China Direct

Rio Tinto strengthening Mongolia presence

 

CBI member Rio Tinto is further strengthening its presence in Mongolia, underscoring its commitment to the country. Rio Tinto will establish a new office in Ulaanbaatar and expand its national employee numbers to around 80 through the course of 2018.

The new Rio Tinto office will support the company’s exploration programme and technology centre and have a sharp focus on growing relationships with all partners in Mongolia. Munkhtushig Dul has been appointed as Rio Tinto’s country director and will lead the new Rio Tinto office. Munkhtushig will work in coordination with the Oyu Tolgoi LLC team, led by managing director Armando Torres.

Please read more here.

 

Please read more here.

GSK launches innovative antiretroviral medicine in China

GSK announced that Triumeq (generic name: dolutegravir, abacavir and lamivudine all-in-one tablet), the innovative antiretroviral (ARV) drug by its subsidiary joint venture ViiV Healthcare, was officially launched in mainland China.

Triumeq is the first Single Tablet Regimen (STR) for HIV treatment in mainland China which offers Chinese people living with HIV/AIDS the convenience of a single-pill once-a-day regimen. Triumeq, the only 3-in-1 ARV that contains dolutegravir (DTG), is highly effective and well-tolerated.

It poses a high barrier to drug resistance with few drug-drug interactions and can be administered as a single once daily tablet. Triumeq significantly reduces the pill burden on patients, enhances patient drug adherence, and significantly improves their quality of life.

Please read more here.

GSK launches joint China healthcare project in Guangzhou

Supported by CBI member GSK, “New Respiration and Frequent Care” online management platform for patients with asthma in China (“the project”) was launched today in Guangzhou to improve the asthma control level.

Organised by Guangzhou Institute of Respiratory Disease (GIRD) and State Key Laboratory of Respiratory Disease, the project aims to establish a standardised and nationwide asthma patient registry database to improve the diagnosis and treatment of asthma in China and patients’ self-management capabilities.

The project is expected to last for three years. The first 12 months will cover 56 hospitals from eight regions, including Liaoning, Beijing, Sichuan, Chongqing, Hubei, Shanghai, Zhejiang and Guangdong.

Tapping on the mobile and digital technologies, the project will establish a closed-loop asthma management system based on the asthma patient registry database comprising outpatients’ treatment and their self-management outside hospital.

In this way, the project encourages closer communication between doctors and patients for an improved asthma control rate.

Please read more here.

UK-China travel and tourism links set to fly even higher for 2018

Britain’s regions are set for an economic boost after a landmark agreement for a 50% boost in the number of flights allowed between the UK and China.

Transport Secretary Chris Grayling unveiled the deal, which allows for a huge expansion in routes from regional airports – potentially boosting local economies by hundreds of millions of pounds by opening up new business and tourism opportunities.

The announcement builds on successful discussions in October 2016 that saw limits on passenger flights between the 2 countries raised from 40 per week to a maximum of 100. 

The number of Chinese tourists visiting the UK has rocketed during the first half of this year. Between January and June, 115,000 visits were made from China to the UK, a rise of 47% on the same period last year. Spending also increased to £231 million, up 54%.

Transport Secretary Chris Grayling said: These agreements are an important part of preparing Britain for a post-Brexit world and making sure we have access to key markets in the Far East, and they come at a time when our exports are growing and we continue to attract international investment. It just underlines that Britain will do well regardless of the outcome of the Brexit negotiations. The whole government is working to secure the best possible future relationship with the EU, and great progress has been made this week, but no one should believe that Britain’s future success depends on decisions taken in Brussels.

Under the current arrangement, agreed in October 2016, a maximum of 100 passenger flights per week can operate between the UK and China, with this figure set to increase to 150 under the terms of the new deal.

Last year, CBI member Manchester airport launched the first direct regional flight between the 2 countries, worth an estimated £250 million in economic benefits to the UK over the next decade.

During the same year restrictions were relaxed allowing an unlimited number of cargo flights to operate between the UK and China. By the end of 2016, more than 74,000 tonnes of freight had been transported between the UK and China by air, an increase of 27% when compared to 2015.

China Sterling Assets Report - Chinese Version

Dear CBI Members and Partners,

Kindly find the Chinese version of the CBI's first China Sterling Assets Report attached below for your reference.

Many thanks.

Download CBI China Sterling Assets Report_Chinese

Download CBI China Sterling Assets Report

CBI Sterling Assets Report on China Roadshow

 

  

The inaugural Sterling Assets Report has been on a pan-China Roadshow since its launch on Thursday 02 November in Beijing.

The objective of the Roadshow was to circulate the Report's key findings to the diverse and dynamic UK business network in China and encourage policymakers and local officials to use the Report to promote greater UK-China business investment. 

Additionally the Report was received by business stakeholders the CBBC, British Chambers, Department of International Trade (DIT) and a visiting delegation of the All Party Parliamentary China Group in Guangzhou.

China Direct would like to sincerely thank HM Consuls Cecile Elbeleidi in Chongqing, HM Consul Karen Maddocks in Guangzhou, HM Consul John Edwards in Shanghai and HM Consul Nick Whittingham in Wuhan for their support.

 

    

Please note that China Direct will have the Chinese language version of the Report available for review and download by mid-November.

Kindly find the original Report and Executive Summary attached below for your reference.

Download CBI China Sterling Assets Report

Download Sterling Assets China Executive Summary

Thank you. 

  

UK Ahead Of The Curve In China Investment Strategy - CBI

 

EMBARGOED: 00:01 Hours, Thursday 02 November, 2017UK AHEAD OF THE CURVE IN CHINA INVESTMENT STRATEGY – CBI

UK is China’s second largest European trading partner  

The UK is shifting its investment into inner regions of China and into new sectors, ahead of the curve of other nations, according to the CBI’s first ever Sterling Assets China report.

Download CBI China Sterling Assets Report

In 2016, the UK was China’s second largest trading partner in the European Union (behind only Germany) and the eighth worldwide, doing £55 billion worth of trade in goods with China. Indeed, after the USA and Germany it is the only country in the list of China’s top nine trading partners not in the Asia Pacific region.

The UK also ranks eighth in terms of foreign direct investment (FDI) into China over the last decade, at £4 billion. However, unlike other nations, Great Britain is shifting its focus from coastal to inland provinces, which have historically received a smaller share of FDI, so as to mirror the Chinese government’s Belt and Road development plans. Over half (57%) of British investment in 2015 (over £880 million) went to inland regions, led by Heilongjiang (£313 million) in the north east and Henan (£276 million) in the centre.

Of the £18.1 billion worth of UK exports to China in 2015, Shanghai tops the list (£4.2 billion), followed by Beijing (£2.4 billion) and Guangdong (£1.3 billion). 21% of British exports to China were in transport technology (automotive, rail, air and maritime), 12% in machinery & electrical, 8% in chemical products and 5% in metals. The UK’s top service export was travel (£1.5 billion), with 270,000 Chinese visiting the UK and 91,000 Chinese students enrolling in British universities – far more than from any other country.

Guy Dru Drury MBE, CBI Head of China, said:

“The Sino-British relationship is a great success story. As we delve deeper into the Golden Era of ties between China and the United Kingdom, we have so much to offer each other, and British business is keen to play its part.

“From cars to chemicals, and services to schools, British organisations – especially many smaller companies – are tapping into a growing market in China, one that plays to the UK’s best competitive strengths. With the consumer market worth over £3.3 trillion, instantly recognisable British products are a particularly strong match for a growing generation of affluent Chinese. Moreover, this relationship creates thousands of jobs in the UK and China, raising living standards and boosting productivity.

“As the UK forges a new global trading future, it is well ahead of the curve in making the most of its relationship with the world’s fastest growing economy. By making inroads into China’s lesser economically known regions, the UK stands to profit from China’s move from manufacturing and infrastructure into technology and services.”

Dame Barbara Woodward DCMG OBE, Her Majesty’s Ambassador to the People’s Republic of China, said:

“Supporting UK-based companies to invest and operate overseas and become global businesses is part of our strategy to expand mutually beneficial trading relationships around the world. This is especially so in China, the world’s second largest and fastest growing economy.

“This report showcases a wide range of British investment and highlights the strengths and growing confidence of British companies. Investment in China by British companies can generate wealth for the UK, support British jobs, help build UK-based supply chains, and support China’s own economic development.

“As we continue to address the challenges for businesses investing across the globe and help them to make the most of opportunities, positive and proactive engagement of UK and Chinese businesses remains vitally important.”

Between 2015 and 2016, greenfield project investment into China exceeded £2.25 billion. The financial services sector saw the highest value investments (£488 million), followed by logistics (£292 million), consumer products (£268 million) and business services (£209 million).

02 November 2017

Notes to Editors:

Across the UK, the CBI speaks on behalf of 190,000 businesses of all sizes and sectors. The CBI’s corporate members together employ nearly 7 million people, about one third of private sector-employees. With offices in the UK as well as representation in Brussels, Washington, Beijing and Delhi, the CBI communicates the British business voice around the world.

The CBI 2017 Annual Conference will take place on Monday 6th November at the NEW LOCATION of the InterContinental London – The 02 hotel. Media can now register here (clicking on the “Media” box, entering the code 7286). Please note that journalists will be asked to upload a photo as part of the registration process. The closing date for applications is Thursday 02 November.

Follow the CBI (@CBItweets) on Twitter and on the day of annual conference using the hashtag #CBI2017.

Media Contact:

CBI Press Office is available 24 hours a day on 0207 395 8239, or email: press.office@cbi.org.uk. Follow the CBI (@CBItweets) and CBI China (@CBIBEIJING) on Twitter.

DLA Piper helps China Eastern fly high

Dear CBI members & partners, firstly an apology for fewer China Direct updates than normal over the past 1-2 weeks. This has been due to restrictions on global Internet access during the current Congress. We hope that normal service will soon resume and thank you for your patience.

CBI member DLA Piper has advised China Eastern Airlines (CEA), one of the largest Chinese airlines operating domestic, regional and international routes, on its strategic investment in Euronext Paris listed Air France-KLM (AFK).

Through this transaction, CEA and SkyTeam alliance member Delta Air Lines (Delta) have each acquired a 10 percent stake in AFK’s share capital within the framework of reserved capital increases. The transaction closed on 3 October 2017.

The new partnership will help AFK secure more access to the booming Chinese air travel market, especially to Shanghai, where CEA is headquartered, and which is also China's biggest business market. It will also help strengthen AFK’s control over trans-Atlantic flights.

Please read more here.

Beijing's tallest building reaches for the sky - with help from CBI member Arup

With the last steel beam lifted up to the sky, the tallest building in Beijing, China Zun topped out successfully on 22 August. China Zun Tower stands out in the capital city’s Central Business District opposite another well-known Arup project – the CCTV Headquarters.

CBI member Arup has acted as the structural and geotechnical engineer for the project since 2011, as well as providing fire and security consultancy. Arup engineered a highly efficient tube-in-tube structural system composed of perimeter mega structure and reinforced concrete core.

The current elegant curved shape was also the result of many scheme study runs. The geometric complexity was further combined with the challenge of engineering a viable seismic structural system for such a tall building with its unique enlarged zun-top.

Please read more here.

Nearly 'All the coffee in China' - Whitbread acquires full ownership of Costa brand in the South

CBI Member Whitbread announces COSTA acquisition of South China joint venture.

WHITBREAD PLC ANNOUNCES THAT COSTA HAS ACQUIRED 49% OF ITS SOUTH CHINA JOINT VENTURE FROM ITS JV PARTNER, YUEDA, FOR RMB 310 MILLION (£35 MILLION). THIS ACQUISITION PROVIDES FULL OWNERSHIP IN THIS IMPORTANT GROWTH MARKET AND IS IN LINE WITH WHITBREAD’S STRATEGY TO FOCUS ON KEY INTERNATIONAL OPPORTUNITIES.

For more information please refer to the press release below:

Press Release