Dongguan: New business better than moving out of – shoe, footwear, relocation –

Number of Taiwan-funded enterprises last year relocated? How many business failures? The second half of last year to early this year, the media rumor large-scale resettlement of Dongguan Taiwanese enterprises, government and business to Dongguan really had a headache.

Recently, the Secretary-General Zhao Weinan Dongguan Taiwan Business Association, said the reporter, does have a large number of Taiwanese enterprises in Dongguan have formed a delegation to India, Vietnam and Cambodia to inspect, but also to some cities in the Mainland, the Taiwan enterprises and no large-scale leave Dongguan and termination of the contract and the amount of New Taiwan enterprises kept in balance. Dongguan Cai, Deputy Secretary for Foreign Trade and Sport has also repeatedly told reporters late last year to now, Dongguan company introduced 790 new, additional 2.2 billion U.S. dollars of foreign capital, the figure is several times the relocation business. Last year, foreign capital increase in existing 1,900,000,000 U.S. dollars, Dongguan New business enterprises than moving out more and better quality.

It is understood that the Ministry of Commerce has already sent two research groups to understand the situation in Dongguan, then there will be some good news out. Recently, in the industry to upgrade and special lectures, Dongguan Municipal Committee, Vice City, the Yangtze River Ling on behalf of another enterprise with Taiwan, to ingratiate themselves further, emphasize the difficulties companies if the Government will jointly meet with Taiwan enterprises.

Status: closed each year hundreds of companies

The second half of last year, media reports have transferred more than 500 enterprises in Dongguan, most of which shoe to this point, Cai Kang says with exasperation, "How can so many? Dongguan is the shoe capital A total of more than 1,000 shoe factories, really transfer a half, in that went wrong? "

Reporter Cai Kandy supply a data indicates that the present shift away from the very few companies in Dongguan, a well documented change of only 40 enterprises, 900 enterprises to terminate the contract, of which more than 220 Taiwanese enterprises home, and most of it is labor-intensive enterprises. Company to terminate the contract, there are many reasons, including the normal expiration of the contract, "and compensation" turn "three capital" enterprises, but in many enterprises is no longer operating.

Choi Kang told reporters, off the enterprise, three million U.S. dollars in contractual foreign investment accounts for less than 93%, one million U.S. dollars accounted for 72% less. "In fact, one million U.S. dollars investment in Dongguan is considered a small business enterprise." Closed last year, more than 40 shoe, shoe and shoe business adds up to 153, 182 plastic companies, only 54 textile enterprises home. Cai Hong

in view, the number of closed enterprises accounted for 5% of total number of enterprises in Dongguan to 6%, which is a reasonable range, the proportion is not. And mostly very small, labor-intensive enterprises. "In recent years hundreds of companies every year close, it is law of market economy under a normal flow."

To clarify: not a large-scale Taiwan enterprises to move out of Dongguan

"Said Taiwanese enterprises in Dongguan has a large number of relocation, this is no reason." And Tsai Kang-minded Dongguan Taiwan Business Association, said the Secretary-General Zhao Weinan. "Enterprise is factory, said the relocation to resettlement? Not that simple, are not shell companies. Have time to build a new plant, to move equipment, to resolve the remaining issues in Dongguan, the earliest six months to a year's time."

Zhao Weinan told reporters, from the grasp of the situation in Taiwan Business Association, this year in January to the present, Dongguan City, only 61 to 32 townships, or relocation of Taiwan enterprises to stop production. The situation in 2007 did not the media put it. The end of last year in Dongguan City business (including automatic shutdown or relocation) of Taiwan, only 220 enterprises and more than more than 5,600 units compared to enterprises, are only a few.

Under Dongguan Municipality, Taiwan Society and other joint investigation into last year, more than 700 enterprises in Dongguan, in which more than 200 Taiwanese enterprises to terminate the contract and the amount of New Taiwan enterprises kept in balance. Zhao Weinan

but did not deny that there were some large Taiwan-funded enterprises have formed a delegation to India, Vietnam and Cambodia to inspect, but also to some cities in the Mainland. "Enterprises and the mainland cities of these countries will undertake a comprehensive assessment, Dongguan is now proposed 'double transition', in other developing countries and mainland cities, and perhaps a few years will also appear, this is we have to take into consideration."

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