Analysis: foreign direct investment in China
Last Updated(Beijing Time):2006-03-14 11:38
With a comprehensive view on the foreign direct investments since 2005, service industry, energy industry and its relevant sectors remain to be the hotspots of investment growth. At the same time, a lot of inland cities begins to become the targeted areas of foreign investment. As the Chinese government enhances its construction of new countryside, it is also possible for the countryside to attract more and more attention.
In recent years, foreign direct investment attracted into China, which hit the historic high of US$60.63 billion in 2004, has been witness a sustained growth; but in 2005, such a growth trend slowed down slightly with a little bit decrease on a year-on-year basis. In 2005, the number of newly established foreign-invested enterprises across China amounted to 44,001 with a year-on-year growth of 0.77 percent but the foreign investment actually used amounted to US$60.325 billion with a year-on-year decrease of 0.5 percent.
Since April 2005 (except September 2005), China's amount of foreign funds actually used in a single month has been witnessing a downtrend and the decrease margin for the amount of foreign funds actually used in the three respective months of the second quarter all surpassed 10 percent. Such a huge decrease margin is rarely seen in recent years.
So far as the source of foreign funds invested in China is concerned, the number of newly established enterprises with US investment in China and the amount of such investment decreased by 4.69 percent and 22.32 percent respectively in 2005. The number of newly established enterprises with funds from 10 Asian countries (regions) in China increased by 0.69 percentages, but the amount of such investment actually used decreased by 5.19 percentage. The newly established enterprises with funds from some free ports in China also decreased by 3.21 percent; yet, the number of newly established enterprises with funds from the original 15 EU member countries in China and the amount of such investment did increase by 17.46 percent and 22.52 percent respectively.
The facts that the economies of neighboring countries and developed countries picked up the developing speed and such countries attracted foreign investors with their own advantages have influenced the scale of China's utilization of foreign funds to some extent. In 2005, Russia attracted US$16.7 billion of foreign direct investments, which accounted for 2.2 percent of Russia's GDP. Russia, where the growth rate of market was only second to that in China, ranked the second in the world.
In 2005, the volume of foreign funds attracted to India, which has thus become the country ranking the second in the world, has surpassed that attracted into the United States. Vietnamese Ministry of Planning and Investment announced that Vietnam would attract US$4.5 - 4.6 billion, thus becoming one of the countries with the quickest economic growth rate in Southeast Asia.
The transition period after the entry into WTO has further cut down the doorsill for the Chinese market. The potentials to enjoy the largest growth rate of the service and trade market is a comparative advantage for China to attract foreign investment. It is expected that during a rather long forthcoming period of time, the service industry will remain as a field in the favor of foreign investment in China.
Retailing commerce is a service industry through which foreign investment entered into China rather early; the opening-up of the insurance industry has made it possible for foreign companies to enter into China gradually. At the end of 2004, the Chinese insurance industry had opened up all areas and all businesses except some statutory insurance businesses to foreign investment. The year 2005 is the first year for the Chinese insurance industry to implement the all-rounded opening-up to the outside world, and the market shares seized by foreign-funded insurance companies increased to nearly 7 percent during that year.
As shown by statistics of the China Insurance Regulatory Commission (CIRC), the domestic insurance market opened up step by step in 2005: three foreign insurance companies were permitted to enter into China's market, and 25 foreign-funded insurance agencies set up in China. For the time being, the number of foreign-funded insurance companies has increased from 14 in 2000 to 40 in 2005. Altogether 27 out of the 46 insurance companies listed into the Fortune Top 500 of the World have set up their agencies in China.
Ever since December 6, 2005, China has further scaled up the opening-up of its banking industry. Foreign-funded financial institutions' management of Renminbi businesses has been extended to Shantou and Ningbo while five other cities of Harbin, Changchun, Lanzhou, Yinchuan and Nanning were opened up in advance. The latest statistics indicate that the businesses of foreign-funded banks in China develop very rapidly in recent years, and the respective annual growth rates of assets, deposits, and loans are all above 30 percent.
In September 2005, the Beijing Office of the US Peabody Energy Corporation, which is the largest private coal company in the world, officially set up. For the moment, Peabody Energy has contacted with Huaneng Power International, Inc., Shenhua Group and some large Iron & Steel enterprises; in future, it will also provide raw materials to and conduct technological exchange with Chinese power and Iron & Steel enterprises. Before that, the US Asian American Coal Inc. (AACI) had established the Shanxi Asian American Daning Energy Co., Ltd. and seized the holding right of 56 percent. Moreover, the US Morgan Bank purchased the 170 million H-stocks of the Yanzhou Mine, and companies from countries like Australia, South Korea, and Japan also went to China's major coal-producing provinces and autonomous regions like Shanxi, Shaanxi, and Inner Mongolia to seek to get shares in local coal mines opened up.
The situation of tense power supply goes on as before. Multinationals think highly of the huge market of power-generating equipment in China, thus having expedited their investment in China. In October 2005, a joint venture invested by Mitsubishi Heavy Industries, Ltd. (MHI) from Japan in Guangzhou was completed and began to produce heat components, the core components of turbines; and it is expected that its sales would amount to 8 billion yen by 2010. Early as in April 2002, MHI signed a "Joint Venture Agreement" with Dong Fang Steam Turbine Works on the joint investment to set up the Mitsubishi Heavy Industries Dongfang Gas Turbine (Guangzhou) Co., Ltd., a Chinese-foreign joint venture manufacturing heat components on gas turbines and providing after-sale services and maintenance of gas turbines. The total investment in the joint venture is approximately 4.5 billion yen with MHI offering 51 percent of the overall investment and Dongfang Steam Turbine offering the other 49 percent, and the term for the joint venture is 20 years.
In 2004, the French Alsthom Ltd. signed a framework agreement to set up a joint venture with the Beijing Jingcheng Mechanical & Electrical Holding Co. Ltd (JCH) and its subordinate enterprise Beijing Heavy Electrical Machinery Factory so as to set up a long-term partnership between two parties on the manufacture of 60,000kw steam turbine sets.
Since the Tenth Five-year Period, China has expedited its steps in international exchanges and cooperation in agriculture and made prominent achievements. From 2001 to 2003, agricultural projects making use of foreign direct investment amounted to nearly 3,000 with a total agreement sum of US$5.7 billion. The annual amount is about US$1.9 billion on average, nearly twice the average annual agreements sum of foreign investment made use of during the 20 years before.
The salary costs in China's inland cities is 20~50 percent lower than in coastal cities, and the rising rate of salaries is slower than that in large cities and coastal cities as well; however, the investment environment in such cities has got consummated gradually in recent years. As a result, some foreign investors have stopped their investment in metropolises like Shanghai, Beijing, and Guangzhou; instead, they begin to cast their eyes on Nanjing, Wuhan, Chongqing, Ningbo, Dalian, Shenyang etc., and slightly less eye-catching cities of the second echelon formation.
Mr. Wei Xinghua, the AmCham-China Chairman, expressed that in 2006, the investments from the United States in China will not only increase in a sustained way but nearly a half of US companies will also seek to invest in cities on the second and third-tier bench like Xi'an, Chengdu, and Dalian, etc. in the western and northeastern parts of China. According to him, quite many industries are all shifting from place to place at present; for example, the electronic assembly industry that was originally in Guangdong can go to Hohehot Municipality to conduct production. Moreover, there were originally some industries with traditional advantages like agriculture, large machinery, energy resources, chemical industry, etc. in the middle and western parts of China. Inland cities begin to demonstrate their charms, which will create conditions for foreign enterprises to invest there.
譯文：
分析：外商對華直接投資
上次更新時間（北京時間） :2006 - 03 - 14日11時38分
通過全面觀察的外國直接投資自2005年以來，服務行業，能源行業及其相關行業仍是投資增長的熱點。與此同時，許多內陸城市開始成為有針對性的領域的外國投資。隨著我國政府加強其建設新農村，也有可能用於農村，以吸引越來越多的關註。
近年來，外國直接投資吸引到中國，創下了歷史最高水平的美國六百零六點三零零億美元在2004年，已經看到了持續增長，但在2005年，這種增長趨勢放緩略有壹點點減少的壹年上年度的基礎上。 2005年，壹些新設立的外商投資企業為全國各地的44001比去年同期增長百分之0.77 ，但實際利用外資總額為美國六百零三點二五零億美元與去年同期減少了0.5個百分點。
2005年4月以來（除2005年9月） ，我國的數額為實際利用外資單月已經出現了下跌和利潤減少的數額實際利用外資在三個各自個月的第二季度都超過百分之十。如此巨大的下降幅度是罕見的在最近幾年。
迄今為止的源泉外資在華投資而言，壹些新成立的企業，美國在華投資的金額減少了這些投資4.69百分之百分之22.32 ，分別於2005年。在壹些新成立的企業，資金來自亞洲10個國家（地區）在中國增加了0.69的百分比，但這種投資金額實際使用比例下降了5.19 。新成立的企業在資金，壹些免費的港口中也減少了百分之3.21 ;然而，壹些新成立的企業，資金從原來的15個歐盟成員國中和這種投資的數額也增加了百分之17.46和22.52百分之分別。
的事實，經濟的周邊國家和發達國家拿起發展的速度和這些國家吸引外國投資者與自身優勢產生了影響的規模，我國利用外資的資金在壹定程度上。 2005年，俄羅斯吸引美國壹百六十七點〇 〇億美元外國直接投資，占百分之二點二，俄羅斯的國內生產總值。俄羅斯，那裏的市場增長率只有第二，在中國，排名世界第二位。
2005年，外國資金大量吸引到印度，因此成為該國排名世界第二，已經超過了，吸引到美國。越南計劃和投資宣布，越南將吸引4.5美元-***有46億美元，從而成為壹個國家的最快經濟增長速度在東南亞。
過渡期加入WTO後，進壹步降低門檻的中國市場。享受的潛力最大的增長速度，服務貿易市場是壹個比較優勢的中國吸引外國投資。預計，在相當長的即將到來的壹段時間內，服務業將繼續作為壹個領域中的支持外商來華投資。
零售商業是通過這些服務行業的外國投資進入中國，而早期;開放保險業，使外國公司進入中國逐漸。截至2004年底，我國保險業開辟了所有領域和所有企業的法定保險以外的壹些企業的外國投資。 2005年是第壹年的中國保險業實施全方位開放，向外部世界，並檢獲的市場份額由外資保險公司增至近百分之七在這壹年裏。
統計數據顯示的中國保險監督管理委員會（ CIRC ） ，國內保險市場的開放，壹步壹步在2005年： 3家外國保險公司獲準進入我國市場，和25家外資保險機構在華設立。就目前而言，在壹些外資保險公司數量已從14個在2000年至40年。***有27個的46家保險公司的上市公司到財富500強的世界已建立了自己的機構中。
自2005年12月6號，我國進壹步擴大開放其銀行業。外資金融機構管理的人民幣業務已擴大到汕頭和寧波，而其他5個城市的哈爾濱，長春，蘭州，銀川，南寧市已開辟了提前。最新的統計數據表明，企業的外資銀行在我國發展十分迅速，近年來，和各自的年度增長率的資產，存款和貸款都超過百分之三十。
2005年9月，北京辦事處的美國皮博迪能源公司，這是最大的私營煤炭公司在世界上，正式成立。目前，皮博迪能源已接觸與華能國際電力國際公司，神華集團以及壹些大型鋼鐵企業，在未來，它還將提供原料和開展技術交流與中國電力和鋼鐵企業。在此之前，美國亞美煤炭公司（ AACI ）成立了山西亞美大寧能源有限公司，並檢獲控股權的百分之五十六。此外，美國摩根銀行購買了壹萬七點〇萬氫儲存的兗礦，公司從國家，如澳大利亞，韓國，日本也到中國的主要產煤省，自治區像山西，陜西，內蒙古尋求獲得的股票在地方煤礦開放。
緊張的狀況供電接著以前壹樣。跨國公司認為非常的龐大市場的發電設備中，從而加速其在華投資。 2005年10月，***同投資組建的合資企業三菱重工業株式會社（三菱重工）由日本在廣州已經完成，並開始產生熱量的元件，其核心組成部分渦輪; ，預計其銷售額將達到八十零點零零億日元到2010年。早在2002年4月，三菱重工簽署了“合資協議”的董伐嗯汽輪機廠聯合投資成立的三菱重工東方燃氣輪機（廣州）有限公司，壹個中外合資制造業熱部件氣輪機，並提供售後服務和維修的燃氣渦輪機。該項目總投資在合資公司約450億日元，三菱重工產品的百分之五十壹的整體投資和東方汽輪機提供其他百分之四十九，並任該合資企業為20年。
2005年9月，北京辦事處的美國皮博迪能源公司，這是最大的私營煤炭公司在世界上，正式成立。目前，皮博迪能源已接觸與華能國際電力國際公司，神華集團以及壹些大型鋼鐵企業，在未來，它還將提供原料和開展技術交流與中國電力和鋼鐵企業。在此之前，美國亞美煤炭公司（ AACI ）成立了山西亞美大寧能源有限公司，並檢獲控股權的百分之五十六。此外，美國摩根銀行購買了壹萬七點〇萬氫儲存的兗礦，公司從國家，如澳大利亞，韓國，日本也到中國的主要產煤省，自治區像山西，陜西，內蒙古尋求獲得的股票在地方煤礦開放。
緊張的狀況供電接著以前壹樣。跨國公司認為非常的龐大市場的發電設備中，從而加速其在華投資。 2005年10月，***同投資組建的合資企業三菱重工業株式會社（三菱重工）由日本在廣州已經完成，並開始產生熱量的元件，其核心組成部分渦輪; ，預計其銷售額將達到八十零點零零億日元到2010年。早在2002年4月，三菱重工簽署了“合資協議”的董伐嗯汽輪機廠聯合投資成立的三菱重工東方燃氣輪機（廣州）有限公司，壹個中外合資制造業熱部件氣輪機，並提供售後服務和維修的燃氣渦輪機。該項目總投資在合資公司約450億日元，三菱重工產品的百分之五十壹的整體投資和東方汽輪機提供其他百分之四十九，並任該合資企業為20年。
2005年9月，北京辦事處的美國皮博迪能源公司，這是最大的工資費用在我國內陸城市的20 ? 50百分之低於沿海城市，以及工資上漲率是低於大城市和以及沿海城市，但是，投資環境等城市逐步得到了完善，近年來。因此，壹些外國投資者已停止他們的投資在大城市如上海，北京和廣州;相反，他們開始投他們的眼睛對南京，武漢，重慶，寧波，大連，沈陽等，略低於引人註目城市的第二梯隊。
衛興華先生，在美國商會中國委員會主席表示，在2006年，投資由美國在華不僅將持續增長的方式，但將近壹半的美國公司也將尋求投資於城市的第二和第三級替補像西安，成都，大連等西部和東北部的部分中。據他說，不少行業都轉移地點舉行，目前，例如，電子裝配業，最初在廣東省可以到呼和浩特市進行生產。此外，還有壹些原來的傳統優勢產業，像農業，大型機械，能源，化學工業等在中東和西部地區中。內陸城市開始展示他們的魅力，這將創造條件吸引外國企業來投資。