China Direct

UK-China Monthly Roundup: February 2016

• BritCham’s invitation to enter and attend China CSR Awards 2016
• Chinese Ambassador to U.K. speaks at Chinese New Year celebrations in London
• Chinese Assistant Foreign Minister meets British Embassy in Beijing’s Deputy Head of Mission
• Chinese New Year 2016: U.K. Prime Minister David Cameron’s message
• U.K. and China launch €10 million aviation cooperation project
• European Chamber releases new major report on overcapacity in China
• U.K. celebrates 20 years of Chevening Scholarships in Hong Kong
• UKTI China signs MOU with Guangzhou Tianhe Central Business District

Download CBI China, U.K.-China Monthly Roundup, February 2016

UK-China Monthly Round-Up Jan 2016

Dear CBI members and partners. Please find attached below our UK-China monthly round-up, which covers the following announcements:

• 2016 U.K.-China Education Week
• AIIB President-designate speaks at European Chamber Annual Conference
• CBBC and Alibaba host roundtable on copyright protection in Chinese e-commerce
• CBBC and Tianjin Municipal Education Commission to co-host forum on entrepreneurship education
• CBBC signs free trade zone agreement with Qianhai Authority
• CCTV Français organises gathering on new book “Crossover, China-E.U.” to celebrate 40^th anniversary of Sino-European diplomatic relations
• Chinese Ambassador to U.K. hosts 2015 Icebreaker Awards ceremony
• U.K. and China agree on scope of future investment deal
• Ninth China-Singapore diplomatic consultations
• Shakespeare Lives programme in 2016
• U.K. Home Office announces expansion of its Registered Traveller service
• U.K. Home Office launches new two-year Chinese visa pilot
• U.K. Foreign Secretary visits China
• Download CBI China, U.K.-China Monthly Roundup, January 2016

E.U. and China agree on scope of future investment deal

 

Meeting in Beijing, the E.U. and China negotiators reached clear conclusions on an ambitious and comprehensive scope of the upcoming E.U.-China investment agreement.

This is a major step forward in the E.U.-China talks launched in November and a direct response to the political commitment made by European and Chinese leaders at the June 2015 E.U.-China Summit.

The E.U. and China agreed in particular that the future deal should improve market access opportunities for their investors by establishing a genuine right to invest and by guaranteeing that they will not discriminate against their respective companies.

The E.U. and China are also determined to address key challenges of the regulatory environment, including those related to transparency, licensing, and authorisation procedures, and to provide for a high and balanced level of protection for investors and their investments.

The agreement will also include rules on environmental and labour-related dimensions of foreign investment. The outcomes set the negotiations on a good track to expect a deal offering a real added value for E.U. and Chinese firms investing in their respective markets.

The negotiators will continue working throughout 2016 in order to hammer out the details of the agreement.

Please read more here.

CBI Comments on Chinese Economic Growth Figures (19 Jan 2016)

 

CBI COMMENTS ON CHINESE ECONOMIC GROWTH

The CBI commented on the release of Chinese GDP figures for 2015.

Rain Newton-Smith, CBI Director for Economics, said:

“These figures paint a picture of a Chinese economy which is slowing and rebalancing, but still making a huge contribution to the global economy.

“In recent weeks, financial markets have struggled to digest this situation, alongside further weakness in oil prices. While direct links between the UK and China are relatively small, the spill over effects from China’s economic slowdown, alongside continued volatility in financial markets, amplify the downside risks to growth in the UK.

“Nevertheless, it’s important not to be too downbeat about China or emerging markets more generally. With household incomes up by 7%, and online retails sales growing by 33% last year, China represents a lucrative market for British business.”

19 January 2016

George Bush D: +44 (0)20 7395 8091 | M: +44 (0)7976 090 804

CBI launches 'Best in Class' international export report

With an ambitious national exports target to double export volumes to £1 trillion by 2020 and get 100,000 more companies exporting, the UK’s export performance has never been more in the spotlight.

With this in mind, the CBI has looked at a range of examples of how government export support is provided internationally, across Europe, Asia, and the US to find out what we can learn from the competition.

Building on our report – Business priorities for growing UK exports – published ahead of the UK General Election in May, this report identifies six steps that the government should take as it restructures the way it delivers export support to business.

Taken together, we believe these steps will help make UK government support for exporters “best in class”.

Please click here to view our full report “Best in Class: six steps to deliver world-beating export support”.

http://www.cbi.org.uk/best-in-class/FOREWORD.html

http://www.cbi.org.uk/best-in-class/FOREWORD.html 

U.K. ratifies Articles of Agreement of Asian Infrastructure Investment Bank (AIIB)

 

On 03 December 2015, the U.K. became the first country from outside Asia and the first G7 member to ratify the Articles of Agreement of the Asian Infrastructure Investment Bank (AIIB).

 

The Articles of Agreement act as the treaty at the heart of the new AIIB. Parliament has approved U.K. membership, and the U.K. deposited its formal instrument of ratification of the Articles of Agreement in Beijing.

 

Once operational, the AIIB will support financing for infrastructure projects across Asia, using a variety of support measures—including loans, equity investments, and guarantees—to boost investment across a range of sectors, including transportation, energy, and telecommunications.

 

The work of the AIIB will complement work already being done in the region by existing multilateral development banks, such as the World Bank and the Asian Development Bank.

 

The U.K. was the first major Western country, and first G7 member, to announce its intention to join the AIIB in March 2015. The AIIB’s investment will support economic growth and help drive up living standards in Asia which will benefit the global economy.

 

U.K. membership will also build further links between the U.K. and the fast-growing Asian economies, creating opportunities for British companies.

 

Please read more here.

HMA Barbara Woodward visits SW China

 

 

Following the U.K. Chancellor of the Exchequer’s visit in September, Barbara Woodward paid her first solo visit to Chengdu as British Ambassador to China on 19-20 November.

 

During her visit, Ambassador Woodward met the Executive Vice Governor of Sichuan province, Wang Ning, and the Mayor of Chengdu, Tang Liangzhi, and exchanged views on the U.K.-Sichuan/Chengdu bilateral relationships. In her meetings, the Ambassador highlighted President Xi’s successful state visit to the U.K. in October.

 

She also discussed the Chancellor’s visit to Chengdu in September in which he introduced the Northern Powerhouse. In addition, the Ambassador visited the University of Electronic Science and Technology of China and delivered a speech on the U.K.-China Golden Age: Joint Efforts to a Green and Low Carbon Future to hundreds of students to highlight the U.K.’s and China’s cooperation on clean energy, smart cities, and other areas of low carbon development.

 

She also visited the Gerontology Department and the Tele-health Department of West China Hospital, the second-largest hospital in China. She promised to invite more of the U.K.’s healthcare organisations to Go West and to expand cooperation with West China Hospital and across Sichuan in developing new hospitals, in delivering education and training, and in informatics, telemedicine, and elderly care.

 

The Ambassador also participated in an Empowering Women: Growing Your Career Talk at Fangsuo Bookstore to share her personal experiences with female university students on her own growth and career development.

 

There are now more than 94 U.K. companies registered and doing business in Chengdu and Sichuan—nine of the 94 are in the world’s top 500 companies—in sectors ranging from financial and professional services, aerospace, engineering, construction, and manufacturing.

 

Please read more here.

UK HAS A GOLDEN OPPORTUNITY TO BUILD A NEW ERA OF GROWTH AND PROSPERITY - NEW CBI DIRECTOR-GENERAL, CAROLYN FAIRBAIRN

   

The CBI’s eleventh Director-General, Carolyn Fairbairn, will use her first day in the post to deliver a clear message about issues that she believes matter most for the long term prosperity of the UK.

In her first message to CBI members, Carolyn will say:

“The UK has a golden opportunity to move on from its strong recovery to build a new era of growth and prosperity for the whole country. Among the defining issues will be seizing the opportunities of devolution for growth outside London, closing the productivity gap, and the future of the UK’s relationship with the European Union.

“One of the most exciting opportunities for the UK over the next five years is to make the ideals behind the Northern Powerhouse and growth beyond London a reality, while at the same time supporting the capital to reach new levels of success as one of the world’s truly great cities. The CBI’s role will be to bring a strong business voice to the devolution settlements and then work with the UK’s nations and regions to build momentum for change and growth. Above all, I would like the CBI, and my leadership of it, to be judged on our achievements in making a positive impact on productivity, growth and future prosperity across the whole of the UK.

“UK productivity is 30% below that of the United States and 28% below that of Germany. In a world of accelerating global competition, this is an issue that needs to be addressed urgently. The solutions lie in innovation, people and leadership and in tackling long-term weaknesses in skills and infrastructure.”

On Europe, Carolyn will say:

“On Europe, most of our members want to be in a reformed EU because of the benefits of the Single Market and the CBI is clear on what those reforms are - developing the Single Market, more trade deals, less and better regulation, as well as ensuring that the integrity of non-Eurozone countries such as the UK is protected.

“The CBI does have some members who feel that the UK should leave the EU, or who understandably want to see the outcome of the reforms before finally making a decision. We know this because we are a consultative organisation – and over the last three years, we have held over 130 consultation events with our members across the country. Those members who take a different view on the EU speak up, we listen to and respect their views, and we will consult with them – and all CBI members - again when the Government’s deal has been done.”

Carolyn welcomed the Prime Minister’s letter to the President of the European Council, setting out his reform agenda, as an important step forward. “It set out four areas of reform that touch on most of the concerns of UK business. Our members are supportive of this direction of travel and we look forward to working with the Government to deliver it, and to helping establish how the reforms might work in practice.”

Carolyn Fairbairn at a glance

Carolyn becomes Director-General of the CBI after over 25 years’ experience in UK business, spanning a range of operational and board roles in manufacturing, media, management consultancy and banking. She has extensive boardroom experience, including as a non-executive director of Lloyds Banking Group, The Vitec Group (a medium-sized photographic and broadcast equipment supplier), global outsourcer Capita, the Competition and Markets Authority and UK Statistics Authority. Between 2008 and 2011, Carolyn was a Non-Executive Director of the Financial Services Authority.

As Director of Strategy and Distribution at the BBC she created and launched Freeview. She was also Director of Group Development and Strategy at ITV from 2007-2010.

As a McKinsey consultant and partner, she advised companies across the UK on issues of competitiveness and growth. She worked with firms in sectors as diverse as brewing, DIY retailing, computer services, investment management and newspapers, advising on mergers, business expansion, cost control and global competitiveness. Carolyn later became one of the leaders of McKinsey’s UK media practice, specialising in digital strategy.

From 1995-97, she was seconded from McKinsey as a Special Adviser in Number 10’s Policy Unit, where she advised on health and social services.

She began her career as an economist at the World Bank, before joining The Economist newspaper as a business and financial journalist.

Carolyn read Economics at Gonville and Caius College, Cambridge, graduating with a double-First (1983).  She holds a MBA with Distinction from the European Institute of Business Administration (INSEAD), and a MA in International Relations from the University of Pennsylvania.

16 November 2015

Notes to Editors:

Read Carolyn’s first interview with Business Voice, the CBI’s digital magazine for members.

You can follow Carolyn on Twitter at @CBICarolyn

Across the UK, the CBI speaks on behalf of 190,000 businesses of all sizes and sectors which together employ nearly 7 million people, about one third of the private sector-employed workforce. 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.

Media Contact:

CBI Press Office is available 24 hours a day on 0207 395 8239, or email: [email protected]. Follow the CBI (@CBItweets) on Twitter.

China Business Handbook 2016 - your indispensable China guide

CBBC publishes new China Business Handbook

The China-Britain Business Council (CBBC) has published the China Business Handbook 2016 to help guide U.K. companies of all sizes and sectors in China.

The content draws directly on the experience and expertise of more than 20 of the U.K.’s most successful organisations in China, with each contributing sections in their specific area of expertise.

The handbook covers crucial areas such as exporting to China, e-commerce, free trade zones, tax system, custom procedures, marketing, human resources and employment law compliance, due diligence, intellectual property, and business disputes.

The China Business Handbook 2016 is open to all to download, without charge, to encourage more companies to engage with China. Readers can access the full guide or download one of the 25 plus chapters relevant to their needs.

Please read more here.

CBI Summary of President Xi UK Visit Oct 2015

Dear CBI members and partners,

Please find below an executive summary of President Xi Jinping's recent state visit to the UK.

A detailed and comprehensive report can be downloaded at the bottom of this article.

Headlines:

From 20-23 October, President Xi Jinping made his state visit to the UK—the first by a Chinese president in a decade—where he was welcomed with a remarkable display of pomp, pageantry, and fanfare from the British government and Royal Family.

●Huge Chinese delegation accompanies President Xi: President Xi was accompanied by 150 Chinese business leaders, and almost 1,000 people are estimated to have travelled from China to the UK to participate in the state visit.

●Grand culmination of a very special year for UK-China relations:

Widely touted by both sides to usher in a ‘golden era’ for the bilateral relationship, the state visit marked the grand culmination of what has been a very special year for the UK-China relationship.

Key milestones in the build-up to the visit including the first ever UK-China Year of Cultural Exchange, the Duke of Cambridge’s historic outing to China in March, the UK becoming the first Western European country to join the Asian Infrastructure Investment Bank (AIIB), and UK Chancellor of the Exchequer George Osborne’s visit to China as well as the UK-China People-to-People Dialogue last month.

●Three primary themes underpinning state visit:

The state visit was underpinned by three primary themes—signalling the openness of the UK economy to Chinese business, working together on pressing global issues, and looking to each other as ‘economies of the future’ with the growing complementarity of the UK and Chinese economies.

●Nearly £40 billion worth of agreements: 

Almost £40 billion worth of commercial deals were agreed upon, spanning a wide range of sectors, such as energy, retail, financial services, aerospace, healthcare, transport, education, the creative industries, and more.

Several examples of key announcements included:

1. BP’s multi-billion dollar LNG deal with Huadian

2. Manchester Airport’s plans to host the first direct scheduled flights to mainland China outside of London.

3. Rolls-Royce’s US$2.4 billion agreement to power HNA Group’s new aircraft.

4. EDF and China General Nuclear Power Corporation’s commitment to the construction and operation of the proposed Hinkley Point C nuclear power station.

5. Aston Martin and China Equity’s agreement to explore the development of a production version of Aston Martin’s fully electric RapidE concept.

●Widening the scope of bilateral relations:

The visit showcased the extent to which the UK is striving to build a very broad relationship with China—stretching beyond mere trade and investment—and lay the foundation for robust ties across the government, society, and business communities.

Download CBI China, President Xi Jinping's UK state visit, October 2015