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CS Shanghai & East China

CS Shanghai & East China. Northwest China Council Portland, Oregon October 3, 2007 Chip Peters, Commercial Officer – Shanghai China. The U.S. Diplomatic Mission in China. Embassy in Beijing 4 Consulates Shanghai Shenyang Chengdu Guangzhou. Shanghai Overview (2006).

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CS Shanghai & East China

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  1. CS Shanghai & East China Northwest China Council Portland, Oregon October 3, 2007 Chip Peters, Commercial Officer – Shanghai China

  2. The U.S. Diplomatic Mission in China Embassy in Beijing 4 Consulates • Shanghai • Shenyang • Chengdu • Guangzhou

  3. Shanghai Overview (2006) • GDP per Capita: $7,131 vs. • ($1,800 for all China) • Population: 18 – 20M (estimate) • = Texas • Area: = Delaware • U.S. Residents: 25,000 JIANGSU ANHUI ZHEJIANG Our Consular District • Municipality of Shanghai: • Plus, 3 surrounding provinces

  4. Consulate Generalof Shanghai Sections Include: • Political & Economic Section • Public Affairs Section • Visa Services & U.S. Citizen Services • Patent and Trademark Office • Agricultural Trade Office • Commercial Service

  5. The U.S. Commercial Service • Agency: • U.S. Department of Commerce • Mission: • Promote U.S. Exports • Protect U.S. Commercial Interests Abroad • Promote Foreign Direct Investment (FDI) into US (new role) • Locations: • In U.S.: 105 Export Assistance Centers • Overseas: 157 offices in 84 countries

  6. Business Facilitation International Partner Search International Company Profile Single Company Promotion Gold Key Matchmaking Trade Promotion Events International Buyer Programs Trade Shows & US Pavilions Trade Missions Our “Core Services” Market Research • Market Research Library • Country Comm. Guide (CCG) • Customized Market Research Customized Programs • Platinum Key Service • Business Facilitation Services • Advocacy & Trade Disputes

  7. Shanghai Pudong: Pre 1990 In 2005, Shanghai completed towers with more space for living and working than there is in all the office buildings in New York City. NYT – 10/18/2005 Shanghai Growth If Shanghai were a country, it would have the world’s 40th largest economy. WSJ – 5/6/2007 Shanghai Pudong: Post 2000

  8. Ideal geographic location Concentration of MNCs Manufacturing, Finance Center, R&D, High Tech More transparent business environment Educated work force Infrastructure Ports, airports, railway, highways, industrial parks Shanghai Features

  9. Reaching the 2nd Tier Cities More Market Access. Same Quality Service. 14 Secondary Cities with American Trading Centers • Dalian • Chongqing • Hangzhou • Harbin • Kunming • Nanjing • Ningbo • Nanjing • Qingdao • Shenzhen • Tianjin • Wuhan • Xi’an • Zhuhai

  10. American Trading Center Cities in Our Region • Estimated Populations • Nanjing: 6.0 M. • Hangzhou: 6.5 M. • Ningbo: 5.4 M.

  11. Business Opportunities • China is world’s largest market • 4th largest U.S. export destination • (3rd if include Hong Kong) • Last 15 years, China fastest growing country in history • 20-year olds have known nothing but upward mobility

  12. Best Prospect Sectors • Semiconductor Industry • Machinery • Marine Industries • Liquefied Natural Gas • Power Generation • Specialty Software • Telecommunications Market • Water and Wastewater Treatment • Medical Equipment Find research on these sectors: www.export.gov/china • Agrochemicals • Air Traffic Management Equipment Market • Safety and Security Market • Automotive Components Market • Coal Mining Equipment • Construction Equipment Market • Banking Technology • Credit Card Market • Education and Training • Franchising

  13. Oregon, Computers, and Electronics • Oregon’s # 2 export market is China • Oregon Export Market Share (2006) • Canada 17.6%, China 9.1%, S. Korea 8.4% • Oregon’s Top Exports to China • Computers and Electronics $939 M • Paper Products $74 M • Waste & Scrap $73 M • Machinery Manuf. $58 M • Leather Products $54 M Source: US-China Business Council 2007

  14. Power Shortages Traffic Congestion Pollution (air & water) Coast vs. interior disparity Size & diversity of regional markets Workforce turnover IPR Infringement Transparency Rule of Law Corruption Protectionism Business Challenges Operational Challenges Business Challenges Economic Challenges • Unemployment • Stability of financial system • Demographics • Energy & natural resources • Rapid urbanization

  15. Practical Tips Understand the Market • Visit China Set Realistic Expectations • Conduct due diligence before entering market • The 6D’s Protect Your Interests • Register your Intellectual Property • Review all contracts with legal counsel • Have an exit strategy; be prepared to “bail”

  16. The China BIC www.export.gov/china

  17. Useful Sites • Contact the Portland Export Assistance Center • http://www.buyusa.gov/oregon/partner.html • Visit our Web site • www.buyusa.gov/china • Protect Your IPR • www.stopfakes.gov • Are you ready for China? • www.export.gov/china

  18. Don’t Forget… In China…Everything is possible, nothing is easy.

  19. Thank You 谢谢

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