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City sees 3,000 foreign firms registered in past 9 months

Shenzhen Daily

Updated:2020-11-26

Shenzhen has presented a stellar performance in attracting foreign capital in the first three quarters of this year despite the COVID-19 pandemic, as more than 3,000 new foreign-invested enterprises have been set up in the city during the Jan.-Sept. period, Shenzhen Special Zone Daily reported yesterday.

Statistics from the Shenzhen Municipal Commerce Bureau show that 3,069 foreign-invested enterprises were set up in Shenzhen from January to September in 2020, attracting US$15.34 billion of contracted foreign investment, a year-on-year increase of 5.86 percent. The actualized use of foreign investment reached US$6.27 billion, up 7.66 percent on a yearly basis.

As of September this year, Shenzhen had approved 95,626 foreign direct investment projects, absorbing US$303.76 billion of contracted foreign investment. Paid-in foreign investment amounted to US$119.75 billion.

"In recent years, foreign-invested enterprises have generated about one-fifth of Shenzhen's GDP, 40 percent of the city's foreign trade and nearly 30 percent of its tax revenue every year," said the bureau.

About 35 percent of Shenzhen's industrial output value above designated size comes from foreign-invested enterprises, which makes a great contribution to the city's economic development, according to the bureau.

Shenzhen's quality business environment has also become a magnet for Fortune 500 companies to set up innovation centers, regional headquarters and R&D centers, and beef up investment in the city. Data shows that nearly 300 of the Fortune 500 companies have invested in Shenzhen.

"Shenzhen can efficiently turn ideas into products, and the local government and business environment are also very trustworthy," said Maximilian Butek, chief representative of the delegation of German Industry and Commerce in Guangzhou.

Butek said that Shenzhen is a "Silicon Valley of Hardware" in the world, which can provide hardware with sufficient supply and at competitive prices.

The bureau disclosed that Shenzhen will strive to relax market access for foreign investors to establish investment companies and engage in audio-visual products production, stem cell medical engineering and other businesses in the city.


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