1. Doing Business in China
Daniel GAO
Economic & Commercial Office
Chinese Embassy

2. China In Brief
 Official name: People’s Republic of China
 Capital city: Beijing
 National Language: Standard Mandarin
 Geographical Divisions:
-22 Provinces
- 4 Municipalities
-5 Autonomous Regions
-2 Special Administrative Region.
 Population: 1.3 billion
 Currency: RMB

4. China’s Economy (2011)
 GDP: $7.29 trillion, Rank 2nd
 GDP growth: 9.3%
 GDP per capita: $5,414 (90th)
 GDP by sector:
 Agriculture: 10.1%
 Industry: 46.8%
 Services: 43.1%
 Inflation (CPI): 5.4%
 Labor force :795.5 million
 FDI stock: $100 billion (2010)

5. China’s Economy (Cont)
Main industries
 mining and ore processing
 iron, steel, aluminum, coal and other metals
 machine building
 textiles and apparel
 Petroleum and chemicals
 Cement
 consumer products (footwear, toys, electronics)
 transportation equipment (automobiles, cars and
locomotives, ships, and aircraft

6. Export from China
 Export Volume: $1.904 trillion
 Export goods:
--Electrical
--Machinery (data processing equipment)
--Apparel and textiles
--Iron and steel,
--Optical and medical equipment
 Main export partners:
US 17.1%, Hong Kong 14.1%, Japan 7.8%,
South Korea 4.4%, Germany 4% (2011)

7. Import into China
 Import Volume: $1.743 trillion
 Import goods:
--Electrical and machinery
--Oil and mineral fuels
--Optical and medical equipment
--Metal ores, plastics, organic chemicals
 Main import partners: Japan 11.2%,
South Korea 9.3%, US 6.8%, Germany
5.3%, Australia 4.6%

8. Ireland China Trade Relations
(2011)
 Trade volume: $ 5.87 bn, up 8.6%
 Irish exports to China: $ 3 .7 bn, up 8.5%
 Irish imports from China: $ 2.17 bn, up 8.7%
 5th year as 1st biggest trade partner in Asia
 3rd year with Irish trade surplus against China

9. Ireland China Mutual Investment(2011)
 Over 110 Irish companies operating 241
projects in China
 Irish investment in China: $ 641 million
 China’s investment in Ireland: $ 148 million

10. CSO Stats on Bilateral Merchandized Trade
* China includes Hong Kong and Macau

11. Trend of Irish Export to China
Mn Euro
Total exports Exports to China
No Product
2001 2009 Growth(%) 2001 2009 Growth(%)
0 Food and live animals 5725.7 6266.2 9.44 5.163 44.46 761.20
1 Beverages and tobacco 958.1 1069.9 11.67 0.041 1.239 2921.95
2 Crude materials, inedible, except fuels 923.9 960.1 3.92 3.525 87.332 2377.50
Mineral fuels, lubricants and
3 285.5 596.1 108.79 0.004 0.036 800.00
related materials
4 Animal and vegetable oils, fats and waxes 23.4 19.9 -14.96 0.000 0
5 Chemicals and related products 32274.6 47242 46.37 43.012 242.16 463.00
Manufactured goods classified
6 1966.3 1234.7 -37.21 14.646 6.152 -58.00
chiefly by material
7 Machinery and transport equipment 37922.7 13739 -63.77 249.36 1189.7 377.10
8 Miscellaneous manufactured articles 8781.6 9114.2 3.79 22.153 51.542 132.66
Commodities and transactions
9 2786.1 2464.8 -11.53 0.559 16.924 2927.55
not classified elsewhere
Note: All statistics does not include HongKong/Macau/Taiwan.

12. Irish Brands in China

13. China’s Brands in Ireland

14. Buying from/Selling to China
Search: www.alibaba.com
www.made-in-china.com
Research:
1. Ask for related certificates (trade licence,
product certificates, sanitary certificates, etc)
2. Look at the website and reviews by other users
3. Contact consulting firms for help (Chinaportal)
Decision: go on or stop

15. Custom Duty
 Regulator: General Administration of Customs
(GAC , http://english.customs.gov.cn)
 Overall average tariff level: 9.8%
 Agricultural products 15.2%
 Industrial goods: 8.9
 Types of duties and taxes
China’s Import Tax Rate
Customs duties Varies on type of product
Value Added Tax (VAT) 17%
Consumption Tax 5-40% depending on product
Vessel Tonnage Tax RMB 0.45 to 9.3% per ton

16. Import and Export Licences
 special licences required prior to import into or
export from China for pharmaceuticals,
encryption technologies, chemical fertilizers, and
products containing “home-grown” technologies.
 Issued by Ministry of Commerce (MOFCOM)
 Importers & Exporters need to make accurate
declarations and submit the requisite import or
export licences to Customs for examination for
the release of the products.

17. Fraudulence?
 Frank communication and negotiation
 Ask for legal support
 Report to the local government bureau
 Report to the local police station
 Complain hot lines (in Chinese )
 12330 IPR related
 12390 copyright infringement
 12365 product quality
 12315 customer complaint
 12360 custom issues

18. Business Contributors
Source: UCD Confucius Institute for Ireland

19. Time
language
information
procedure cultural differences
currency
law
price

20. Your strategy for doing business in PRC
is PRC
------ Confucius Institute for Ireland

21. Embassy’s Role
 promoting and enhancing bilateral economic,
trade and investment cooperation
 providing business information and consultation
services to companies from both countries
 facilitating trade and investment activities
(business trips/exhibitions)
 keeping close contact with relative Irish
government
departments/agencies/associations/chambers,
rendering guidance to Chinese companies’
business development in Ireland

22. Contact
Tel: 01-2600580
Fax: 01-2696966
Website: ie.mofcom.gov.cn
Email: commercial@embassyofchina.ie
Address: 77, Ailesbury Road, Dublin 4

23. Go raibh maith agaibh !