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Added: April 22, 2008 This presentation is Public
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China – lots of big figures : China – lots of big figures 1.3 billion people FX reserves – US$ 210 billion GDP growth next 5 years – average 7.5% FDI up 30 % in 2002 – 60% of Asian FDI In 2003 – Exports up 26%, Imports up 36% 1,200 publicly listed companies 10 million new first time investors


Slide2 : 600 million potential consumers Disposable income up 5.7% National US$ 1350 Urban US$ 2010 (Shanghai – US$ 3,590) Rural US$ 870 Eat first, save second – savings rates of 40% - US$ 971 billion Consumption up 10% 53% of urban Chinese own their own house 14% of rural households buy/build new home in 5 years World’s number one for mobile phones – 230 million users Growing middle class One market, 7 regional markets or 30 markets ? More big figures


Slide3 : China – lots of problems Agriculture Sector can only support 100 million people Unemployment - need to create 20 million jobs per year Ageing population Environmental degradation Social resistance Disparity between rich and poor, both within and between regions Concern about financial strength of Banks


Slide4 : WTO Everyone still coming to terms with the implications of WTO accession Still significant local protectionism But tariffs are coming down Non tariff barriers are reducing slowly Great interest in opening of services market, education, insurance banking accounting.


Slide5 : The market Big shakeouts in most industries cars, energy, Alternating between oversupply and shortages Still a great deal of murkiness and lack of transparency Fiercely competitive Not cheap to operate and sustain a presence in China Very difficult to be competitive without some form of local partner, or local presence


Slide6 : Queensland exports about $1 billion each year to China Mostly raw materials, minerals agricultural goods These figures do not include tourism or education Other areas where we see opportunities for Queensland include Tourism development Coal mining technology Agricultural technology Building and construction – Beijing Olympics, World Expo 2010 “Smart stuff”


Slide7 : State Development have two offices in China, Hong Kong and Shanghai State Development compliments the services offered by Austrade in China State Development runs several China trade missions each year and you should contact your local State Development Centre for updated information on this.