Sovereign Trust (China) - 中文网站
Level 29, Shanghai Kerry Centre
No. 1515, Nanjing Xi Lu
People's Republic of China
Telephone Number: +8621 6103 7089
Fax Number: +8621 6103 7556
Tony W. Huang
English, Chinese (Mandarin, Cantonese), Dutch
The People's Republic of China has become one of world's most exciting emerging markets in which companies are investing. With its massive population of over 1bn people; its sustained economic growth rates and its low labour costs; more and more companies, both large and small, are looking to achieve efficiencies by developing a China operation.
These operations are taking advantage of two main areas of opportunity or perhaps a combination of both. The first is the setting up of operations for the sourcing or production of goods for export. China's cheap, and increasingly sophisticated, workforce, excellent shipping and port services and a well-tried modus operandi, has resulted in the label "Made in China" becoming ubiquitous on a diverse array of goods.
Secondly, China's rapid economic development has created a growing market for raw materials, sophisticated manufacturing products and systems, consumer goods and professional services.
For a firm wishing to enter the China market the complexities of the operation can at first seem extremely bewildering. Not only are there the normal concerns of business viability and cost structures, but issues are further compounded by the various types of entity through which an operation can be set up. Each of these has its own set of operating restrictions and tax treatments. China also divides foreign goods and services into three categories - encouraged, accepted and prohibited, all of which can command different approaches to their establishment. China's legal and accounting system is run on very different lines to the West. Reliable information is not easy to find and China is rapidly overhauling its legal, financial, accounting and tax systems to meet reform programmes. All this means that a potential investor is faced with daunting obstacles in setting up his operation. Some see the above as a barrier to entry. However, provided the business plan is well thought through and the method of entry is based on sound advice, the rewards can be tremendous.
In order to assist our clients to move efficiently through this maze, Sovereign has set up a team of highly experienced China experts to assist in all stages of China entry. Our integrated approach can ensure that clients make the right choices and can help them through all stages of setting up a presence in China