China is a booming market for international investors
The automotive sector is one of the core industries in the Chinese economy. China surpassed the United States to become the world's largest automobile market in 2009. A record 18.1 million vehicles (+32,4 % compared to 2009) were sold in China in 2010. The China Association of Automobile Manufacturers expects a sales increase of 10 - 15 % for 2011. This would mean 20 to 21 million sold cars.
Especially sales of small and medium sized passenger cars are booming, due to a growing demand from the so-called second and third tier cities. And there is even more potential for the future as the average car density per thousand inhabitants in China is still a mere twelve units.
In the past few years the international supplier industry has positioned itself well in China as a result of being technology leaders. Similar components and parts produced by Chinese manufacturers are low priced but often show critical quality defects. Future business opportunities arise from increasingly strict environment and safety regulations in China.
China is looking forward to welcoming you...
China is becoming a key region of Asia with two-figure growth forecast for all the important sectors of the economy. It is continuing to pursue a free-market policy. The conditions for foreign companies are improving steadily - more legal certainty, admission to the WTO, tariff reductions, privileges for foreign investors and liberalisation of trade.
Focus on Beijing
Beijing is amongst the most developed cities in China, with tertiary industry accounting for 73.2% of its Gross Domestic Product (GDP); it was the first post industrial city in mainland China. Beijing is home to 26 Fortune Global 500 companies, the third most in the world behind Tokyo and Paris.
In 2010, Beijing's nominal GDP reached 1.37 trillion RMB. Its per capita GDP was 78,194 RMB. In 2009, Beijing's nominal GDP was 1.19 trillion RMB (US$174 billion), a growth of 10.1% over the previous year. Its GDP per capita was 68,788 RMB (US$10,070), an increase of 6.2% over 2008.
Urban disposable income per capita was 26,738 yuan, a real increase of 8.1% from the previous year. Per capita pure income of rural residents was 11,986 RMB, a real increase of 11.5%. The Engel's coefficient of Beijing's urban residents reached 31.8% in 2005, while that of the rural residents was 32.8%, declining 4.5 and 3.9 percentage points respectively compared to 2000