Foreign Investment Speeds up Expansion in Changchun

CHANGCHUN, Jilin, Aug. 21, 2017 /PRNewswire/ -- During the five days from Aug. 15 to 19, executives of 40 companies from nearly ten countries and regions including the United States, Japan, France and Hong Kong arrived in China's northeastern city of Changchun to seek investment opportunities.

Changchun, capital of Jilin Province, has been leading the rejuvenation of the northeastern rust belt and become a big surprise in terms of growth since this year. Statistics show that the city's scalable industrial output value exceeded 510 billion yuan in the first half of 2017, up 8.8 percent year on year, with various economic indicators topping the northeastern region, the best performance since 2014.

Changchun's GDP in H1 also registered a growth of 8 percent, above the national average, demonstrating a positive sign of incoming investment and active industrial development.

The Singapore-based Prime Group International sent a team of three led by its CEO. It has already signed an investment intent to build a resort town involving first, second and tertiary industries.

From January to June, Changchun's actual inflow of foreign investment amounted to 4.3 billion U.S. dollars, up 14.8 percent year on year.

"Most of the investment went to the second and third industries, especially the third," said Gao Shan, director of the city's bureau of commerce.

Gao said the Cuban delegation had brought genetic engineering and biotechnology, while German companies showed cooperation interest in new energy, environment protection technologies and biotechnology this time.

In order to boost northeast economy, the Chinese central government has introduced a series of policies that aimed at attracting and facilitating foreign investment to the region.

On Aug. 16, the State Council, China's cabinet, issued a notice to further reduce restrictions for foreign investment, introduce supportive finance and taxation policies, improve investment environment in development zones, and streamline procedures for entry of talent.

"We are the beneficiaries of the reform measures," Gao said. Changchun has shaken off its past predicament of the single structure of heavy industry. Gao said service industry contributed more than half of the local economic growth last year.

At an investment promotion meeting at the year beginning, city mayor Liu Changlong said efforts should be made to breed projects with potential and serve international investors.

Priorities should be given to the three pillar industrial chains including automobile, railway vehicle and agricultural products, Liu added.

Many large foreign investment projects had landed in Changchun since. A FAW-Volkswagen Audi factory with a total investment of 15.8 billion yuan is expected to start production in 2018. A meat chicken project invested by Chia Tai Group from Thailand with a total investment of 4.9 billion yuan is under construction. Both the projects will elevate Changchun's existing industries to higher levels.

"Changchun has picked up speed in carrying out cooperation with foreign investors," Gao said. "The great vitality and potential of the city have boosted investors' confidence and their expansion in the city."

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