Tag Archives: Tianjin

Accurate China Insight: How many people from Ireland are living and doing business in China?

As a Chinese language student studying in Beijing in 1989 I recall when all 8 members of the Irish community living in Beijing were evacuated by the Embassy to the safety of Hong Kong, following the June 3rd / 4th massacre in Tiananmen Square. It was a time when down in Shanghai the view from ‘The Bund’ (Wai Tan) across the Huangpu River to Shanghai’s Pudong district offered little more than a jumble of old low-rise warehouses, residential units and farming lots. Foreigners were few and far between. Living in China was considered at best a hardship posting.

Accurate China Insight - Irish population in China

Now, following the establishment in China of close to 150 Irish-owned business operations led by Glen Dimplex, CRH, Treasury Holdings, PCH and Kerry Group, etc, an influx of teachers from Ireland to teach English, and Irish graduates attracted by the growing range of job opportunities on offer to Irish candidates, the number living and working in China (including Hong Kong and Macau) has increased to at least 3,000 Irish citizens (Source: http://www.thepost.ie/themarket/china-in-your-hands-54873.html), an estimate, based on the numbers of citizens registered with the Embassy in Beijing and Consulate in Shanghai, and the volume of consular business (including passport applications, other document applications and consular assistance) conducted.

However, this number is likely to be at the low end of the spectrum simply because:

  1. there is no obligation on Irish residing in China to register with the Embassy and Consulate; and
  2. many Irish scattered across China in cities such as Hangzhou, Urumqi, Changchun, Chengdu, Shenzhen, Shenyang, Dalian, Ningbo, Qingdao, Tianjin and Xiamen, etc., probably haven’t registered with the Embassy or Consulate.

The total number of foreigners living in China at the end of 2010 was about 600,000 people according to the latest Population Census. According to the Xinhua News Agency:

the top three home countries of the foreigners were the Republic of Korea (ROK), the United States and Japan. Among the foreigners living on the Chinese mainland, 56.62 percent or 336,245 were males and 43.38 percent or 257,587 were females”.

Note: The Embassy and Consulate are restricted in law in how the citizens register is used and cannot make it available outside the Embassy and Consulate. The more people who register with them the more accurate the estimate can be.

Sources:
The Sunday Business Post-

http://www.thepost.ie/themarket/china-in-your-hands-54873.html

Xinhua-

http://news.xinhuanet.com/english2010/china/2011-04/29/c_13851456.htm

Accurate China Blog http://www.accuratelimited.com/blog.view.php?id=1whhJh5C+5Y=

Niall O’Reilly

Accurate Ireland – China Product & Business Development (Export Sourcing Import) Consultancy

Tel: +353 1271 1830 / +86 15257194468

http://www.accuratelimited.com

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Filed under Accurate China Business Services, Accurate China Insight, Ireland, Irish

Accurate China Insight: If your business is product sourcing: How competitive is the ‘Made in China’ brand?

Despite the Chinese Government’s past success at restraining inflation, accelerating food, fuel, raw material and labour costs have resulted in a widely held belief that average inflation rates of 4 to 5 percent are here to stay in China, at least over the over the next decade.

Which raises the question: With rises in wage and manufacturing costs set to be the norm is China still competitive as a product source for Ireland’s importers? Accurate China Insight: If your business is product sourcing: How competitive is the 'Made in China' brand?

Ireland’s importers are right to exercise caution when sourcing from China.  However, China still has much working in its favour:

  1. China is politically stable, and such stability is good for business
  2. Low cost countries surrounding China are also weathering an inflation contagion, with inflation rates in Vietnam, India and Pakistan increasing at a much faster rate.

June 2011 Inflation Rates:

Vietnam 20.8%

Pakistan 13.3%

India 8.7%

China 6.4%

Indonesia 5.5%

Malaysia 4.6%

Philippines 4.6%

Thailand 4.1%

(Sources: Respective country central banks) 

3.  Production costs in China are still low, despite rising costs.

4. Skills levels are generally high. While China’s factories could be said to be still at an early stage in their execution of innovative manufacturing techniques, their production processes are still well ahead of similar production operations in surrounding low cost countries.

5.  The striking effects of the ‘Clustering’ in China’s three economic powerhouses [Pearl River Delta (from Hong Kong to Guangzhou), Yangtze River Delta (Hangzhou, Suzhou, Nanjing and Shanghai) and the area around Beijing and Tianjin] which have resulted in the construction of excellent infrastructure, a concentrated material supply chain, and an experienced and skilled labour force.  There is no evidence of such a clustering blend being prevalent in other surrounding low-cost countries.

6.  Productivity and industry familiarity.  While the costs of labour and logistics, as well as labour availability, are driving up factory output costs along China’s coastal rim, cities in central and China, such as Wuhan, Chengdu, Chongqing, Zhengzhou and Hefei, and their surrounding provinces, are much more cost competitive with respect to the manufacture of products in which the value-added and process complexity is low.  Meanwhile, the coastal manufacturing hubs, with their knowledge of particular manufacturing industry sectors, are becoming more focused on complex, skill intensive factory production.  In surrounding low cost countries such instances of high productivity levels and industry knowledge are limited.

The biggest issue for Ireland’s importers relates to fluctuating oil prices and their impact on the cost of shipping products sourced from China to Ireland, which is a worldwide occurrence.

Source:

Niall O’Reilly

Director for China, Irish Exporters Association

Accurate Ireland – China Business Advisers – Products & Services Sourcing | Business Development Consultancy

Tel: +353 1271 1830 / +86 15257194468

http://www.accuratelimited.com

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China – Under The Hood: The Curious Case of the Ireland Pavilion at Shanghai World Expo 2010: Rebuilt in Zhejiang Province or Tianjin?

According to a local Chinese language newspaper, the Ireland Pavilion is to be demolished by end of April and then moved to Keqiao (http://www.chinashaoxing.com/english/), a non-descript city in Shaoxing County, Zhejiang Province, which is not far from Hangzhou.

The cost of demolition and reconstruction is estimated at about RMB 10 million (or Euro 1.1 million at today’s rate), and compares to the reported Euro 9 million cost of building and running the Ireland Pavilion at the Shanghai World Expo 2010.

Chen Qimiao, respected local bigshot, a.k.a. Secretary-General, Shaoxing County Textile Services Designers Association is behind the move, which will see the Ireland Pavilion reconstructed as a fashion culture landmark in Keqiao, highlighting the innovative side of Shaoxing‘s traditional textile industry.

The outcome, according to the article, was negotiated directly with the Irish Government.

http://www.shaoxing.com.cn/news/content/2011-03/02/content_576433.htm

And yet there are others who claim to have inside knowledge the Ireland Pavilion was gifted by the Department of Taoiseach (the one from Offaly) to Tianjin city for an ‘Ireland village project‘. “…Don’t believe the Keqiao scam” says ZWQ (Patrick) of the Ireland China Business Network (ICBN) … “the Irish government owes money to the builder of the pavilion in China and has agreed to use the building material (after it’s demolished) to offset against the outstanding balance. The (Irish) government has never authorised anybody other than Tianjin city government to rebuild the pavilion. The officials from Tianjin came to Ireland to sign the memorandum. The builder might have sold the material to this guy in Keqiao“.

An Irish solution to an Irish problem? No matter who and where, the curious case of the Ireland Pavilion can certainly be explained by someone in the Department of Taoiseach.

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Filed under China, China Ireland, China Under The Hood, Ireland, Shanghai, Tianjin, World