Petroleum, Science and Tech, South China, Technology | Tagged BYD, China Auto, China Electric Vehicles, Shenzhen, Shenzhen E-Taxi, Shenzhen Public Transportation, Warren Buffett | 1 Comment

Apple Loses iPad Trademark Case in China

By Vivian Ni

Dec. 13 – Apple has recently hit a roadblock in its key growth market China, as a local Chinese court rejected the company’s ownership claim of its iPad trademark. The giant California-based technology company may therefore be forced to either change the name of its tablet computer products in China, or pay a large sum as compensation to its Chinese rival.

Apple’s loss in the legal case – where the U.S. company sued the Hong Kong-listed Proview Technology (Shenzhen) for trademark infringement – has been the latest development in a series of back-and-forth lawsuits between the two parties since 2006. Continue reading →

Posted in Business, Legal and Regulatory, South China, Technology | Tagged Apple Proview iPad Trademark Case, Apple Trademark Rights Infringement, China Due Diligence, China Intellectual Property Rights, China Trademark Rights, Huizhou, Shenzhen | 2 Comments

China’s First Tier Cities Compete to Attract Foreign Headquarters

Setting up regional headquarters in Shanghai, Beijing, Guangzhou and Shenzhen

Dec. 8 – China’s first tier cities – faced with various challenges during industrial upgrading and an economic transition – are scrambling to attract foreign-invested enterprises (FIEs) to set up regional headquarters (RHQ) in their jurisdictions.

The cities of Beijing, Shanghai, Guangzhou and Shenzhen have all announced regional incentives to attract foreign RHQs as they try and create cluster effects and optimize resource distribution. Continue reading →

Posted in Business, East China, FDI and Foreign Trade, Legal and Regulatory, South China | Tagged Beijing HQ, China Headquarters, China Regulatory, Guangzhou HQ, Shanghai HQ, Shenzhen HQ | Leave a comment

Foreign Investors Should Be Aware of Labor Strike Tactics in China

By Vivian Ni

Nov. 29 – Increasing labor costs have become a major concern for foreign companies mulling whether or not to invest in China, but this may not be the only labor-related issue they should be watching out for. As the recent global economic downturn brings about falling factory orders, an abundance of young, well-educated and computer-savvy Chinese workers are leading one of the country’s strongest waves of labor unrest and labor disputes, which could cause real damage to companies’ regular day-to-day operations.

Intensified labor unrest
Over a one-week period in mid-November, more than 10,000 workers in Shenzhen and Dongguan – the two leading export hubs in South China’s Guangdong Province – went on strike. Continue reading →

Posted in Business, Manufacturing, Minimum Wages, South China | Tagged Adidas, China CPI, China Dongguan, China Guangdong, China Inflation, China Labor Activists, China Labor Bulletin, China Labor Relations, China Labor Unrest, China Labor Watch, China Minimum Wages, China Shenzhen, China Strikes, Global Economic Downturn, Gucci, Honda, Labor Costs, Nike, Shenzhen Minimum Wage, Toyota | 3 Comments

Shenzhen and Xiamen Further Encourage Equity Investment

Nov. 8 – Local governments of several Chinese coastal cities are offering further incentives to equity investment enterprises, as private equity (PE) investment has emerged as one of the most important capital-raising avenues for small and medium-sized enterprises in those areas.

Shenzhen: PE Development Fund
In order to offer various fiscal incentives to PE funds, Shenzhen established a PE Development Fund (PEDF) and recently clarified the operation procedures for PE funds that intend to apply for the financial support extracted from the PEDF. Continue reading →

Posted in Business, East China, Finance, Tax and Accounting, Legal and Regulatory, Regulatory Update, South China | Tagged Equity Investment, Fund-raising, Government Guide Fund, PE Incentives, PE Reward, PE Subsidy, Private Equity, Shenzhen, Xiamen | 3 Comments

China’s Software Developers Can Enjoy VAT Refunds

Nov. 4 – Starting from January 1, 2011, enterprises which develop their own software products or redesign imported software products can have part of their value-added tax (VAT) refunded, said China’s State Administration of Taxation (SAT) and Ministry of Finance recently.

Nationwide VAT refund on software products
According to the “Circular on VAT Policies for Software Products (caishui [2011] No.100)” released on October 13, when VAT general taxpayers sell software products that are developed by themselves or imported and then redesigned for localization reasons, VAT shall be charged at the rate of 17 percent, but the part of VAT in excess of 3 percent of the taxpayers’ actual VAT burden shall be refunded upon collection. Continue reading →