More than 600 Chinese businesses are headquartered in North Rhine-Westphalia, including global players like the ZTE Corporation, Huawei Technologies and the Midea Group. Since 2003, the number of companies from the Middle Kingdom located here has increased six-fold. And the trend is continuing.
Sany, China's largest manufacturer of construction machinery, intends to invest 100 million euros in its North Rhine-Westphalian location in the near future. By the end of 2009, the first excavators, cement mixers and drilling tools will be produced in an industrial area near Cologne. Additionally, the company plans to establish a research and development center here. Cologne already serves as the company's European headquarters, from which it distributes its products to the entire world.
The list of success stories between the Rhine and Weser is long. One example is the China Minmetals Corporation, which laid the foundation for its exceedingly successful company history in 1986 – made in North Rhine-Westphalia. As one of the first Chinese businesses in Germany, the corporation founded a subsidiary, the Minmetals Germany GmbH, in Düsseldorf.
Meanwhile, the company has been operating in the North Rhine-Westphalian region for more than 20 years. For Managing Director Gang Han, the decision to settle here two decades ago marked the beginning of a golden opportunity. “Ever since our first representative branch was founded, the local authorities have actively supported Minmetals' work. We feel very welcome here and are still convinced of the advantages of North Rhine-Westphalia as a business location.”
The Rhineland is particularly popular
75 percent of all Chinese investments in North Rhine-Westphalia are made in the Rhineland. Düsseldorf, Cologne and the Lower Rhine Region are especially high on the list, with the federal state's capital leading the ranks with 38 percent.
The high level of Chinese interest in North Rhine-Westphalia as a business location prompted investor Robert Cao to set up a communal exchange platform in 2005. “For more than 20 years, North Rhine-Westphalia and Jiangsu have maintained a very close partnership. That is reason enough to establish an industrial and cultural center for the Chinese and Germans right in the heart of Düsseldorf.”
The institute serves as a meeting point for Chinese investors and representatives from German businesses. It aims at promoting both the economic and the cultural dialogue between China and Germany. This exchange is aided by lectures, seminars and language courses. Furthermore, the China Center provides consulting services for investors from both countries.
The right conditions
One-fourth of all Chinese people in Germany currently live in North Rhine-Westphalia. Altogether, they amount to nearly 19,000. Cao knows why: “North Rhine-Westphalia offers the right conditions for doing good business.” In particular, the region's excellent infrastructure plays a decisive role for Chinese investors.
Reciprocally, a total of 2,700 companies from North Rhine-Westphalia are represented in China. Internationally renowned corporations like Bayer and ThyssenKrupp as well as various medium-sized businesses such as Dorma, Lanxess China, Oschatz, Phoenix Contact and Vaillant have established branches in the Middle Kingdom.
In 2008, the trade volume between the two countries amounted to 21 billion euros. Of this, exports out of North Rhine-Westphalia constituted 6.6 billion euros and imports to North Rhine-Westphalia made up 14.4 billion euros. The economic powerhouse of China is therefore North Rhine-Westphalia's third-largest import partner and tenth-largest export partner.