Market Visit to East Midland

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Market Visit to East Midland
British Consulate General Chongqing 17 June
2008 Grace Tan
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Presentation Overview

• PART I
• Develop the west
• Chongqing Sichuan (Chengdu)
• Doing business in western China
• Support and services available

3

Presentation Overview

• PART II
• Chongqing environment sector
• Potential business opportunities in SW China

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Western Development Strategy

• Close gap between East and West
• Sustainable Development Social harmonisation
  Environmental protection
• Chongqing Chengdu Pilot cities for industrial,
  economic financial reform
• Pro-poor rural development

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Sichuan Province

• 5 of Chinas territory, 87m population
• Natural resources gas, water, minerals, fertile
  agricultural basin
• GDP growth at 14.2 reached 150bn USD in 2007
• High-tech, knowledge-driven economy of
  Chengdu-investment from ICT MNCs like Intel, Nokia

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Chongqing Municipality

• Newest municipality-now 10 years old
• 31m population, 40 urban residence
• GDP growth at 15.6 reached 59bn USD in
  2007
• Urban incomes now exceed US1000 per year
• Heavy industry, motorcycle, automotive,
  chemicals, construction

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Strengths of Western China

• Natural resources (e.g. gas, coal ,water, raw
  material)
• Rapidly-developing industries
• Strong academic base, skilled labour
• Less competition (than coastal cities)
• Huge regional market increasing
  purchasing power

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Doing Business in China

• Patience preparation
• Relationships commitment
• Language barriers
• IPR be wary take advice
• Banquets, toasts, gifts

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British Business in Western China

• Approximately 33 UK companies
• BP, BQ, SN in Chongqing
• Zetex, Menzies in Chengdu
• HSBC, SCB in both
• British Chamber of Commerce in Chengdu

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UK Govt Support

• UKTIs partnership with CBBC live from 1 June
  2007
• UKTIs role Govt relations (market access/trade
  policy), significant assistance, inward
  investment
• CBBCs role OMIS, missions and events, general
  enquiries

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Update on Central Govt Reorganisation

• Ministry of Environmental Protection
• -SEPA upgraded to Ministry

• New National Energy Commission
• -National Bureau of Energy under NDRC

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Chongqing Govt Commitment

• Over 39bn RMB(2.6bn) spent on environmental
  industries over last 10 years
• Four campaigns
• -Blue sky( air quality)
  -Clean water
• -Green land (vegetation coverage) -Noise
  control

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Chongqing Govt Commitment

• In 2006, about 6.8bn RMB(500m) investment in
  environmental industries and amount to 2 of GDP
• In next 5 years, extra 50bn RMB (3.8bn)
  investment in environment protection circular
  economy

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Air pollution

• Four measures 2001-2005
• Replaced 40,000 coal-firing stoves 2,600
  boilers
• Legislated against leaded petrol extended
  natural gas pipe network with Japanese loan
  (US100m) introduced 10,000 CNG vehicles

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Air Pollution

• Closed down 2,560 heavily polluting
• small enterprises
• Required 1,000 enterprises to install on-line
• monitoring devices

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• Solid Waste Management
• Major Facilities in CQ
• 2 major landfill sites
• Chang Shengqiao--capacity of 1,500 tons/day
• Hei Shizi--capacity of 1,000 tons/day
• 1 energy from waste plant
• Tong Xing--capacity of 1,200 tons/day

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Solid Waste Management
By 2006, 32 waste treatment facilities in
Chongqing 70 of municipal waste been
treated However, the problems are -the transfer
of municipal waste -smaller quantity treatment in
surrounding counties and cities
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Solid Waste Management
Therefore, more smaller scale waste treatment
facilities are required Currently a second
energy-from-waste facility is considered to be
built with designed capacity of 2,000 ton/day
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Business opportunities in SW China

• Air pollution
• OZONE monitoring and emergency reaction system
• Flying dust control on the construction site
• Desulfurization of small and medium
• sized boiler

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Business opportunities in SW China

• Air pollution
• Exhaust control devices for diesel powered
  vehicles
• SO2 emission reduction from coal burning
• Online monitor device applied in the industries
  (electrical eye)

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Business opportunities in SW China

• Solid waste
• Sewage sludge treatment
• Recycling of electrical electronics waste
• Utilization of industrial waste like coal gangue,
  phosphorus plaster, chromium slag

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Business opportunities in SW China

• Solid waste
• Municipal waste composting
• Small scale clinic waste treatment
• Recycling of poultry waste in large scale
  breeding site in rural area (Sichuan province)

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Business opportunities in SW China

• Wastewater treatment
• Effluent from paper-making, hospital chemical
  industries
• Leachet from landfill site
• Remediation of river ecology improvement of
  waterway
• Massive pollution of algae in Tianchi Lake

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Business opportunities in SW China

• Other areas
• Online monitor devices for railway expressway
  (noise control)
• Energy efficiency-power/manufacturing industries
• Land remediation
• Massive pollution of algae in Tianchi Lake
• CDM project

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UKTI Chongqing team

• Financial legal services-Helen Zhong
• ICT, Creative-Aggy Chen
• Environment, Energy-Grace Tan
• Advanced Engineering-Chrys Shen
• Life Sciences, Agriculture-Falcon Tang
• Infrastructure-Cecilia Chen

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Thank You !