Ningbo is a harbor city in Zhejiang province and one of China’s most prominent ports. The Ningbo-Zhoushan port is the fifth-largest in the world and the third-busiest in China after Shanghai, Shenzhen and Hong Kong. It is bound by the East China Sea and Zhoushan Archipelago in the east, by Hangzhou Bay in the north, by Shaoxing in the west, and by Taizhou in the south. In 2007, the Hangzhou bay bridge was built, connecting Ningbo with its neighbors. Ningbo has established intermodal rail services that connect it to 13 inland ports. It also has the largest specialized dock for storing liquefied chemical products in China.
Ningbo serves as the economic center for the southern Yangtze River Delta and has been ranked among the most competitive cities in China. The municipal government of Ningbo encourages foreign investment and various multinational corporations (MNCs) have established operations in and around Ningbo. In 2013, Ningbo’s GDP reached US $108.3 billion (RMB 712.89 billion), up 8.1 percent year on year with an annual growth rate of 9.26 percent. Ningbo’s exports totaled US $65.7 billion while imports amounted to US $34.6 billion. The city ranked second in economic performance for Zhejiang province in 2014, trailing only Hangzhou
Ningbo has a sister city relationship with four cities in the U.S. – Wilmington, Delaware (1988), Houston, Texas (2000), Milwaukee, Wisconsin (2006) and Norfolk, Virginia (2013).
Located in the
southern wing of the Yangtze River Delta region and southeastern part of East
China's Zhejiang Province, Ningbo has experienced sustainable and rapid
economic development since China launched the reform and opening-up in 1979.
In 2016, Ningbo
recorded a GDP of 854.11 billion yuan ($129 billion), a growth rate of 7.6
percent. Its per capita reached 108,804 yuan, with an increase of 7.0 percent.
As an industrial
hub and a manufacturing powerhouse, Ningbo registered an industrial output of
376.66 billion yuan in 2016, with strengths in auto manufacturing, tobacco,
petrochemicals, home appliances and clothing industries.
Endowed with
favorable harbor logistics conditions, Ningbo is a major coastal open city with
its total amount of foreign trade exceeding $100 billion. In 2016, the cargo
handling capacity of Zhoushan port of Ningbo reached 920 million tons, ranking
first in the world. It handled 21,561,000 standard containers in 2016, making
it the world's 4th largest international port.
As an industrial
hub and a manufacturing powerhouse, Ningbo registered an industrial output of
376.66 billion yuan in 2016, with strengths in auto manufacturing, tobacco,
petrochemicals, home appliances and clothing industries.
Ningbo has been
designated as one of the first pilot areas for the "Made in China
2025" plan. The decision will enable Ningbo to experiment and explore new
models for manufacturing, the Ministry of Industry and Information Technology
(MIIT).
To anchor
potential investment and business development, Ningbo has worked to improve its
policy and economic environment. For example, since Jan 1, 2016, electricity
fees for industrial users have been cut by 0.045 yuan per kilowatt-hour, easing
the burden on enterprises by 3.8 billion yuan annually. Meanwhile companies
without self-supported power facilities are subsided by a reduction of 0.2 yuan
for every kilowatt-hour used.
To facilitate people who want to invest and set up business in Ningbo,here is an introduction of Types of business presence in China:
Before starting up a business in China, you have to know what are the options. Foreign Investors generally establish a business presence in China in one of five modes: Wholly Foreign Owned Enterprise (WFOE); Representative Office; Foreign Invested Partnership Enterprises (FIPE); Joint Venture and Hong Kong Holding Company.
Wholly Foreign Owned Enterprise (WFOE) is a Limited liability company wholly owned by the foreign investor. WFOE requires no registered capital and it's liability of equity , can generate income, pay tax in China and it's profit could be repatriate back to investor's home country. Any enterprise in China which is 100 percent owned by a foreign company or companies can be called as WFOE.
Representative Office(RO) is a Liaison Office of it's parent company. It requires no registered capital. It's activities would be: product or service promotion, market research of it's parent company's business, Quality Control liaison office etc in China. RO generally is prohibited to generate any revenue nor generating contracts with local businesses in China.
Joint Venture (JV) is a Limited liability company formed between Chinese investor and Foreign investor. The parties agree to create a entity by both contributing equity, and they then share in the revenues, expenses, and control of the enterprise. JV usually been used by foreign investor to engage the so called restricted in areas such like: Education, Mining, Hospital etc.
Since March 1, 2010: Measures of Establishmentof Foreign Invested Partnership Enterprises (FIPE) in China is taking effect. The regulation, which take effect since March 1, 2010, are known as the Administrative Measures for the Establishment of Partnership Enterprise in China by Foreign Enterprises or Individuals. There's no required minimum registered capital for a Foreign Invested Partnership Enterprise (FIPE) in Ningbo , Beijing, Ningbo , Shenzhen, Hangzhou and rest cities of China
Hong Kong Company usually been used as a Special Purpose vehicle (SPV) to invest Mainland China. Hong Kong is one of the quickest locations to Incorporate a business. Although a HK company is not a legal entity in Mainland China (Mainland China and Hong Kong, See Wiki 1 country, 2 systems), lots foreign investors, especially investors from Europe and North America still chose to setting up a Hong Kong company as SPV to invest China.
After China's entry to WTO, most industries in China welcome foreign investment, WFOE setting up in China becomes the first option of foreign investment's entity structures instead of Rep.Office setting up in China. At the mean time, for tax purpose, effective licensing system etc more and more investors use Hong Kong as the holding company to invest China mainland, using this offshore company to hold their operations in China.
Business set-up in Ningbo is a big project by itself, which requires financial and time commitments, business management knowledge and China expertise. Identifying a competent agent to manage the complex process will be a cost and time effective way to avoid potential pitfalls . Tommy China Business Consulting has direct connections in the local government
Since 2006, TCBC has been focusing on consulting services for our clients to invest in Ningbo China. We are specialized in establishment of wholly foreign owned enterprises (WFOEs), setting up of offshore companies, trading services, tax minimization, Assist in obtaining government approvals and certificates for running business,negotiate and draft various legal documents provide legal advice, negotiate government officer for Land acquisition. Advising on formation of WOFE and business structures, managing and controlling WOFE in Ningbo China, drafting privacy policies and structuring commercial transactions
TCBC will manage all aspects of incorporation to get you a business license in Ningbo China. We offer a range of company formation services including helping you to set up:
-Wholly Foreign Owned Enterprises (WFOE )
-Joint Ventures (Equity/Co-operative)
-Foreign Invested Partnership Enterprises (FIPE)
Contact Tom Lee for business registration in Ningbo now.
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