A Volkswagen China ad for the new Beetle. The company is considering a new Guangdong plant to meet demand in South China.
More than 4 billion euros (US$5.5 billion) will be invested in the new facility, due to be completed in 2013, which will make models under Volkswagen, Audi and Skoda brands, The Beijing Times said, citing Winfried Vahland, president of Volkswagen China Group.
Two factories with output capacity of 200,000 units each will be set up by VW’s domestic ventures, the report added.
Since VW entered the Chinese market in 1984, it has performed sluggishly in south China, where Japanese rivals, including Toyota, Nissan and Honda, are dominant.
Last year, VW announced plans to boost sales and raise market share in south China, including the Guangxi Zhuang Autonomous Region and provinces of Hainan, Zhejiang, Jiangxi and Fujian. – read more at ShanghaiDaily.com…
Dubai Seeks Chinese Tourists
Dubai Banking On Increased Chinese Tourism: Dubai hopes more Chinese tourists will inject much-needed cash into its tourism industry in 2010: One of the interesting effects of the global economic slowdown has been the growth in outbound tourism among mainland Chinese. Although foreign travel still remains an elite activity despite the large numbers of Chinese tourists appearing in cities like New York, Paris and Tokyo, visa restrictions are easing year by year and rising incomes (as well as a growing middle class) mean that more mainlanders than ever before have the ability to take overseas jaunts. For many retailers, hotels, airlines and tour operators, these Chinese tourists have been a godsend. In an effort to tap into the growing Chinese outbound tourist market, the United Arab Emirates (UAE) stepped up its efforts to woo Chinese tourists in 2009, following the Chinese government’s loosening of visa restrictions. As an article in this week’s National newspaper (Dubai) observes, since last September, tour operators, hoteliers and retailers throughout the emirate have reported an influx of Chinese tourists. (Via Jing Daily :.)
Online shopping boom in China: Shi Fang spends more than 4,000 yuan (588 U.S. dollars) a month shopping, but she rarely goes to the shopping mall. Why need a shopping mall if you have Taobao? I am a Taobaoer,’ says Shi, 28, a freelance writer in Beijing. Taobao, China’s largest online shopping site has become an indispensable part of Shi Fang’ s life. She spends half of her monthly salary to Taobao, logging onto the website every day, even when she doesn’t need anything… (Via China – People’s Daily Online.)
China becomes World’s top exporter: New trade figures released by the German national statistics office show that China is now the world’s leading exporter, ahead of Germany. In the 11 months from January to November, mainland exports reached a total value of US$1.07 trillion. German exports amounted to US$1.05 trillion. (Via RTHK On Internet – Finance News.)
High-speed Hong Kong-Guangzhou railway plan turns political: A plan to build a fast train linking Hong Kong and the Chinese mainland city Guangzhou has snowballed into a political saga for legislators and the public as hundreds of protesters rallied outside the legislature in Hong Kong on Friday. Thousands of people, divided into those supporting and opposing the Guangzhou-Shenzhen-Hong Kong Express Rail Link, a line costing HK$66.9 billion (US$8.6 billion) to build, circled the legislature building while legislators debated in a marathon meeting on funding approval. (Via Kyodo News (Business).)
Acer recalls 22,000 laptop computers: (ChinaPost.com.tw) – Taiwan’s Acer Inc. is recalling about 22,000 laptop computers that could overheat and cause burns. (Via Taiwan Headlines – Business.)
Two foreign customers look at Chinese motorcycles at the 106th China Import and Export Trade Fair, or Canton Fair.
The China Import and Export Fair, better known as the Canton Fair, is the country’s largest export platform.
The fair, under way through Nov 4 in Guangzhou, is among venues helping local exporters connect with buyers from South America, Africa and the Middle East.
Tianjin Jinmao Group Co Ltd, China’s largest home equipment and tool provider and exporter, began to feel the pinch of a rapid decline in exports to the US and Europe late last year.
The two regions make up Jinmao’s top two overseas markets, with the US accounting for 50 percent and Europe 30 percent of its sales abroad.
But the financial crisis also served to help the company find new niche markets.
“Surprisingly, Australia is the only market that has been growing despite the global financial tsunami,” said Sunny Yen, vice general manager of Tianjin Jinmao Group.
While sales from the US and Western Europe dipped by “over 20 percent” during the first eight months of this year, sales from Australia rose by “28 percent”, Yen said.
Li Jie, Jinmao’s president, led a team to Australia last month to visit old clients and establish new contacts.
“For years, the US and Europe were the only targets of Jinmao. Australia was always neglected, but now things are different,” Yen said. read more at ChinaDaily.com…
See earlier article: Canton Fair booths brimming with bustle
![The 21-day Canton Fair, also known as the China Import and Export Fair. [Asianewsphoto]](http://images2.sina.com/english/business/p/2009/1015/U100P200T1D277945F8DT20091015191841.jpg "The 21-day Canton Fair, also known as the China Import and Export Fair. [Asianewsphoto]")
The 21-day Canton Fair, also known as the China Import and Export Fair, is the world’s largest fair by floor area and starts one day after China reported surprisingly good trade figures.
Exports from China fell in September by 15.2 percent compared to the same period last year. Forecasters expected a 21 percent fall. The report suggested global demand is improving.
Compared with the fair held in April, where economies of the United States and Europe were deep in a quagmire, this Canton Fair is much busier, with slews of foreign purchasers flocking into the exhibition halls on opening day and exhibitors brimming with smiles and busily receiving them. read more…
