Business climate

Fujian sees increasingly favorable business climate

Fujian's gross domestic product (GDP) jumped from nearly 2 trillion yuan to 3.2 trillion yuan($510.8 billion)over the past five years, registered an average annual growth of 9.3 percent and outpaced the national growth rate of 7.1 percent.

The province's fast economic growth in 2016 ranked it among the top 10 provinces and regions in the country in GDP for the first time. Meanwhile, the government's general public revenue also increased by 53 percent over that five-year period.

All these statistics fully reflect the increasingly favorable business climate in Fujian, according to Tang Dengjie, governor of Fujian Provincial People's Government.

Tang made the remarks in March, this year when answering questions from reporters during the ongoing national legislative session.

He also emphasized that it will also capitalize on its privileges as a national policy pilot zone to boost the development of enterprises in the region, and go to all lengths to nurture a fair business environment based on law.

The measures he mentioned in the interview include increasing government credibility, protecting intellectual property and encouraging entrepreneurs' participation in business policy making.

Fujian ramps up efforts to relieve corporate burden

Fujian province is set to beef up efforts to cut excessive taxes and charges on local companies as part of its broader push towards a better business climate and invigoration of economic growth, local authorities said.

The Fujian Provincial Department of Finance, along with three other departments, announced at a press conference in May that cost cuts for businesses in Fujian in 2018 are targeted at roughly 18 billion yuan ($2.8 billion).

To achieve that goal, it plans to further lighten corporate burdens by reducing costs for electricity, telecommunications, transportation and logistics.

According to a government guideline issued in mid-May, companies in Fujian will be granted a 10 percent cut on electricity costs on an average basis.

Meanwhile, more chargeable items on administrative fees for the corporations will be lowered or canceled, and incremental cross-departmental efforts will be made to prevent illegal charges and ensure that these policies indeed work out effectively, it says.

Statistics show that in the past two years, Fujian has taken a series of measures to help local companies to reduce costs, with the total reduction exceeding 100 billion yuan.

Relieving burdens on corporations plays a significant role in boosting the real economy, said Huang Jianqing, deputy head of the Fujian Provincial Department of Finance, noting that growth of the real economy acts as a powerhouse in the province's drive to promote economic restructuring for high quality development.

Fujian sees boom in foreign trade

The imports and exports in East China's Fujian province reached 386.7 billion yuan ($60.57 billion) in value from January to April in 20158, up 6.8 percent year-on-year, official statistics show.

The imports over the period amounted to 232.5 billion yuan, an increase of 9.8 percent, much higher than the national average growth rate, which stood at 6.4 percent.

In 2017, the exports and imports in the province maintained a 12 percent annual growth speed rising to 1.16 trillion yuan in total.

Fujian's great growth momentum in foreign trade is largely due to a portfolio of policies rolled out by local government.

According to official data, Fujian FTZ, to date, has issued more than 300 measures to promote a streamlined customs clearance procedure covering all the ports in the region. With coordinated work of 35 government departments, businesses in the sector are entitled to a one-stop service with greater efficiency.

Fujian's homegrown brands, thus far, have gained footholds in the markets across over 200 countries and regions. By virtue of the congenial business climate, Fujian also emerged as a favored destination for Multinational corporations (MNCs).

Earlier this year, e-commerce giant eBay set up a new branch in Fuzhou, the capital of Fujian, its second branch in China after Shenzhen.

Also Amazon.com Inc, a US-based global e-commerce titan, established a unit in Xiamen, Fujian, in 2012, seeking to expand and better tap into the country's then fledging e-commerce market.