Guangdong — The Gateway of China Fortune

Today, all the investors and economic strategists of the world would happen to coincide focus on one country—China when they are looking for global economic hotspots. Nobody would like to miss China, the most potential market of the world, the largest developing country going forward in peaceful social environment at high speed of the world.

But the question is: wherefrom to enter into China? Which area is the most dynamic economy and valuable for investment.

Choose Guangdong—the first province in China that implements the reform and opening-up policies with an average annually increase GDP of 13.3% over the past 24 years. Guangdong has and still would achieve remarkable success.

Where is Guangdong?

Located in the southernmost part of China’s mainland, contiguity to the Southeast Asian countries, Guangdong is adjacent to Hong Kong and Macao. In fact, in the history, Hong Kong and Macao were part of Guangdong.

Guangdong located in the sub-torrid zone. It has a total land area of 179,800 square kilometers, coastline 3368 kilometres, and population 79,540,000 in 2003. China’s third largest river----the Pearl River runs through this province. Guangdong has beautiful nature scene and moderate weather. It is rich in material resources. Guangdong boasts of the richest province in China in terms of sunshine, heat and water resources. The average annual rainfall is 1,500 to 2,000 millimeters. The abundance heat energy and rainfall make the grasses and trees fresh green with vital force, the fragrance of the fruits levitate all the year round. Furthermore, Guangzhou, the capital of Guangdong, has a loveliness title of “flower city”.

The South China views converged on Guangdong. Its historic sites could be found everywhere. It has beautiful mountains and the views charming and gentle. Guangdong with long history is the source of “Lingnan Culture” which people of talent coming forth in large numbers from of old and culture hell in esteem. In the ascendant geography and culture environment, Guangdong becomes the paradise of the investors for developing and living.

Why choose Guangdong?
Reason one: Guangdong is a commercial port with the longest history.
Originated from Qin Dynasty 200 years BC, the foreign trade of Guangdong Province has been prosperous through dozens of dynasties for 2000 years. Guangzhou is the oldest and most important foreign trade port in China. Even in the past several decades before China’s opening up to the outside world, the Chinese Export Commodities Fair, which held in spring and autumn every year in Guangzhou, still nearly was the only window of China in the foreign trade activities at that time.

Reason two: Guangdong enjoys outstanding geographical advantages.
Facing the South Pacific Ocean, Guangdong has traditional relations with the Southeast Asian countries. The close neighbors Hong Kong and Macao as a famous commercial, shipping and logistics, information centers, and an international well known tourism city, have close and wide relation with the west world for the historic reason,which are like two bridges, playing an important role in connecting Guangdong and the world.

Reason three: Guangdong is the first province implementing the opening-up policy and now it is taking the leading position in terms of economic development.
China's reform and opening-up policy that started from last century 70’s has been initiated in Guangdong province, and three out of the first four special economic zones of China are within Guangdong Province. When the reform and opening up policy expanding to the whole country in 90’s, the economic development of Guangdong has gone ahead of other areas of the country. The province’s main economic index such as GDP, import and export value, utilized foreign capital, total sale of social consumables, industrial added value, residents saving deposits savings, tax, fiscal revenue, overall social fixed assets investment, takes the first place in China. In 2003, Guangdong’s GDP was USD 162.5 billion, accounting for 11.5% of the national total and more than that of all the Southeast Asian countries and regions except for Indonesia. Its import and export value reached USD 283.6 billion, accounting for 33.3% of the national total, and the accumulated actual utilized FDI capital of Guangdong reached USD 15.58 billion, accounting for 29.13% of the national total. Guangdong ranks first in comprehensive economic strength in the country.

Reason four: Business people from all over the world pour into Guangdong
Guangdong has established trade relations with more than 200 countries and regions. More than 100 countries and regions have made their investment in the province. The top 500 multinationals have set up 404 enterprises in Guangdong. Multinationals have established more than 200 R&D institutions, purchasing center and headquarters. Nineteen countries have set up their consulates general in Guangzhou.

Reason five: Guangdong’s infrastructure and facilities are continuously improving.
Guangdong has ample energy resource, advanced telecommunication and well developed transportations. Mobile telecommunication and Internet has already widely provided. It has built a completed land-water-air transportation network. The total mileage of the highways and expressways is 110,000 kilometers, among which the mileage of expressways is 2,412 kilometers. The Beijing-Guangzhou Railway and Beijing-Kowloon Railway, two trunk railways running from the north to the south of China, run through Guangdong Province. Guangdong has 7 airports, including one of the 3 air hubs of China, namely Guangzhou Baiyun International Airport, and 6 other big airports located respectively in Shenzhen, Shantou, Zhuhai, Foshan, Zhanjiang and Meizhou. Its main coastal ports include Yantian Port of Shenzhen, Guangzhou Port, Zhanjiang Port, Shantou Port, Shekou Port and some deepwater fine ports. Among these ports, Yantian port is one of the world’s top 10 ports. Guangdong is open to navigation to over 1,100 ports in more than 130 countries and regions.

Reason Six: Developing the Province through Science and Education, Assembling Competent People.
Implementing the strategy of "developing the province through science and education", Guangdong province strengthens the investment in education. There are 71 colleges and universities all over the province, which nurture many talented people for Guangdong every year. This autumn, 10 institutions of higher learning will enter the Guangzhou University City under constructing and recruit students. Guangdong also has many technical and vocational schools, which cultivate technical staff for enterprises. As well, personnel of management and technology allover the country and those studying abroad are attracted by excellent business and living environment and conditions here, which meets well demands of all kinds of enterprises.

Reason Seven: Nine pillar industries
With nine major industries---textiles and garments, foodstuff and drinks, construction materials, electronics and information, electrics and machinery, petrochemical industry, papermaking, medicine and automobile at its core, Guangdong has established a completed industry. Executing its strategic industrial restructuring, Guagdong strengthens high and new technology industry with information at its core, recasts and enhances traditional industries, expedites the development of automobile, petrochemical and modern services. Investors in all walks obtain opportunities in Guangdong!

Reason Eight: Stable Society and Normative Market
Cantonese are famous for their rationalness and practicalness. The social stability is the foundation of constant rapid growth of Guangdong’s economy over the past two decades. Governments at different levels in Guangdong pay great attention to improving legal system and maintaining market economic order. Enterprises here have got used to run under the principles of market economy. The social system of market economy has basically established in Guangdong.

What is PRD, Greater PRD, Pan PRD? What is CEPA?

Pearl River is the Mother River of Guangdong. Originating in Yunnan province, running through Guizhou, Guangxi and Guangdong, emptying into the East Sea in Guangdong, Pearl River is the third largest river in China. Pearl River Delta (PRD) is the region of the lower reaches of Pearl River in center-south Guangdong, including Guangzhou City, Shenzhen City, Zhuhai City, Dongguan City, Zhongshan City, Foshan City, Jiangmen City, Huizhou City and Zhaoqing City, among which, Guangzhou and Shenzhen are in the list of China’s most developed cities.

Greater PRD is the economic circle consisting of the PRD region in Guangdong, Hong Kong and Macao. PRD, one of the world manufacturing bases, plus Hong Kong and Macao, cities with highly developed logistics, finance, information and services, taking advantage of each other's strengths, with the economic integration of the three areas, the Greater PRD enhances its competitiveness steadily and become one of the regions enjoying the most prosperous and dynamic economy in the world.

“Pan Pearl River Delta” means a regional economic circle consisting of the “Great Pearl River Delta” (including Guangdong, Hong Kong and Macao) and 8 other provinces (including Fujian, Jiangxi, Guangxi, Hainan, Hunan, Sichuan, Yunnan, Guizhou) neighbouring Guangdong. It covers a vast area and enjoys abundant, varied and characteristic natural resources. Presently, within the “Pan Pearl River Delta”, a very close partnership with various functions and strong economic integration and coordination power has taken shape. In early June 2004, leaders of the governments of the 9 provinces, Hong Kong and Macao (9+2) jointly signed the “Pan Pearl River Delta Regional Cooperative Framework Agreement”. The 9+2 regional cooperation will help optimize the allocation of resources and enhance the region’s all-round strength and international competitive power. What is more, it will further expand the economic hinterland for the cooperation among Guangdong, Hong Kong and Macao, and meanwhile, thus expansion will provide foreign investors with wider development space.

CEPA (Mainland and Hong Kong / Macao Closer Economic Partnership Arrangement) are two framework agreements signed between the Central Government of P.R.C. and the Hong Kong SAR Government of P.R.C. in June 2003 and between the Central Government of P.R.C. and the Macao SAR Government of P.R.C. in November 2003 respectively. CEPA consists of 3 contents: liberalization of goods trading, liberalization of service trading and facilitation of trading and investment. After the implementation of CEPA, more than 200 kinds of commodities may circulate duty free among Mainland, Hong Kong and Macao. In the field of service trade, investors from Hong Kong and Macao may enter the mainland before the time schedule committed to the WTO by China’s central government. Investors from Hong Kong and Macao even get easier access to the Guangdong market. Qualified enterprises that have investments in Hong Kong and Macao may enjoy the same preferential policies under CEPA.

Do Not Let Your Opportunities Slip.
Mr. Stefan Baron, Chief Editor of the most authoritative economic publication----German Business Week, said in his special topic report on “Great Pearl River Delta”: Hong Kong, Guangdong and Macao is a golden delta, this super huge Pearl River Delta city cluster will shine in the 21st century.
Looking forward to the future, Guangdong will go to the world more actively and firmly. It will open its mind and welcome investors and business people worldwide to Guangdong to invest, to do business, to start their undertakings, to develop and to share its success.
Entering Guangdong means entering China.
Entering Guangdong means you have opened China’s door to fortune.
Do not let your opportunity slip!