Doing Business with China
Foreign direct investment in the province increased by 40.64 per cent in 2000 (see Table 7.19.4). The total number of contracts approved in the year was 4245, involving a total contracted investment of US$8.68 billion. 67.42 per cent of the approved contracts were for solely foreign-owned enterprises , while their contracted investment comprised 66.64 per cent of the total contracted investment.
| Approved contracts | Actual utilization | ||||
|---|---|---|---|---|---|
| Mode | Number | Total value (US$ million) year's total value | % change over previous year | Total value (US$ million) year's total value | % change over previous year |
| 1995 | |||||
| Direct foreign investment: | 8,177 | 24,832.44 | 4.23 | 10,180.28 | 8/33 |
| Equity joint ventures | 3,071 | 8,165.54 | 3,573.36 | ||
| Contractual joint ventures | 2,416 | 9,641.46 | 4,064.61 | ||
| Solely foreign-owned enterprises | 2,690 | 7,025.44 | 2,254.31 | ||
| 2000 | |||||
| Direct foreign investment: | 4,245 | 8,683.93 | 40.64 | 12,237.2 | 0.28 |
| Equity joint ventures | 956 | 1,530.69 | 41.07 | 3,137.85 | -23.17 |
| Contractual joint ventures | 426 | 1,312.93 | -1.22 | 3,763.71 | -2.97 |
| Solely foreign-owned enterprises | 2,862 | 5,787.05 | 54.42 | 5,280.16 | 26.40 |
Of the 4,245 newly approved foreign direct investment projects, over 80 per cent were intended for production- related projects. Foreign direct investment came from 50 countries and regions , among which Hong Kong was first in terms of aggregate contract value (see Table 7.19.5).
| Source of FDI | No. of projects | Contract value (US$ million) |
|---|---|---|
| Hong Kong | 2474 | 4122.19 |
| British Virgin Islands | 380 | 1816.92 |
| Taiwan Province | 482 | 483.54 |
| Singapore | 76 | 465.16 |
| United States | 193 | 443.89 |
| Cayman Islands | 26 | 205.78 |
| Japan | 51 | 196.08 |
| Western Samoa | 52 | 161.51 |
| Macao | 304 | 128.63 |
| Republic of Korea | 52 | 81.43 |
| Australia | 31 | 75.07 |
| UK | 18 | 71.58 |
| Netherlands | 14 | 59.48 |
| France | 7 | 56.70 |
By the end of 2000, the number of approved foreign- invested enterprises in the province had reached 83,800. In 2000, the total export value of foreign-invested enterprises was US$49.55 billion, accounting for 53.9 per cent of the total export value of the province.