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As Macao’s economy is witnessing a rapid development, many Australians saw “significant opportunities” in the Special Administrative Region (SAR), said Les Luck, Australian Consul-General Hong Kong and Macao, when delivering a speech at an Australian reception in the island city on May 22nd.

The Consul-General said he was impressed by the level of Australians’ engagement in Macao’s economy, working in fields ranging from the hospitality, gaming, construction, infrastructure, transportation and food and beverage sectors.

James Packer, Australia’s richest man, has set up a joint venture, Melco PBL Entertainment, with Lawrence Ho, son of Macao gaming magnate Stanley Ho, and has built the Crown Macao, a six-star casino resort. And a larger integrated casino resort project initiated by Melco PBL is under construction in the city at present.

In addition, statistics released by the Consulate-General show that between 2006 and 2007, Australia’s merchandise trade with the SAR was worth 632.2 million patacas ($79 million), and Australian’s direct exports to the SAR amounted to 565.1 million patacas ($70.6 million) while imports from Macao’s to 67.1 million patacas ($8.4 million).

“We estimate more than 2,000 Australians live in Macao and expect that number will continue to increase,” said Luck.

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BPO, China Business, China Business News, China Economy, China Trade Import Export, Investment China, Joint Venture China Australia, China, Macao, trade

With the high growth rate of China’s economy, the country’s target of doubling its GDP per capita by 2010 relative to 2000 level is under way.

According to a WTO report (drafted independently by the WTO Secretariat) released on May 21, China’s annual growth rate was estimated at 11.4%, higher than the average rate achieved during 2003-2006. Moreover, China has the potential and confidence to maintain this rapid growth in the foreseeable future. So the goal of doubling GDP that was set out in China’s eleventh Five-Year Plan is within reach.

Faced with a number of important social and economic challenges, including various economic imbalances, China also has to increase government expenditure on social services, like health and education, as well as basic pensions, thus possibly reducing the need for precautionary saving and raising consumption.

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China Business, China Business News, China Economy China's economy, economic challenges, eleventh Five-Year Plan, GDP, WTO

The first US-bound Chinese leisure tour group is set to depart on June 17, heralding a new era in Sino-US relations. Shao Qiwei, head of the China National Tourism Administration (CNTA), will escort the inaugural tour group to Washington DC, the city to host the fourth China-US Strategic Economic Dialogue on the group’s arrival. Shao told a press conference that CNTA is pleased the bilateral tourism relationship is moving in a new, positive direction.

Last December, the two sides signed a memorandum of understanding (MOU) to open outbound tour-group travel from China to the US. The MOU would open China’s market to the US, and such businesses as tour operators, airlines, hotels and banks are expected to benefit.

And after five months of talks, CNTA and the US Department of Commerce reached agreements on the details.

The first phase will last 6 months, during which only 9 provinces and municipalities can organize US-bound tour groups. Group members must be residents with hukou in Beijing, Tianjin or Shanghai municipalities, or Hebei, Hubei, Hunan, Jiangsu, Zhejiang and Guangdong provinces. And domestic tour operators with licenses in the 9 municipalities and provinces to run out-bound tourism operations can organize US-bound tour groups. As for tourists’ US destinations, there are no specific restrictions.

US Commerce Secretary Carlos Gutierrez believes that the increased visitation from China would be helpful in reducing the US trade deficit with China.

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BPO, China Business, China Business News, China Consumer Market, China Trade Import Export bilateral tourism, China, CNTA, leisure tour, trade deficit, U.S.

Khazanah Nasional Bhd, the Malaysian government’s $25 billion investment fund, is making evaluations on investments in China’s infrastructure, environmental products, financial and healthcare services, with an aim to tap growth opportunities in the Chinese market.

Expanding beyond owning government-linked companies such as Telekom Malaysia Bhd and Bumiputra-Commerce Holdings Bhd, the Malaysian agency holds $100 billion worth of equity stakes in more than 50 companies in five countries. Its investments include stakes in India’s Apollo Hospital Enterprise Ltd, Hong Kong-traded Parkson Retail Group Ltd, Singapore’s Mobile One Pte and Indonesia’s PT Bank Lippo. It joins the $60 billion Qatar Investment Authority and Singapore’s Temasek Holdings Pte to tap the Chinese market as well as other emerging markets.

“We have a longer horizon compared with the traditional private-equity investors, and we’re experienced in many emerging economies,” said Khazanah’s Managing Director Azman Mokhtar. “We want to offer our experience and our network as the bridge for Chinese companies to invest in third countries.”

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BPO, China Business, China Business News, Investment China China, investment fund, Malaysia

On May 20, Mexico and China reached an agreement on reciprocal promotion and protection of investments to tighten bilateral economic ties.

The deal, according to Mexico’s Deputy Economy Secretary Carlos Arce Macias, will consolidate a juridical framework more favorable for investments, and will provide juridical guarantee for investments and contribute to the increase and diversification of investments to attract more countries to invest in Mexico.

Meanwhile, it is expected to improve conditions for foreign direct investments, help attract more foreign productive capital and provide better conditions for Mexican investors.

The agreement will be signed in July during President Felipe Calderon’s visit to China.

We, Bpovia Ltd, would like to help you succeed in this promising econimic cooperation.

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China Business, China Business News, China Economy, Investment China, Joint Venture China bilateral economic ties, China, FDI, investment, Mexico

Otis, an elevator company which accounts for 27% of the global elevator and escalator market, plans to invest an additional $100 million to triple its Tianjin plant’s capacity by 2012.

The plant, located in the Tianjin Economic Development Area (TEDA), currently has an annual production capacity of 50,000 machines and 20,000 elevators. With the additional investment, the TEDA plant will have a new automatic production line manufacturing high-rise elevators. With China’s market size reaching 3,000 units per year, China and the Middle East are two major markets for high-rise elevators.

Otis is now focusing its business in China, devoting its production capacity mainly to domestic consumption. In spite of the Chinese government’s curb on speculative investment in the housing sector, the country’s urbanization is still fueling the market’s growth.

Considering China as a market of strategic importance turning into both a huge consumption market and an efficient manufacturing base, Otis is also planning to expand investment in Chongqing, Guangzhou, Suzhou and Northeast China.

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BPO, China Business, China Business News, China Consumer Market, Investment China China, elevator, escalator, investment, Otis, TEDA, Tianjin