Consumer Products: A primer on entering the Chinese market
February 24, 2009 by SwizStick
Filed under China, Supply Chain Management
ChinaLawBlog links to a very handy guide from Silk Road International on how to import into China. They also provide their own tips from their own experience working with some U.S. food companies. I won’t bother to excerpt all the very useful points from these two links, but simply pass on the advice that if you are interested in importing and distributing product into China you should definitely check out both links.
China to restrict new shipbuilders
February 23, 2009 by SwizStick
Filed under China, Seafreight
As ocean carriers are facing a glut of excess capacity from too many new ship orders from the boom years, demand for shipbuilding has subsequently plummeted. China, a major shipbuilding country, is particularly struggling as demand, according to this article, has sunk 66%. Hence, the Chinese government will ban any new shipyards for three years and also restrict existing shipbuilders from expanding for three years.
China will ban new shipyards for three years and support domestic-vessel purchases as the nation’s shipbuilders struggle with plunging demand amid tighter credit and slowing world trade.
Banks will also be encouraged to increase trade finance to boost ship exports under a plan approved by the State Council, China’s Cabinet, according to a statement posted on the central government’s Website yesterday.
The government will extend financial aid for domestic buyers of long-range ships until 2012, it added.
Hat tip to China Logistics News.
China and Taiwan open direct shipping lane
This is another piece of news that got lost in the end of year holiday shuffle. For the first time since the two separated in 1949, China and Taiwan launched the first direct shipping lane across the Taiwan strait.
‘Today is another day to remember in the history of cross-strait ties,’ said Mr Wang Yi, head of China’s top policy-making body on Taiwan, at a send-off event at Tianjin Port.
Over at Taiwan’s Kaohsiung Port, President Ma Ying-jeou presided over the sailing of the first vessel from Taiwan to China in nearly 60 years.
Obviously this is great news for Taiwan’s economy and not so great for Hong Kong, which acted as a major gateway for shipments into the mainland. According to a report on straitstimes.com Taiwan expects ocean shippers to save NT$1.2 billion (S$53 million) and air passengers to save NT$3 billion annually.
Chinese manufacturer to setup distribution center in the U.S.
I’m fairly confident they aren’t the first but it’s so rare to find such events in the news that I figure it’s worthy of a post. They are looking at Indianapolis and their products service major auto makers in the U.S.
Goodtime Science & Technology Co., LTD manufactures and distributes environmentally-friendly and energy-efficient rubber, plastic, and metal items and molds for major auto makers including GM, Ford, Chrysler, Toyota, and Honda.
The company considered locations in Michigan, Kentucky and Missouri but according to CEO Zhou Bo, ultimately chose Indianapolis because of its superior market reach, ease of doing business and quality of life. “Our U.S. operations will enable us to move up the value chain to be a solution provider rather than a parts supplier,” he said.
