Foreign trade up 20%TOP
CHINA'S total volume of foreign trade is expected to exceed US$2.1 trillion, up 20 percent over last year, according to a report issued by the Ministry of Commerce yesterday during the ongoing 102nd China Import and Export Commodities Fair.
"Continued global economic growth and the robust demand of the international market have contributed to China's increasing foreign trade," said Liu Haiquan, deputy director of the General Department with the ministry.
The ever-increasing amount of foreign direct investment has also played an important role, said the official, citing China's actual FDI, which rose 10.9 percent year-on-year to US$47.2 billion in the first three quarters.
"China will continuously endeavor to improve its trade pattern to prevent the surplus from growing too fast," said Li Yushi, vice president of the Chinese Academy of International Trade and Economic Cooperation under the commerce ministry.
"China never seeks a huge trade surplus," Wang Xinpei, a spokesman of the ministry said last week.
The export volume will reach US$1.2 trillion and the import volume will be US$950 billion, with a trade surplus of US$250 billion.
Also according to the report, China's trade volume would top US$2.4 trillion in 2008, up by around 15 percent.
In the first nine months, exports rose 27.1 percent from the same period the previous year to US$878.2 billion, while imports were up 19.1 percent to US$692.6 billion, according to statistics from the General Administration of Customs.
The fair, commonly known as the Canton Fair, started on October 15 in south China's Guangdong Province and will last until tomorrow.
Export transaction of this autumn session reached 24.97 billion US dollars, up 4.1% from the spring session and 12.5% from the autumn session last year. The number of international buyers amounted to 123,118, down 9.5% from the spring session and 1.3% from the autumn session last year.
The present fair had better management and larger scale than the previous ones, and the number of attending countries and regions rose from 36 of the last session to 57, Mr Xu Bing, Deputy Secretary General of the Fair introduced.
By October 20, the Fair had attracted 123,118 overseas buyers from 212 countries and regions, with Asian buyers ranked the first in number, to be followed by Europe. The top three groups in terms of transaction value were Guangdong Group, with a transaction volume up 6.6% to 6.52 billion US dollars, Zhejiang Group, down 2.9% to 3.47 billion US dollars, and Jiangsu Group, up 5.5% to 2.89 billion US dollars.
Chinese splashing out on luxury foreign holidaysTOP
Chinese tourists spend an average of $3,000 per overseas trip, a recent survey has found.
The total includes money for shopping sprees abroad, luxurious accommodation and expenses prior to the trip.
The survey, conducted by the Nielsen Company and Pacific Asia Travel Association, showed travelers to Europe to be the biggest spenders, splashing out an average of $5,253 per trip.
In comparison, those holidaying in Asia spent about $1,900 per person.
The exceptions were those traveling to Hong Kong and Macao - the long-preferred shopping and entertainment destinations for Chinese - whose average spend was $2,185.
Grace Pan, head of travel and leisure research for the Nielsen Company, China, said: "Asia remains the most popular destination for Chinese travelers because of the proximity.
"However, trips to Europe and America are becoming increasingly popular, particularly when you add in the number of business travelers."
Affluent market
"We also found that while mass-market travelers focus on budget travel, there is a fast-emerging affluent market segment prepared to indulge in luxury travel," Pan said.
The survey found that more than one-third of Chinese overseas travelers choose to stay in four-star hotels, with a further 10 percent opting for five-star accommodation.
Pan said consumers were also becoming more sophisticated and better prepared when planning their trips, using all the information available to them on the Internet.
The survey found that nearly seven in 10 leisure travelers accessed destination websites, and about six in 10 used online travel discussion forums to source information.
The Internet is the most popular source of information for potential travelers, followed by travel agents and other media such as newspapers and magazines.
While the majority of tourists still uses travel agents (61 percent), 29 percent prefer online travel services and 16 percent go via hotel or transport operators' websites.
Holiday bookings made via the Internet are predicted to increase.
PATA Strategic Intelligence Center director John Koldowski said: "Last year, Chinese made 35 million overseas trips, and the figures are expected to rise dramatically."（Source:by Xin Dingding of China Daily)
Investment environment of XiamenTOP
Xiamen----China's cleanest and most beautiful seaport city is located on the southeastern coast of Fujian Province. Xiamen City as an administrative unit can be dated back as far as the Song Dynasty. It has always been an important trading port but since its establishment as one of China's first four Special Economic Zones in 1981 Xiamen has become a "window city" for China's opening to the outside world. It's one of the municipalities approved by the State Council of the People's Republic of China being specially designated under separate state plan and enjoying provincial level of power in economic management. Today Xiamen is a rapidly growing city with a vigorous economy and a fully-modern infrastructure. Over the past 10 years Xiamen has increasingly focused on the cultivation of international trade education and tourism.
Xiamen takes economy as center adjusts economic structure actively transforms the mode of economic growth quickly and extends opening up in all directs as a result national economy developed rapidly and the competitive strength enhanced obviously.
Foreign investment policy: The corporate tax rate for foreign-funded enterprises and foreign enterprises is 15%. Foreign-funded enterprises are exempted from local income tax.
Enterprises of service industry with foreign investment exceeding US$5 million and an operation period of more than 10 years are qualified for the tax exemption for the first profit making year and a 50% tax concession for the following 2 years.
Foreign-invested enterprises reinvesting their profits in the same enterprise or investing in other enterprise in Xiamen with an operating period of over 5 years will enjoy a 40% refund of the tax on the said profits. 100% refund of the tax on the reinvested profits can be made if they are reinvested in establishing or expanding export-oriented enterprise or technologically-advanced enterprise with an operating period of over 5 years.
The Double Ninth FestivalTOP
The ninth day of the ninth lunar month The "Chong Yang Festival" is celebrated on the ninth day of the ninth lunar month, and it is as such known as the Double Ninth Festival.
Origins: The festival began as early as the Warring States Period (475 - 221 BC). According to the yin/yang dichotomy that forms a basis to the Chinese world view, yin represents the elements of darkness and yang represents life and brightness. The number nine is regarded as yang. The ninth day of the ninth month is a double yang day, hence the name "Chong Yang Festival". (Chong means "repeat" in Chinese.) The ninth month also heralds the approach of winter. It is a time when the living need warm clothing, and filial Chinese sons and daughters extended this to make the festival a time for providing winter clothes for their ancestors. The Double Ninth Festival, therefore, also became an occasion to visit the graves of dead family members. Clothes made of paper would then be burnt as offerings.
The Double Ninth Festival is also a time for family get-togethers. It is an occasion to remember one's ancestors, the sacrifices they made and the hardships they underwent. Often, family outings are organized during which people search to renew their appreciation of nature and to reaffirm their love and concern for family members and close friends.
How to export to ChinaTOP
It may be a good time to enter the China market now but it is not an easy task. Many have failed entry into the China market as they do not fully understand the seriousness of the complications of the Chinese business culture in the China market.
China is growing as such a fast rate that many foreign companies are attracted to it. However, foreign investors need to understand China itself as a country economically and culturally.
China market is a good investment but also a big problem to many foreign companies. Due to language and culture barriers, many foreign companies do not have the ability to communicate in the China market and many ideas and opportunities are interpreted the wrong way. Hence, foreign companies would need to fully understand the Chinese culture and language before entering the China market.
Mainly there are 3 ways whereby one can export his/her goods in China:
1. Distribute your goods directly
2. Establish a joint venture
3. Find a qualified agent or distributor with a vast sales network
For small and medium sized companies, the best way to enter the China market is through a reputable or well-known agent or distributor. These companies are located regionally and typically have large sales network. Thus they will be able to have a better understanding of the China’s market and can provide assistance in developing distribution strategies in China and the region. In this way, new products can be launched easier into the market and distribution network can be set up rapidly without any problems dealing with distribution rights and licensing.
Besides all these, the most important step that one must take before exporting his/her products into China will be have a thorough understanding China’s customs, regulations and controls towards imported goods. A sound market entry strategy is also necessary in order to penetrate the China’s market. An assessment of your goods’ strengths, weakness, opportunities and threats can allow you to promote and distribute your products better. Understanding the profitability and marketability of your products in the China’s market is thus vital before exporting your products into China.
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