Source: CCTV.com

01-05-2009 08:48

The world is still optimistic about China despite the global economic downturn. Foreign-funded investment hit record high in Shanghai and Shenzhen in 2008.

Foreign-funded investment hit record high in Shanghai and  Shenzhen in 2008. (Photo: xinhua)

The World Fortune 500 Dow Chemical Company has declared it would close down 20 production facilities in high cost regions and suspend the operations of 180 factories worldwide. But,in Shanghai Pudong New Area, it has made two new investments amounting to 62 million dollars to build R&D and information centers. This is because the company is optimistic about China.

The annual sales volume of Dow Chemical currently exceed 3 billion US dollars. And, like Dow Chemical, about 700 other foreign-funded companies in Shanghai Pudong New Area have added investments last year.

Sun Yongqiang, Deputy Director of Pudong New Year Economic Commission said "There are a lot of big projects. We calculated that about one-hundred big projects with investments over 10 million US dollars have enlarged their investments."

Last year, contract foreign capital in Shanghai was expected to reach over 17 billion US dollars, hitting a record high. And the third industry, including financial services, has become the main force to attract foreign capital, accounting for more than 70 percent of the total.

Sha Hailin, Director General of Shanghai Municipal Commission of Commerce said "This is because of the Shanghai municipal government's emphasis on the adjustment of industrial structure at a very early time, especially the foreign trade export industrial structure adjustment."

In Shenzhen, the first production line of large-size LCD televisions in the Pearl River Delta region is going into operation.

This project received investment expected to exceed 1.8 billion dollars from a Taiwan businessman. The annual output value will reach one billion dollars after the whole project is completed. It is expected to stimulate 4 billion US dollars of business for its up and down stream sectors. In Shenzhen, the actual using foreign capital reached 3.93 billion dollars in the first eleven months last year, an increase of 13.7 percent over the same period of last year.

Click for more news in Biz China>>

Editor:Xiong Qu