Foreign Manufacturers: at least Dongguang still loves you

There is talk that the Beijing and and Guangdong governments are starting to play hard-to-get with foreign investors, downplaying their importance in upgrading China’s manufacturing, R&D and local market offerings.

However one report in The Japan Times indicates that Dongguan, at least, is still welcoming foreign investment.

A vice mayor of the Chinese industrial city of Dongguan urged Japanese manufacturers Friday to expand on its turf and exploit its domestic market to help the city recover from the global economic crisis and fall in exports.

“We are looking for more Japanese manufacturers to build R&D (research and development) centers in our city and create domestic brands, securing distribution routes,” Jiang Ling, vice mayor of Dongguan in Guangzhou Province, said at a news conference in a hotel in Minato Ward, Tokyo.

In many ways, what Jiang is saying is in lockstep with what the central and Guangdong governments seem to be promoting– focus on domestic consumption, R&D and high-tech manufacturing.

But what makes Jiang’s comments interesting are that he’s actively courting foreign investment, stating clearly that it essential for the area’s recovery.  Moreover, he’s speaking on behalf of Dongguan’s townships and villages, and these are the organizations which will be interpreting and implementing whatever policies flow down from Beijing and Guangzhou.

While this doesn’t mean that Dongguan is a good place to set up labor-intensive manufacturing, it does indicate that Dongguan, at least, is still Foreign Investment friendly.

Comments: 2 Comments

2 Responses to “Foreign Manufacturers: at least Dongguang still loves you”

  1. [...] and regulations were designed to get rid of polluting and labor-intensive activities. They are still looking for new investors, but mostly for high-tech manufacturing and R&D [...]

  2. [...] and regulations were designed to get rid of polluting and labor-intensive activities. They are still looking for new investors, but mostly for high-tech manufacturing and R&D [...]

Leave a Reply

You must be logged in to post a comment.

The Change Junkie

...left the USA for Taiwan and China in 1987. After more than 10 years in Taiwan working in business intelligence, international trade and quality consulting, he fell into a China-based position requiring a significant manufacturing turnaround in 2000.

The first Chinese manufacturing operation that he turned-around went through several transformations. First as a non-productive, unmanaged tenant in squalor, to a functioning plant with greatly improved output, to an ISO certified facility, to a LEAN/JIT manufacturing operation led almost entirely by local talent.

His second turnaround produced similar results. David has found a personal formula that brings the value out of a Chinese manufacturing operation where others were prepared to shut the operation down

SEO Powered by Platinum SEO from Techblissonline