PRD Chairman speaks to Invest Guangzhou on Service Industry Go back »

2010-05-27 | South China

Guangzhou is a market of growing importance for foreign companies in the modern services sector. The European Chamber supports the Guangzhou Municipal Government’s serious efforts in attracting foreign service companies to setup here and expresses its willingness to be an active partner in upgrading and transforming Guangzhou from an “industry-based economy” into a “service-based economy”. The outline of this ambitious plan, as laid down in the “Decision of CPC Guangzhou Municipal Committee and Guangzhou Municipal People’s Government on Speeding up the Development of a Modern Services Industry” and relating regulation constitute a fertile basis to achieve this goal.

To assist these efforts, the European Chamber PRD Chapter Chairman, Alberto Vettoretti pointed out in a speech to staff of invest Guangzhou a number of areas, in which European Chamber member companies have identified room for further improvement. Regulatory and administrational procedures have tangibly improved over the recent years, but companies feel that entering the Guangzhou market is more difficult compared with other investment locations in China. Compared to local enterprises, European companies in the service sector experience difficulties to access certain markets, e.g. due to restrictions of business scope.

Guangzhou, the mega city at the heart of the Pearl River Delta economic area, is often overlooked by European investors and stands in the shadow of Hong Kong, Shanghai, and (in some industries) even Shenzhen. Considering investments in any new market, the attractiveness, based on available information is a key to successful market entry. The European Chamber believes Guangzhou has great potential to thrive and prosper, and encourages the local municipal government to step up its information policy and pro-actively embrace new business, in China and abroad; this includes updated e-platforms in English language and implementing improved and open communication channels with Consulates and Chambers of Commerce to spread information.

Historically, Guangzhou has internationally been recognized as a hub for production. Nonetheless, the ambitious transformation is bearing first fruits, because the needs of the new modern services companies have been scientifically identified and measures have been taken to meet these efficiently. However, European Chamber members appeal to the local authorities to accelerate their efforts in boosting internationally competitive internet connections, attract top talent and encourage easier access to credit, especially to innovative small and medium-sized enterprises seeking to leverage Guangzhou’s attractive investment environment.

For further information, please contact:

Dominik Ehmann, Business Manager
European Union Chamber of Commerce in China
Phone: +86 (0)20 3801 0267
E-mail: dehmann@euccc.com.cn
Website: www.euccc.com.cn