Foreign trade achieves rapid growth

by Du Shu ( China Daily )
Updated: 2008-04-16 07:30

In keeping with an average annual foreign trade growth of 25 percent, Qingdao's total import and export value between 2002 and 2007 hit $152.81 billion.

Qingdao Vice-Mayor Wu Jingjian said: "The city's import and export value in 2007 rose to $43.61 billion, an increase of more than three times compared with 2002 and the largest amount in Shandong province."

Qingdao has received more than 10 national awards, such as being named one of the top 10 cities in China with the most dynamic economies and one of the 10 best commercial cities in China.

The export value of mechanical and electrical products, Qingdao's major exports, reached $10.86 billion in 2007 and accounted for 40.6 percent of the city's total.

Its favorable business environment has led to a steady increase in the number of foreign trade enterprises in the city. In 2007, Qingdao had 9,000 enterprises involved in import and export business, of which 8,000 are specialized exporting companies. There are 50 enterprises realizing an import and export value of over $100 million each and 28 with more than $100 million in export value each.

Tsingtao Beer, which began its export business at the beginning of the last century, was one of the pioneers of the city's foreign trade. The company's beer is now exported to more than 50 countries and regions with an export volume accounting for over 50 percent of China total beer export.

As an engine driving the city's exports, foreign-funded enterprises in Qingdao created $15.61 billion in export value last year.

Overseas trade in hi-tech products has maintained rapid growth. According to Qingdao Customs statistics, the city exported and imported hi-tech products worth $4.46 billion in 2007, a 21.6-percent increase compared with the previous year. Of this, export value constituted $2.27 billion, a 31 percent growth year-on-year.

Foreign-funded enterprises, the leaders in hi-tech product exports, generated an export value of $1.89 billion in 2007, accounting for 69.5 percent of the total export volume of hi-tech products.

Trade with the Republic of Korea (ROK) plays an important role in Qingdao's foreign trade. In 2007, its foreign trade value with ROK rose to nearly $8 billion, accounting for 22% of the city's total.

Qingdao is also witnessing growing trade with emerging markets such as the Middle East, Africa and East Europe. The export volume to these destinations increased more than 30 percent last year, compared with 2006.

The city has intensified its efforts to promote the export of local famous-brand products. Nine exporting brands like Haier, Hisense and Tsingtao Beer were given the award of Chinese famous exporting commodities by the Ministry of Commerce in 2006. The city recommended 18 brands to compete for the Chinese famous exporting brands in 2007.

The household electrical appliances brand Haier has won recognition among customers in more than 100 countries. Qingdao Kingking Group, the biggest Chinese producer and supplier of wax products, exported to more than 110 countries and regions last year, with export value exceeding $150 million.

(China Daily 04/16/2008 page12)