Shanghai is located in the Yangtze River Delta. The municipality sits on the southern edge of the estuary of the Yangtze River in the middle portion of the East China coast. It borders the provinces of Jiangsu and Zhejiang to the north, south and west, and is bounded to the east by the East China Sea.
Shanghai is the commercial and financial center of China, and ranks 5th in the 2018 edition of the Global Financial Centres Index (and third most competitive in Asia after Singapore and Hong Kong) published by the Z/Yen Group and Qatar Financial Centre Authority. It also ranks the most expensive city to live in Mainland China, according to the study of Economist Intelligence Unit in 2017. It was the largest and most prosperous city in East Asia during the 1930s, and rapid re-development began in the 1990s. This is exemplified by the Pudong District, a former swampland reclaimed to serve as a pilot area for integrated economic reforms
There are 16 districts under Shanghai's administration: Songjiang, Changning, Fengxian, Jingan, Jiading, Jinshan, Baoshan, Yangpu, Xuhui, Qingpu, Huangpu, Hongkou, Minhang, Putuo, Pudong New Area, and Chongming.
Shanghai Jinqiao Export Processing Zone, a state-level development zone approved by the State Council in 1990 with a planning area of 20 square kilometers, is located in the middle of Pudong New Area in Shanghai, with Lujiazui Finance and Trade Zone to its west, Waigaoqiao Bonded Zone to its north, and Zhangjiang Hi-Tech Park to its south.
With Jinqiao Road as the boundary, Jinqiao Export Processing Zone is divided into two parts. In the east, it is an industrial zone, which is officially approved to be “Shanghai Jinqiao Modern Technology Park” by the Ministry of Science and Technology in April 1998. In the west, it is a living area Jinqiao International Community.
Jinqiao Export Processing Zone has the supporting infrastructure of “9 connections and 1 leveling”, including “centralized heat supply” and “satellite communications”. Moreover, supporting services including finance, trade, commodity inspection, customs clearance, warehousing, transportation, research, consulting, retail, dining and entertainment, real estate, property management are also provided in the Park.
As of the end of 2000, Jinqiao Export Processing Zone had introduced 377 projects, attracting domestic and overseas investment of USD8.74 billion. Among the world-renowned multi-national companies which make investment in Jinqiao, 26 are top 500 enterprises in the world according to Fortune Magazine. 26 enterprises within the Zone were selected as “top 500 industrial enterprises in Shanghai for 1999”. 72 enterprises are recognized as Shanghai high-tech enterprises. Jinqiao has formed an industrial cluster with electronic information, automobile and spare parts, modern home appliances, and bio-pharmaceutical industries as its four pillar industries.
In 2000, Jinqiao Export Processing Zone realized gross industrial output value of RMB45.7 billion, accounting for 28% of the total of Pudong New Area. 44 enterprises within the Zone achieved annual output value of over RMB100 million.
Jinqiao International Community has middle-and-high-end residential quarters for both Chinese and expatriates, office buildings, and such supporting facilities as kindergartens, primary schools, secondary schools, colleges and universities, supermarkets and hospitals. “Green Villa”, which won the award of best residential quarter in Shanghai for classical architectures in memory of the 50th anniversary of the founding of New China in 1999, is located in the middle of Jinqiao International Community, with all of its 70 villas rented out.
“Jinqiao Bay Qingshui Garden” of 220,000 square meters within the domestic residential area was awarded the title of “Model Residential Quarter of Shanghai”.
Due to the needs of Pudong development, Wangqiao Industrial Zone was put under Jinqiao Export Processing Zone for management in 1999. Wangqiao Industrial Zone is located in the southeastern part of Pudong New Area and to the north of Chuansha Town, with the planning area of 4.2 square kilometers. Till the end of 2000, the Zone had introduced 72 projects, attracting domestic and foreign investment of USD860 million and realizing gross industrial output value of RMB4.5 billion in 2000. Jinqiao Export Processing Zone characterized by high-standard starting point, high-speed construction, highly intensive investment, and high-tech industry is entering its harvest period and becoming a shining economic growth driving point for Shanghai.
To facilitate people who want to set up company to invest Shanghai Jinqiao Export Processing Zone, here is an introduction of Types of business presence in China:
Before starting up a business in China, you have to know what are the options. Foreign Investors generally establish a business presence in China in one of five modes: Wholly Foreign Owned Enterprise(WFOE); Representative Office; Foreign Invested Partnership Enterprises (FIPE); Joint Venture and Hong Kong Holding Company.
Wholly Foreign Owned Enterprise(WFOE) is a Limited liability company wholly owned by the foreign investor. WFOE requires no registered capital and it's liability of equity , can generate income, pay tax in China and it's profit could be repatriate back to investor's home country. Any enterprise in China which is 100 percent owned by a foreign company or companies can be called as WFOE.
Representative Office (RO) isaLiaison Office of it's parent company. It requires no registered capital. It's activities would be: product or service promotion, market research of it's parent company's business, Quality Control liaison office etc in China. RO generally is prohibited to generate any revenue nor generating contracts with local businesses in China.
Joint Venture (JV) is aLimited liability company formed between Chinese investor and Foreign investor. The parties agree to create a entity by both contributing equity, and they then share in the revenues, expenses, and control of the enterprise. JV usually been used by foreign investor to engage the so called restricted in areas such like: Education, Mining, Hospital etc.
Since March 1, 2010: Measuresof Establishment of Foreign Invested Partnership Enterprises (FIPE) in China istaking effect. The regulation, which take effect since March 1, 2010, are known as the Administrative Measures for the Establishment of Partnership Enterprise in China by Foreign Enterprises or Individuals. There's no required minimum registered capital for a Foreign Invested Partnership Enterprise (FIPE) in Shanghai, Beijing, Shanghai, Shenzhen, Hangzhou and rest cities of China
Hong Kong Company usually been used as a Special Purpose vehicle (SPV) to invest Mainland China. Hong Kong is one of the quickest locations to Incorporate a business. Although a HK company is not a legal entity in Mainland China (Mainland China and Hong Kong, See Wiki 1 country, 2 systems), lots foreign investors, especially investors from Europe and North America still chose to setting up a Hong Kong company as SPV to invest China.
After China's entry to WTO, most industries in China welcome foreign investment, WFOE setting up inChina becomes the first option of foreign investment's entity structures instead of Rep.Office setting up in China. At the mean time, for tax purpose, effective licensing system etc more and more investors use Hong Kong as the holding company to invest China mainland, using this offshore company to hold their operations in China.
Business set-up in Shanghai is a big project by itself, which requires financial and time commitments, business management knowledge and China expertise. Identifying a competent agent to manage the complex process will be a cost and time effective way to avoid potential pitfalls . Tommy China Business Consulting has direct connections in the local government
Since 2006, TCBC has been focusing on consulting services for our clients to invest in Shanghai China. We are specialized in establishment of wholly foreign owned enterprises (WFOEs), setting up of offshore companies, trading services, tax minimization, Assist in obtaining government approvals and certificates for running business, negotiate and draft various legal documents provide legal advice, negotiate government officer for Land acquisition. Advising on formation of WOFE and business structures, managing and controlling WOFE in Shanghai China, drafting privacy policies and structuring commercial transactions
TCBC will manage all aspects of incorporation to get you a business license in Shanghai China. We offer a range of company formation services including helping you to set up:
-Wholly Foreign Owned Enterprises (WFOE )
-Joint Ventures (Equity/Co-operative)
-Foreign Invested Partnership Enterprises (FIPE)
No comments:
Post a Comment