China Direct

British Business Awards 2020 - applications open now!

 

We are delighted to announce that the British Business Awards 2020 website (www.britishbusinessawards.cn) is now live and online applications open. 

Established in 2008 and now in its twelfth year, the biennial British Business Awards (BBA) recognises and promotes excellence in innovation, enterprise, and endeavour, in the British and Chinese business communities. The British Chamber of Commerce Shanghai is excited to be hosting BBA 2020 in Shanghai.

Over the past decade, BBA in China has grown to become a prestigious feature of the business calendar. BBA 2020 consists of nine categories which showcase a number of organisations and individuals who have demonstrated a commitment to trade and investment in China. These awards are:

·    Innovation Award (Sponsored by bp)

·    Sustainability Award (Sponsored by Houghton Street Consulting)

·    Entrepreneur of the Year Award (Sponsored by The British Chamber of Commerce Shanghai)

·    Chinese Investor in the UK Award

·    British Exporter of the Year Award (Sponsored by CBBC)

·    Leadership Award (Sponsored by The University of Manchester China Centre)

·    Best Employer Award (Sponsored by Smith+Nephew)

·    Best Services Award (Sponsored by KPMG China)

·    British Company of the Year Award (Sponsored by SpiraxSarco)

 

Key Dates of BBA 2020

·    Wednesday, 27 May: Official Website Launch & Online Applications

·    Thursday, 11 June: Official Launch Event

·    Friday, 31 July: Applications Close

·    Thursday, 3 September: Finalists Announcement

·    Thursday, 29 October: Awards Gala Dinner

For more details about each award and its criteria, please click here. To apply for the awards, please click here to register an account first or find your old account back.

BBA 2020 is supported by Department for International Trade (DIT), China-Britain Business Council (CBBC), The British Council, Confederation of British Industry (CBI), and British Chambers in Beijing, Guangdong and Southwest.

If you have any questions, please contact bba@britishchambershanghai.cn.

TransferWise partners with China's Alipay

CBI member, TransferWise has announced that it has established a partnership with Chinese e-commerce giant, Alipay, to facilitate cross-border money transfers.

The tie-up will enable TransferWise’s more than 7 million customers to send money held in 17 currencies to Alipay users as Chinese yuan, according to a statement made by TransferWise on Tuesday. Alipay serves over 1.2 billion people globally.

TransferWise users will need to fill in the recipient’s name and Alipay ID before transferring money to the bank account linked to the recipient’s Alipay profile.

The company said: ““The partnership is a major expansion for TransferWise as it reaches a new, additional market of people managing their money via the Alipay platform.”

China is currently the most expensive major currency corridor, according to the World Bank, with the average cost of sending $200 (£140) from the UK to China standing at a staggering US $19.6 (£13.70) or 9.8%.

In response, TransferWise will charge 1.5% for transfers with a delivery time of 1 to 3 days. Anybody with a UnionPay account will be able to receive transfers.

In 2018, China received $67 billion in overseas remittances, making the country the second-largest recipient of such payments after India with $79 billion.

To read TransferWise’s announcement in full, please follow the link.

BBC Studios in Youku China online content deal

CBI member, BBC Studios has announced that it has signed an agreement with the Chinese online streaming platform, Youku, which will see 430 hours of original content made available online.

Under an extended partnership between BBC Studios and Youku, subscribers of the Chinese streaming platform will be able to watch BBC-produced TV series, such as all four seasons of Sherlock, as well as a number of episodes of Good Omens, Sanditon, Doctor Who and Luther. Some of these titles will air exclusively in mainland China through Youku.

Phil Hardman, SVP of commercial operations and strategy in Asia at BBC Studios, said: “It is great to see our relationship with Youku going from strength to strength with this agreement to show more quality British contemporary and classic drama in China. […] We look forward to contributing to the prosperity of China’s developing television industry through collaboration with local players, while also helping them to explore overseas markets and to tell Chinese stories around the world.”

The new agreement adds more than 80 hours’ worth of content to Youku, and is part of the platform’s expanded efforts to meet viewer demand for British dramas. In 2014, the third season of detective drama Sherlock, starring British actor Benedict Cumberbatch, reached 14.5 million views in just two weeks of airing on Youku. The platform now holds extended licensing rights to all four seasons of the show.

Pearson keeps online learning classes running in China

 

CBI member, Pearson has made dozens of online classes available to support the ‘No Suspension of Study’ initiative taking place across China in response to the coronavirus.

When the epidemic hit, schools across China postponed their term start dates after the Lunar Year period in an effort to reduce the spread of the virus. In response, Pearson took immediate action, mobilising staff to ensure that after just a few days dozens of free online courses were available to ensure that students could continue learning without suspension.

Pearson is offering a range of products from its various business lines, including:

• Pearson English,
• K12 online blended learning from International Connections Academy
• Pearson STEM
• Pearson Edexcel,
• PTE-A English test etc.

Meanwhile in Hong Kong and Macao, Pearson has also opened all subjects from pre-primary to senior secondary, as well as major English Reading Series.

Pearson are happy to report, that within a few days of opening this service, more than 60,000 applicants have applied to access the International Connections Academy set up to facilitate these programmes.

Pearson has also opened free AI learning resources on its Longman English Plus WeChat Platform, known as “Longman Xiaoying” and provided free digital supplementary learning resources for end-users with a certified Pearson textbook. As of now, more than 100,000 copies of original readers and supplementary exercises have been released, across nearly 160 books, to the benefit of almost 200,000 users. In the near future, Pearson will open more high-quality English learning resources to full-time schools free of charge.

Joe Lam, Managing Director of Pearson Greater China and India Hub said, "The epidemic situation is still very challenging. We are here to go through the hard time together in China by offering whatever help we can to meet various learning needs from teachers and students and make school available at home.

 

Mastercard wins China market payments approval

 

CBI member, Mastercard has announced that it has secured Chinese government approval to enter the country’s electronic payments market.

In a statement on Tuesday evening, China’s central bank and banking regulator said that Mastercard’s application to launch a joint venture with a local company had been approved.

Mastercard will enter into a joint venture with the Chinese Central Bank affiliated Netsunion Clearing Corporation, and begin bankcard clearing services.

Netsunion was established in 2017, and all third-party payment services involving bank accounts must go through its platforms, cutting out the possibility for direct clearing between the banks and service providers.

Mastercard president and CEO, Ajay Banga said: “Mastercard are delighted and encouraged by this latest decision from the PBOC. […] China is a vital market for us, and we have reiterated to unwavering commitment to helping to drive a safer, more inclusive and seamless payments ecosystem for Chinese consumers and businesses. We remain focussed on working with the Chinese government and local partners to grow the overall payments infrastructure.”

The approval comes three weeks after the signing of the US-China Phase One Trade Deal, which included wording on accelerating approvals for US card companies looking to enter the China market. Under the terms of the agreement, China said it would formally rule on US card companies’ applications within one month of their submission. Mastercard, along with Visa and American Express are cited specifically in the text of the agreement.

Mastercard said in a statement that it will: “Be able to apply to the People’s Bank of China for formal approval to begin domestic bank card clearing activity” within a year.

 

Scotch Whisky China exports on the increase

 

CBI member, the Scotch Whisky Association is happy to report that exports of Scotch Whisky to China have returned to 2012 levels, following a drop as a result of the economic downturn. Direct exports of whisky to China were worth £88 million in shipment value, over the 12-month period ending October 2019.

The Scotch Whisky association also notes how tariffs on Scotch Whisky have been reduced from 10% to 5%, and comments that “This is a welcome move that has helped recovery.”

In addition to the tariff reduction, the Scotch Whisky Association also reports that the UK Government has received verbal assurances from their Chinese counterparts as to the non-implementation of the Harmonised Export Certificate proposal. The industry sought exemption for spirits on the grounds that they are a low-risk and non-perishable commodity. The Chinese Government has subsequently made it known that whisky will be included in a low-risk Codex, to be defined at a later date.

In addition to this, the Scotch Whisky Association has told members that it is grateful to the Chinese Government for cooperation on a range of legal and regulatory issues, including combating counterfeit, and that the Association actively seeks to maintain the current high levels of engagement and cooperation.

NDRC: China to phase out single-use plastic by 2022

 

 

Dear CBI members and partners,

For more on the single-use plastic ban announcement please refer to our short summary below:

Download (1) 21 2020 - China ban single use plastic

Honda drives record 2019 China Auto growth

 

CBI member, Honda has reported that the company experienced record sales in China in 2019.

Honda, with its two joint venture partners, China-GAC and Dongfeng Motors, sold 1.55 million cars into the country last year, and has announced that it will expand its product line up in China in response.

The company has said that it has made good progress in the development of two electric sport hybrid vehicles for the China market, the Honda VE-1 and the Honda X-NV - both of which will both displayed at the Beijing Motor Show in April - and also has plans to launch a plug-in hybrid system named Sport Hybrid e+ this year. The company is also accelerating the development of its core connectivity system for smart cars, Honda Connect, to provide better intelligence services for Chinese customers.

Honda hopes to increase production in China to 1.37 million, and has announced subsequent plans to double its production capacity in Guangzhou by adding an extra 240,000 units, increasing capacity to 720,000.

Mizuno Yasuhide, COO regional operations, Honda China said: “Honda has always strived to expand the joy of mobility and daily lives for our customers by realising a fun and technological world with our innovative products and services. […] Especially in recent years, we’ve provided products and services of value to our customers with high quality and speed, by collaborating with outstanding resources in China, and leveraging the strengths of Honda.”

CBI China - Market Access - A Year in Review

 

Dear CBI Members & Partners,

Please find below our review of CBI member activity in China for 2019 and a brief summary of key sectors that are well positioned to make 2020 a positive year for UK-China relations. 

Download (12) 12 2019 - Market Access - Year in Review_

With very best wishes for the festive season and 2020.

Kind regards,

CHINA DIRECT

British Airways flying to more Chinese destinations with China Southern

 

CBI member, British Airways has announced that it has expanded its code-sharing deal with China Southern Airlines. The pair, which have had a code-sharing deal since 2017, will now code-share on all direct flights operated between London and the Chinese cities of Beijing, Shanghai, Guangzhou, Sanya, Wuhan and Zhengzhou.

The two carriers said at a press conference on Tuesday that their new business agreement would enable them to cooperate more on scheduling and pricing, open up more destinations between the two countries and develop a combined route network from Beijing’s new airport.

Alex Cruz, chairman and CEO of British Airways, said: “We are delighted to announce this joint business which will bring the UK and China closer together by providing British Airways and China Southern Airlines customers with a range of benefits. […]The agreement reinforces [British Airways’] commitment to boost tourism and business travel between the two countries and we look forward to strengthening the relationship further.”