Opportunities in China for Luxembourg Companies
Luxembourg’s profile in China rose significantly due to its presence at the World Expo in Shanghai in 2010 where the Luxembourg Pavilion was a centre of attraction, with over 7 million visitors recorded. This was due in part to the draw of the Gelle Fra (Golden Lady) statue, the attendance of a number of high-profile figures from Luxembourg’s political and economic spheres, as well as performances and exhibitions by a number of Luxembourg artists. Exchanges in culture and education between the two countries have since become more frequent, as have activities in the economic field, including training in the finance domain.
Following the previous Trade Mission to China in October 2010, Luxembourg is planning a follow-up Trade Mission to China later this year, provisionally set for 25 – 29 November. China is Luxembourg’s second largest trading partner outside the EU and the largest trading partner in Asia. Luxembourg has a Trade and Investment Office in Shanghai.
Trade between the two countries currently includes steel, mechanical and electrical products from Luxembourg to China, and textiles, plastic products and toys from China to Luxembourg. Recently, Chinese banks have started to set up operations in Luxembourg, with the Bank of China and the Industrial and Commercial Bank of China both establishing operations in the Grand Duchy.
Although China’s economy grew at its slowest in nearly three years in the first three months of 2012, the annual rate of GDP growth is still in excess of 8%, according to their National Bureau of Statistics. March industrial output expanded by 11.9% and retail sales grew 15.2%, yet the property sector is deflating with residential real estate growing at its slowest annual rate since mid-2009. Real estate investment was worth around 13% of China’s GDP in 2011 and the sector directly affects more than 40 industries.
The trade mission will start in the political capital Beijing and this destination will be an opportunity for Luxembourg companies to join the official delegation on a daytrip to Tianjin. The mission will continue to Chongqing before heading to the final destination Shanghai. Even though Shanghai will be the home base of the delegation, a daytrip to Suzhou will offer you a better understanding of the economic dynamic within the Yangtze River Delta. In the cities of Tianjin, Chongqing and Suzhou, business meetings, tailored to the participant requirements, will be organized with local companies.
If you are interested in participating at this trade mission, kindly complete the attached registration form and send it back to Mrs Viviane Hoor, fax: 42 39 39-822, e-mail: [email protected] no later than October 12, 2012 . After this date, business meetings cannot be guaranteed.