Dongguan City Association of Enterprise with Foreign Investment recently released the “2018 Annual Analysis Report on Operation of Member Enterprises” (hereinafter referred to as the “Report”). According to the statistics of the Report on 376 member enterprises, the interviewed enterprises have full confidence with regard to continued development in Dongguan. Over 90 percent of the interviewed enterprises expressed willingness to develop in Dongguan. The revenues of domestic sales and investment in R&D of the interviewed foreign-invested enterprises are on the rise from year to year. Among the enterprises having established R&D institutions, 86% of them have established their R&D institutions in Dongguan.
The domestic sales revenues of the interviewed foreign-invested enterprises experience growth for three years in the running
It is learned that the 376 member enterprises investigated in the Report are mainly from such industries as electronics, electronic appliances, textile, clothes, metal parts, plastic processing, machinery and mold. The earliest of them coming to invest in Dongguan was in 1979 and the latest in 2018, with the average being 17 years. The sales revenues of the interviewed enterprises in 2018 totaled 130.4 billion RMB.
Among the interviewed enterprises, 56.12% of them have conducted domestic sales businesses and 19,68% of them dealing with export businesses only. In 2018, the average domestic sales revenues of the interviewed enterprises account for 42.19% of the total sales revenues with the average domestic sales revenues being 152.92 million RMB. The figure has been on the rise in the past three years.
In terms of new investment intention this year, 84.04% of the interviewed enterprises remain unchanged and 3.58% of the enterprises are planning for capital increase and production expansion. In addition, 57.45% of the interviewed enterprises have demand for land and 31.6% of them are hoping for a “green channel” for renting and extending the rent of collective industrial factories; 22.48% of the enterprises hope to increase the floor area ratio of industrial land and land for warehousing; 13.03% of the enterprises are looking for help from government departments to assist in resolving land issues left from the past.
80 percent of the enterprises with research institutions plans to establish research institutions in Dongguan
The interviewed enterprises demonstrate great confidence concerning sustained development in Dongguan. Over 90 percent of the interviewed enterprises expressed willingness to continue to develop in Dongguan. Among the interviewed enterprises, 26.6% have established R&D institutions and the earliest R&D institution was established in 1988. The average age of theses R&D institutions stand at 7 with total investment of over 2.5 billion RMB.
Statistics show that concerning the industries of the interviewed enterprises having established or planning to establish R&D institutions, the enterprises in electronics and electronic appliances have the highest percentage of 30.77%, following by machinery and mold of 11.54% and textile and clothes of 10.58%.
Among the enterprises having established R&D institutions, 86% of them chose to establish their R&D institutions in Dongguan.
The average time for the interviewed enterprises investing in Dongguan registers 17 years and over 90 percent of them are Hong Kong-invested enterprises. This indicates that the Hong Kong investors coming to develop in Dongguan are mostly middle-aged or old-aged. It is pointed out in the Report that for sustainable development of these enterprises in Dongguan, a young generation from these enterprises are needed to carry forward the development.
Source: timedg.com
