Holley Group's Chinatown in Thailand has green ambitions

By Yan Yiqi In Hangzhou (China Daily) Updated: 2015-09-28 10:00

A Thai worker in Holley Group's Thailand factory. Collectively, Chinese firms in the Rayong Industrial Zone have created more than 10,000 jobs for local people. [Photo provided to China Daily]

The industrial zone plans to attract 200 more Chinese companies to invest in Thailand in the next two years.

Xu said that Chinese companies, especially private ones, are keen on going abroad. The enthusiasm has surged after President Xi Jinping put forward the Belt and Road Initiative in 2013.

"We had 40 companies in the industrial zone before 2013. After the initiative, more than 20 firms expressed keenness to join us," he said.

According to a survey conducted by All-China Federation of Industry and Commerce, private companies from China have speeded up activities in overseas markets since 2010.

Last year, overseas investment, and merger and acquisition activities from Chinese private companies reached $23 billion, three times that of 2010.

"It is difficult for private companies to survive alone in overseas markets. We are offering them an industrial zone where they can work together," said Xu.

Hangzhou Zhongce Rubber Co Ltd, China's largest tire producer in terms of annual production, started operating its plant in the industrial zone in June.

The company invested 1.8 billion yuan ($285 million) this year for the construction of its Thai plant. It plans to invest about 4.5 billion yuan in the whole project.

Shen Jinrong, chairman of Hangzhou Zhongce Rubber, said that Thailand is a key element of the company's internationalization strategy, while the industrial zone offers great convenience.

"There are several investment incentives like exemption from corporate income tax for eight years, and Chinese language services," he said.