Sichuan Economy and Trade Trends

Monthly, December 2015

Published by CCPIT Sichuan Council

Contents

Macro Economy

Industries above Designated Size with a YoY Growth of 7.9% in the First Ten Months of 2015

In the first ten months of 2015, Sichuan Province presents a year-on-year growth of 7.9% in its above-size industrial value, with a growth rate 0.1% lower than the first nine months of 2015 and 1.8% higher than the national average.

The main reason for the slight drop of the year-on-year growth is that the added value of industries above designated size declined by 1% in October, which had an adverse impact on the industrial accumulative growth. “It is normal. Our industrial economy keeps growing slowly but steadily”, said by relevant personnel from the Industrial Statistic Department of the Statistic Bureau of Sichuan Province.

Among 41 industries, 36 of them presented a growth in industrial added value in the first ten months. Wherein, the nonmetallic mineral products industry, automobile industry, computer, communication and other electronic equipment manufacturing industries as well as chemical raw material and chemical products manufacturing industry achieved growths of 22.3%, 10.6%, 1.3% and 11.8% respectively. The four industries provided an aggregate contribution rate of over 50% to the industrial economy of the province.

New projects played a significant role in the economic growth. By the end of October, 420 newly-founded enterprises, mainly engaged in nonmetallic mineral products industry, computer, communication and other electronic equipment manufacturing industry, etc. formed a new growth point of Sichuan’s industrial economy.

Sichuan Province made a total investment of RMB 2.17923 trillion in fixed assets in the first ten months of 2015, with a year-on-year growth of 10.6%. Compared with the growth rate of the first nine months, it presents a slight drop of 0.2%. Wherein, the fixed assets investment (excluding peasant households) reached RMB 2.09314 trillion, with a year-on-year growth of 11.7%. Primary industry demonstrated the highest investment growth rate, followed by tertiary industry. Secondary industry achieved an investment growth of 2.7%. In terms of real estate development, the sales area of commercial apartment continued to increase with a year-on-year growth of 6.0%.

Consumption continued to grow rapidly. Total retail sales of consumer goods attained RMB 1.12577 trillion, presenting a year-on-year growth of 11.9%. Its growth rate was 1.3% higher than the national average. (November 28^th, Sichuan Daily/Dong Shimei)

Sichuan Ranks among the largest E-Business Cities inChina

Presently, there are 100,000 e-business enterprises and more than 250,000 on-line stores in Sichuan. Direct employment figure reached over 2 million and indirect employment figure exceeded 8 million. More than 50% of the enterprise above designated size and over 80% of the large-scale commercial circulation enterprises have carried out on-line activities.

Throughout 2014, e-commerce trade volume of Sichuan broke RMB 1 trillion for the first time, accounting for 10.3% of the national total volume, ranking top in westernChinaand 6^th throughout the country. In 2015, the e-commerce trade volume of Sichuan is expected to reach RMB 1.8 trillion. (December 16^th, Sichuan Daily/Zeng Xiaoqing)

Foreign Trade

300 More Freight Trains for Chengdu-Europe Express in 2016

The commuting frequency of Chengdu-Europe Express will be increased to 300 in 2016. In addition, Chengdu will implement the “productivity-oriented investment attraction” plan to encourage more leading enterprises from Europe and other regions ofChinato set branch offices in Chengdu.

Presently, several giant leading enterprises have been in negotiating with Chengdu municipal government. Meanwhile, Dell and other European enterprises that have been operating in Chengdu were invited to transfer their headquarters to Chengdu.

The 6^th Plenary Session of the 12^th Committee of Chengdu included in the 13^th Five-Year Plan the target to build an international-inland-type comprehensive transportation hub and a logistics center that extending to all directions in the world. For this purpose, the government plans to propel the overall construction of airport, railway, highway, shipping and urban transportation and improve the external 3D transportation system.

With such a target, Chengdu municipal government expected to open more regular high-frequency bi-direction Chengdu-Europe express trains and China-Asia trains, consolidate the position of Chengdu as the largest railway and logistics hub in westernChinaand try to establish a port railway hub that bridges Europe, Pan-Asia and other countries opening to the western part. (December 7^th, Sichuan Daily/Ran Qianting)

14 Korean Companies Seeking Cooperative Opportunities inChina

14 Korean enterprises came to Chengdu and took part in the Chengdu Hi-Tech Zone-Korea Pusan Product Promotion and Economic and Trade Fair held on December 9^th. After the establishment of China-Korea Innovation Park in Chengdu, it was the first economic and trade fair between Chengdu andKorea.

As the cooperative relationship between Sichuan andKoreagetting closer, more and more Korean enterprises show their interests in the innovation opportunities and industrial environment of Chengdu. The western representative office of the research institution has been set in Chengdu, aiming to carrying out more economic and trade communication activities for enterprises both in Sichuan andKorea.

The research institution signed a four-party agreement with Sichuan Institute of Electronics, the Chengdu E-Commerce Association and the Chengdu Hi-Tech Enterprise Confederation at the event. Fifty excellent undergraduates inChinawill be selected to go toKoreafor an exchange programme and at least ten young creative talents will be chosen for a joint support plan. Chengdu-Korea Entrepreneur Salon will be founded to enhance the economic and trade cooperation betweenChinaandKorea. Furthermore, many product promotion activities including “Korean Enterprises Visit toChina” and “Chengdu Hi-Tech Enterprises Visit toKorea”, etc. will be carried out every year. (December 10^th, Sichuan Daily/Xu Lisha and Zhang Lan)

December 12^th, 2015 Witnessed the Opening of Non-Stop Flights from Chengdu to Paris

Flight CA457 carrying 177 passengers took off at 3:14 AM on December 12^th 2015 from Chengdu Shuangliu International  Airport to Paris Charles de Gaulle Airport. It symbolizes the official opening of the non-stop air route from Chengdu to Paris. To date, the total number of routes from Chengdu to foreign countries and regions has been increased to 85 and non-stop routes from Chengdu to Europe have reached 5. Previously, people could take non-stop flight from Chengdu to Amsterdam, London, Frankfurt and Moscow. Now, people can fly directly to any of the four busiest airports in Europe from Chengdu. (December 13^th, Sichuan Daily/Wang Meiling)

Key Projects

The First Park Natural Gas Distributed Energy Project Commenced in Sichuan Province

Serving as one of the key projects jointly carried out by Sichuan and French enterprises, the first industrial park national gas distributed energy project was officially commenced on December 16^th 2015. With a total investment of RMB 336 million, the project, located in the Guang’an Huixiang Innovation Park in Yuechi  County, is jointly invested, constructed and operated by Sichuan Distributed Energy Systems Co., Ltd. and ENGIE Group which is one of the Global Top 500 enterprises. It is planned to be put into commercial operation in the next December with an expectation of earning RMB 300 million a year and saving standard coal of about 24,000 tons. All enterprises in the park can have an access to cold, heat and power.

With an area of 45 mu (30,000  m²) and installation capacity of 36.8 Mw, the park will use gas turbine to turn natural gas into power and realize heating and cooling with the residual heat after power generation. All enterprises in the park can get access to the heat, cold and power through pipelines and power network. The finished project is predicted to realize an annual power supply volume of 223 million kWh, an annual heating capacity of 1.35 million GJ and an annual cooling capacity of 50,600 GJ. Its overall energy efficiency will reach 81% and annual energy saving rate will attain 20%, playing a significant role in energy conservation and environmental protection. By supplying energy collectively, it can greatly reduce the production costs and security risks.

It is the first project carried out by ENGIE Group in Sichuan. Presently, 19 Global Top 500 enterprises have been introduced in Guang’an with a total foreign investment of USD 410 million. (Sichuan Daily reported by Wang Shixia and Liu Chuan on December 17^th)

Industries

Sichuan Province Established the Integration and Innovation Alliance of Informatization and Industrialization

In order to seize opportunities brought by “Internet plus” and “Made in China 2025”, promote the further integration of informatization and industrialization as well as enhance industrial and economic transition and upgrades, Sichuan Province founded the Integration and Innovation Alliance of Informatization and Industrialization in Chengdu on November 27^th.

The Integration and Innovation Alliance of Informatization and Industrialization (hereinafter referred to as “the alliance”), initiated by Sichuan Changhong Electric Co., Ltd., Sichuan Jiuzhou Electric Group Co., Ltd. and Sichuan Information Industry Development Research Center, has already attracted more than 130 member units in the manufacturing, information service and other industries. The alliance will focus on propelling the construction of Sichuan enterprises’ integration of informatization and industrialization. It will lay emphasis on promoting exploitation and utilization of information resources and development of information service industry. By building a bridge between the government and enterprises and among enterprises, it will play a part in communication, as an intermediary agency and providing services, in order to offer a platform of experience exchanges and information sharing for enterprises’ transformation and upgrades.

Next, the alliance will found an expert team and a knowledge base to support the integration of informatization and industrialization in Sichuan. (November 28^th, Sichuan Daily/Dong Shimei and Zeng Xiaoqing)

Chengdu-Ganzi Industrial Park Settled in Qionglai

The Chengdu-Ganzi Industrial Park which settled in Qionglai will build an industrial park with an investment of RMB 30,000,000,000 and set an example for enclave economic parks in Sichuan  Province within 5 years.

The Chengdu-Ganzi Industrial   Park covers 3 towns, i.e. Yang’an, Gaogeng and Muli and has a planned area of 10 km² which will be constructed a 2 km² starting area. The industrial park will start the construction of the starting area at first and finish it in 2 years when the park will begin to take shape. An industrial park of RMB 30,000,000,000 will be built up, becoming an example for enclave economic parks in Sichuan  Province within 5 years (by the year of 2021).

As for industrial orientation, the Chengdu-Ganzi Industrial Park will focus on introducing environmental-friendly enterprises, give priority to the development of new materials, biological medicine industries, actively develop light industries, electronic information, precision machinery and intelligent manufacturing industries as well as foster new energy automobiles, energy conservation and environment protection industries. It will also undertake industrial transactions of counterpart assistance from Guangdong Province to Ganzi Tibetan  Autonomous Prefecture. (December 20^th, Sichuan Daily/Chen Bihong)

Pixian County Forges a Big Data Industrial Core Area

Pixian County will accelerate the construction of a demonstration development region of innovation and entrepreneurship, work hard in the next 3 to 5 years to cluster over 100 big data and affiliated enterprises and make its “Jingrong Town” – the town of makers, become a big data industrial core area in Sichuan Province.

On December 18^th, Chengdu People’s Government signed an official strategic cooperation agreement with National Information Center to joint-handedly forge a Big Data Innovation and Entrepreneurship Base (Chengdu) of National Information Center in “Jingrong Town”, Pixian County. Taking it as a support, national data resource bases, storage and service centers will be introduced to forge a big data industrial chain.

By the year of 2018, Pixian County will build up an innovation and entrepreneurship park covering an area of 1,200,000 m² housing 30,000 to 40,000 talents and over 2,000 enterprises, register over 500 funds and investment institutions, incubate and construct over 100 science and technology projects of enterprises above designated scale as well as foster over 10 listed entrepreneurial enterprises. (December 23^rd, Sichuan Daily/Zhang Minghai)

Chengdu Aviation Port Had a Record Passenger Traffic of 4,000,000, Ranking 4^th inChina

On December 24^th, Chengdu Aviation Port had a breakthrough of 4,000,000 inbound and outbound passengers for the first time, Ranking 4^th among opening aviation ports in China, succeeding Beijing, Shanghai and Guangzhou.

In 2015, Chengdu has opened 6 international and regional direct passenger air routes, becoming the first choice of travelling to Africa and Europe for visitors in central and westernChina. At present, Chengdu aviation port has 85 international and national passenger air routes. From 2015, the inbound and outbound passengers of Chengdu have increased by 28% and 67% than that of 2014 and 2013.

Chengdu Station of Immigration Inspection, facing “large and fast inflows and outflows”, the developing tendencies of ports, makes efforts to raise the customs clearance efficiency for passengers. In 2015, it starts to adopt 4 self-service customs clearance systems for incoming passengers as well as constructs an access control and identification system for self-service customs clearance in restricted areas in ports. Among the 4,000,000 passengers traveling to and from Chengdu, 312 were 72-hour vise-free of this year; since the opening of self-service customs clearance system for incoming passengers on October 1^st, 33,397 passengers had made customs clearance from self-service channels. (December 25^th, Sichuan Daily/Cheng Jun and Liu Hongshun)

Convention & Exhibition Economy

The 4th Pharmacy Exposition Opened in Deyang

The 4^th Pharmacy Exposition and the 6^th International BBS Chain Pharmacies opened in Deyang on December, 12^th. Lasting 3 days, it will close on 14^th.

The 4^th Pharmacy Exposition, with an exhibition area of 12,000 m² and more than 300 stands, has attracted over 1,000 pharmaceutical and relative enterprises from 10 foreign countries including Japan and the Netherlands as well as from all over China. There are seven professional exhibition areas of medicine, medical apparatus and instruments, health care products, cosmetics, personal care and commodities. The exposition also sets a Deyang Exhibition Hall to display the achievements of pharmaceutical industry in Deyang.

“Focusing on transformation, upgrades and transaction” is one of the highlights of the 4^th exposition. It achieves the “classified exhibition of industrial chain and one-stop procurement” of the pharmaceutical industry by building five platforms serving purchase and order, product display, investment and cooperation, docking discussion and talent exchanges.

To seize opportunities and deal with risks present in the pharmaceutical retail industry, the exposition will also hold the 6^th International BBS Chain Pharmacies themed “Medicine and Health”, where leading figures in the pharmaceutical retail industry at home and abroad will be invited to share their opinions on current trends of development and their countermeasures to risks. There will also be a “National Competition for Services and Skills of Licensed Pharmacists” in the exposition. (December 13^th, Sichuan Daily/Zhu Xueli)

The 1^st Western China Stainless Steel Products Trade Fair Opened

On December 16^th, the 1^st Western China Stainless Steel Products Trade Fair (hereinafter referred to as “trade fair”) was opened in Shawan District of Leshan City. The trade fair, manifesting the “Internet plus Stainless Steel” feature by combining product display with sales, introduction with negotiation and docking production with sales, promotes stainless steel products develop towards a professional, popular and high-end way.

The trade fair was held in an exhibition area of 7,000 m² where 20 boutique exhibition halls and over 150 general exhibition halls were set. The boutique exhibition halls mainly displayed stainless steel products of science and technology, fine arts, aviation, military and new energy researched and developed by enterprises from the forefront of stainless steel products including Guangdong, Zhejiang and Fujian. They embraced high-tech characteristics of “novel, rare, special and unique” whereas the general exhibition halls were close to people’s life and production, exhibiting stainless steel kitchenware, tableware, knife tool, medical apparatus and instruments as well as decorations.

As one of the highlights of the trade fair, there was an investment contract signing ceremony held in the afternoon. Shawan District signed 16 investment projects with a total investment of RMB 7,510,000,000. Enterprises in Leshan (Shawan) Stainless Steel Industrial Park also signed purchase and sales agreements totaling RMB 15,320,000,000. (December 17^th, Sichuan Daily/Chen Jun and Liu Ruochen)

The First Conference on Sichuan Provincial Self-driving Tourism Industry Development Opened

On December 18^th, the first Conference on Sichuan Provincial Self-driving Tourism Industry Development opened in Wenjiang District of Chengdu. It was under the guidance of China Tourism Automobile and Cruise Association and Sichuan Provincial Tourism Administration, sponsored by Sichuan Provincial Tourism Association and Chengdu Municipal Tourism Administration and organized by the People’s Government of Wenjiang District and Sichuan Campers and Self-driving Tourists Association. It aims at forging an authoritative platform for Sichuan self-driving tourism industry development, analyzing laws and practices of industry development. It also holds the market trends and cluster development tendency of the self-driving tourism industry, digs down into the inner demands of consumer groups in order to promote the sustainable and sound development of the self-driving tourism market. (December 23^rd, Sichuan Daily/Li Jinping)

CCPIT Sichuan Council

‘Made in Sichuan’ Exhibited in the Largest Commercial Vehicle Show in Asia

Following Sichuan Provincial Government's guideline of “nationwide expansion of products made in Sichuan” and to increase their publicity both in China and abroad, the Council organized ten enterprises to attend the 2015 China Commercial Vehicles Show sponsored by Wuhan Municipal People's Government and China Council for the Promotion of International Trade, Automotive Industry in November. 12^th, 2015 - Nov. 15^th, 2015. The show was held in a hall of 80,000  m².

In the spacious 307 m² exhibition area for Sichuan, there were over twenty kinds of products including coaches, refrigerator cars, cars carring LED advertisement, special cars for electricity maintenance, and pares and parts. The statistics showed that the Sichuan exhibition area attracted almost 1000 professional vistors. RMB 2.23 million transactions and RMB 28 million initial agreements were concluded on site. During the show, the refrigerator car and coach of Nanchong Dongfeng Jialong Coach Co., Ltd. attracted a lot of attention. An order of ten such refrigerator cars which worth RMB 1.2 million was concluded between the company and Zhengzhou Qiliang Trade Co., Ltd. Another order of eight such coaches with a worth of RMB 1 million was made between the company and a client from Hubei Province. RMB 30,000 sales volume of wheel bolts was generated on site by Chnegdu Jinzhu Auto Parts Manufacturing Co., Ltd. The Sichuan Huayu Vehicle Leaf Spring Co., Ltd. received RMB 20 million initial agreements on parts with Guangdong Fuhua Group, Guangzhou Huajing Machine Manufactory Co., Ltd., Foshan Yonglitai Axle Company, and SAF-HOLLAND (Xiamen) Co., Ltd., and RMB 8 million initial agreements on joint development of the leading arm of suspension system with Hubei U-soft Suspension of Commercial Vehicles Company.  Huhan Huizhong expressed interest to cooperate with Guangyuan Anyu Aluminum Wheel Co., Ltd, Hebei Chuanghua Automobile Co., Ltd., DEESONRV Vehicle and Tai’an Machinery. Sichuan Joiner Machinery & Automatic Equipment Co., Ltd. received intention of purchasing communication warehouse from ten companies including CIMC (Shandong) Vehicles Group Co., Ltd., Hubei Jinlan Auto Sales and Services Co., Ltd., Jiangxi Jiangling Motor Group Specialty Vehicle Co, Ltd., Dongfeng Motor Co., Ltd., Zhengzhou Hongyu Special Vehicle Co., Ltd., and Shandong Zhengtai Xier Special Purpose Vehicle Co., Ltd.

The Chairman Li Gang,Vice-chairman Lu Furong and leaders of the CCPIT of Guangyuan, Nanchong, Guang’an, Aba town, etc. attended the show and communicated with Sichuan enterprises about their operation and the status in the show. Besides, they attended the 2015 China Commercial Vehicles Summit Forum to prepare for the organization of Chengdu International Auto and Parts Exhibition by the Council.

China Council for the Promotion of International Trade, Automotive Industry will hold the China Auto Investment Summit Forum during the Chengdu International Trade Fair for Automotive Parts and Aftermarket Services 2016, which will receive groups organized by the Wuhan Council.

Invitation to the 2015 Summit of CCPIT and Taiwanese  Trade Center

On December 3^rd, the 2015 Summit of CCPIT and Taiwanese Trade Center was held in Xiamen,China. Zhang Wei, the Vice-chairman of CCPIT, and Huang Wenrong, Secretary General of the Center, principals of provinces, regions and cities of CCPIT, relevant departments of the Center and a delegation of about 70 representatives from representative offices in China attended this Summit. Zhu Xiaojin, Associate Counsel of the Council, also attended the Summit and delivered a speech.

A heated discussion about the show, cooperation, economic and trade forum, information exchanges and promotion services was carried out on the basis of integrity and practicality to deepen the economic and trade exchange and cooperation between Mainland China and Taiwan. There was Ｅxecution report of items decided during the 2015 Summit, a plan of events in MainlandChinain 2016 prepared by the Center, a discussion of the subject and the announcement of the decision items of 2016.

An address on the cooperation between the Council and the Center in 2015 and their cooperative projects in 2016 was made by Zhu Xiaojin. In his speech, he said the Council would organize enterprises in Sichuan to participate in such events as the 2016 Smart City Exhibition in Taiwan and of Cross-Strait Convention and Exhibition Industry Cooperation and Exchange Conference sponsored by the Center on the basis of the close relationship between Sichuan and Taiwan, to enhance the exchange and cooperation of smart cities, and industries like auto parts, computer, health care, food and its processing equipment and electronics. Meanwhile, he also extended his welcome to the company delegations organized by the Center to Sichuan for fieldtrips and visits.

‘Nationwide Expansion of Products Made in Sichuan (Shanghai)’

Good Performance of Sichuan Auto Spare Parts Industry in Frankfurt (Shanghai) Auto Spare Parts Expo

Chairman Li Gang, accompanied by Sichuan delegation of representatives of 34 Sichuan enterprises and relevant departments of 8 cities and prefectures, attended the Shanghai International Trade Fair for Automotive Parts, Equipment and Service Supplier (Shanghai Auto Spare Parts Expo) which was organized by the Messe Frankfurt (Shanghai) Co., Ltd. and China National Automotive Industry International Corporation, and held the Sichuan Auto Industry Development Explanation Seminar and Chengdu International Auto Spare Parts and After-Sales Exhibition.

The exhibition, held in an exhibition area of 28,000 m², attracted exhibitors from 32 countries including 18 overseas groups and 5,395 enterprises. The Council first organized 17 enterprises, which exhibited 40 kinds of superior spare parts including engine, bent axle, and accessories of suspension in an 234 m² Sichuan exhibition area according to the Cooperation Memo jointly made by the council and Messe Frankfurt (Shanghai) Co., Ltd. Products exhibited in the Expo ranged from products of famous domestic companies like Jinhong’s bent axle to new run-flat tire from innovation-oriented enterprise Niudun Technology. The products made in Sichuan attracted a lot of attention from the developed coastal regions and overseas clients. Through the Expo, Sichuan enterprises obtained a great deal of information by communicating with plenty of buyers, and reached a series of trade and cooperation agreements. For instance, the Chengdu Niudun Technology Co., Ltd. concluded an agency agreement with Hubei Benyang Auto Spare Parts Co., Ltd.; the Sichuan Huayu Vehicle Leaf Spring Co., Ltd. concluded initial agreements with companies of JDO and SM from Korea, and Russia KR; the Neijiang Jinhong Bent Axle Co., Ltd. received intention of cooperation from companies of Guangdong Dongqi, Gangsong Machinery and Kelibo; the Sichuan Xuanming Energy-Saving and Environmental Protection Technology Co., Ltd. received intention of cooperation from companies of Autoworld (Beijing) Trading and Industry Co., Ltd. and STC from France. A further cooperation was reached between the system of Sichuan promotion for trade and Zhejiang CCPIT and the China Auto Parts Market Industry Association.  

On December 2^nd, the Council held the Sichuan Auto Industry Development Explanation Seminar in the National Convention and Exhibition  Center. The Chairman Li Gang, and the Vice-president of Messe Frankfurt Co., Ltd. and Chief of global brand exhibition of Frankfurt Auto Spare Parts Expo Michael Johannes attended the Seminar and gave speeches. In the Seminar, leaders from Chengdu Economic Development Zone, Meishan, Neijiang, Lezhi County introduced the development of auto spare parts industry and the investment environment and opportunities in their regions respectively. In addition, the Vice-chairman Lu Furong introduced the status of Sichuan auto spare parts industry and the 2016 Chengdu International Auto and Parts Exhibition.

During the exhibition, Li Gang met the President and CEO of Messe Frankfurt Co., Ltd. Wolfgang Marzin and its senior Ｅxecutives and signed a strategic cooperation contract with him. Relying on 2016 Chengdu International Auto and Parts Exhibition, both parties aimed to promote the growth of Sichuan international business of convention and exhibition, to create a Sichuan international trade and investment promotion platform and to organize international and professional exhibitions characterized by branding. Both parties strive to systematically promote the cooperation between the Sichuan manufacturing andGermanyindustry 4.0 by plans.

Economic and Trade Delegation of CCPIT Sichuan Council’s Business Trips toUzbekistan,IndiaandMaldives

According to the plan of “Million Enterprises Go Abroad” and “Expansion from the South” of Sichuan Provincial Party Committee and government, the Council takes an active part in the development of “the Silk Belt and Road”, develops close economic and trade relationships between Sichuan and Central and South Asia. In this way, Sichuan businesses extend to such regions. At the invitation of Chambers of Commerce and Industry of Uzbekistan and India-China and Maldives National CCI, the Council organized an economic and trade delegation toUzbekistan,IndiaandMaldivesduring Nov. 20^th to 29^th for businesses.

I. The delegation paid a visit to theChinaconsulate-general in Mumbai and Government of Karnataka, and attended the 2015China’s Products Exhibition (Mumbai).

India is the largest economic and trade partner, and one of the two fixed locations forChina’s Products Exhibition. The 2015 Exhibition, held in Bombay Exhibition Center during Nov. 24^th to 26^th, was the fifth exhibition inIndia. The Council organized 41 enterprises and 72 enterprise representatives in industries of agriculture, machinery, health care, chemical engineering, furniture, food and biology to attend the Exhibition. There were 38 exhibition stands covering 850 ㎡ altogether for Sichuan enterprises. The Exhibition was attended by Xu Hubin, Secretary-general of the CCPIT, Consul-general, Yan Hualong, Consul-general of consulate in Mumbai, Ren Yongchang, Director of the Sichuan Provincial Agricultural Department, Casaca, Minster of the Ministry of Financial Planning and Rural Development of Maharashtra, Kalantri, President of the All India Association of Industries, Prade, President of the Indian Merchants’ Chamber, Salunkhe, President of the SME Chamber of India, and Rowatt, Managing Director of the India China Chamber of Commerce and Industry. Li Gang delivered a speech at the opening ceremony of the exhibition.

During the visit, Li Gang had a meeting with Mr. Kalantri, Prade, Salunkhe and Rowatt on mutual visits of enterprises, further cooperation of information exchange, convention and exhibition. During the meeting, Mr. Li extended an invitation to India to the economic and trade events in China like the 2016 the 7^th South Asia Sichuan Business Roundtable Conference, Smart Life Exhibition and the 3^rd Chengdu International Auto and Parts Exhibition. The consensus on further economic and trade cooperation between Sichuan and India and providing support and assistance for enterprises of both parties in the development of “The Silk Belt and Road” and the Bangladesh-China-India-Myanmar economic corridor were reached.

During the Exhibition, Sichuan enterprises obtained a turnover of USD 415,200 and an intended cooperation agreement of USD 62.7197 million.

The delegation paid a visit to the Government of Karnataka, and attended a meeting with principals of relevant departments. As invited, Li Gang gave an elaborate speech on the economy of Sichuan, close partnership between Sichuan and Karnataka, and 7 major pillar industries and 5 developing high-end industries in Sichuan. He also gave suggestions on the future investment, cooperation and commercial activities in the “7+5” industries, and extended an invitation to the Government of Karnataka to a series of major economic and trade events to be held in China in 2016.

During Prime Minister Modi’s visit to Sichuan in May 2015, he signed the Agreement on sister states/cities relationship between Sichuan Provincial Government and Government of Karnataka with Sichuan Provincial Government in witness of officials from both countries. The Agreement laid a solid foundation for the cooperation between the parties. Under the circumstances, the Sichuan delegation received warm welcome in the Exhibition from Karnataka, which expressed that it would like to promote the enterprise exchanges, carry out cooperation on competitive industries like software, food processing and hydroelectric generation (Karnataka has the richest water resource in India), assist Sichuan enterprises to enter the local market, arrange more organizations to visit Chengdu and to attend the Western China International Fair in Chengdu in Oct. 2016 and the 7^th South Asia Sichuan Business Roundtable Conference. In addition, Mr. Pandi said he would like to offer a list of major investment and cooperation projects of Karnataka and sent invitation to the Council and its delegation to the 2016 Karnataka Global Investment Summit in Karnataka in Feb. 2016.

II. The delegation paid a visit to the Chamber of Commerce and Industry of Uzbekistan, and China-Uzbekistan  Pengsheng Industrial   Park.

There is a great potential for market in Tashkent, the capital ofUzbekistanand the fourth largest city in Soviet Period. Many industries remain underdeveloped. With the rapid growth of its economy and the establishment of Chevrolet factory, it witnesses a dramatic uplift in the number of vehicles but a slow development in auto spare parts industry. Under the circumstances, Chairman Li Gang introduced the professional auto spare parts and after-sales services exhibition - Chengdu International Auto and Parts Exhibition to Mr. Usmanov and extended an invitation to the Chamber and suppliers of auto spare parts industry to the Chengdu International Trade Fair for Automotive Parts and Aftermarket Services 2016 organized by the Council. Mr. Li also communicated with the Chamber on bilateral visits of enterprises, information exchange and further economic and trade cooperation.

Then the delegation paid a visit to the China-Uzbekistan  Pengsheng Industrial   Park and attended a meeting with leaders of the Park. The park was established in line with the document signed byChinaandUzbekistan. Making full use of the rich natural mineral resources, low cost of labor and the regional resource superiority of CIS market, the Park has a floor area of 37 hectares and some 10000 ㎡ with 1100 employees. There are several factories and workshops engaging in sanitary ware, tiles, leather processing and mobile phones. In 2013, Pengzhong Xingsheng Corporation jointly established by the Park and ZTE Corporation (a Chinese enterprise) as a mobile phone manufacturer whose business has extended to other countries in Central Asia. As to today, there are no enterprises from Sichuan in the Park.

Mr. Li attended a meeting with the General Manager Ji Qiuhai and other high-ranking staffs of the Park. Elaborate introduction of the status, development planning and demands of the park, and investment environment and policies were given by the principals of the Park. Mr. Li suggested that deep communication, information exchange and policy guidance should be provided to encourage Sichuan enterprises starting and developing their companies inUzbekistan.

During the meeting, both parties talked about Uzbekistan's reputation of a “White Gold Country” for its more than 2000 years' history of cotton planting. It will create a win-win situation if Sichuan enterprises orChina’s textile factories build their factories there or transfer their investment on labor intensive textile factories to there. The local low-cost labor and cotton will bring benefits for the development of such factories. And the local textile industry is also able to be improved.

After the meeting, Mr. Li learned about local leather industries’ conditions and more of the local investment environment through a field trip to the Park and a meeting with principals of shoe and leather factories. Mr. Li believed that theUzbekistanwould be a good choice for transferring the excessive productivity of Sichuan enterprises by going abroad.

III. Mr. Li paid visits to the Chamber of Commerce and Industry of Maldives, Mr. Asif, President of SAARC Chamber of Commerce and Industry, and a local photovoltaic investment enterprise Plankton Corporation inMaldives.

Mr. Li expressed thanks to Mr. Asif for the support for the South Asia Sichuan Business Roundtable Conference and economic and trade events held in Sichuan in the last six years. Mr. Li and Mr. Asif discussed about and reached consensus on the attendance of the 7^th South Asia Sichuan Business Roundtable Conference in 2016, large delegations’ visits organized by the Chamber of Commerce and Industry of Maldives to Sichuan, and further bilateral cooperation between enterprises.

There are many small islands inMaldives, each of which has a power station mainly based on diesel generator. The diesel generators not only do harm to the environment, but also consume a lot of energy, resulting in high cost and unsustainable development. Mr. Li paid a visit to a local photovoltaic investment enterprise Plankton Corporation and communicated with the principal Mr. Asif who introduced the power status and demands. In response toMaldives’s needs for new energy like optical evergy, wind and tidal power generation, Mr. Li recommended relevant enterprises in Sichuan, especially the Sichuan Dongfang Electric Corporation. He promised to encourage competitive Sichuan enterprises to invest in and establish substitutes of current power stations in Maldives for the development of new energy.

Mr. Li’s Reception of the Consul-General Sailas Thangal of the Indian Consulate General in Guangzhou

Mr. Li received the new Consul-General Sailas Thangal and a group of personnel in Indian Consulate General in Guangzhou on Nov. 8^th, 2015.

During the visit, Mr. Li communicated with Mr. Sailas Thangal about the economic trade between Sichuan andIndiaand South Asia Sichuan Business Roundtable Conference. He also mentioned the volume of trade between Sichuan, the 7^th largest province in terms of GDP inChina, andIndia, an economic power in South  Asia. Since 2009, he said, the South Asia Sichuan Business Roundtable Conference based on the practical principle has been hold for six times. On the occasion ofIndiaas the rotating presidency of the Conference in 2016, he invited Mr. Sailas Thangal accompanied by delegations to the upcoming conference. He expressed his hope that famous auto and IT enterprises can be organized byIndiato the International Trade Fair for Automotive Parts and Aftermarket Services andChina(Chengdu) Smart Life International Expo, both are held once every year.

Mr. Sailas Thangal extended thanks for the reception of the Council and agreed on the potential of cooperation. He introduced the “Made in India Week” which is to be held in Feb. 2016 initiated by the Prime Minister Modi, and sent an invitation to the Council. He also recommended that a “Promotion Conference of India” should be held at the end of Jan. 2016 and attended by Indian experts in relevant industries.

Vice-President Li Li’s Reception of the Consul-General Cascia ofPolandConsulate General in Chengdu

Li Li, the Vice-President of the Council received the new Consul-General Sailas Thangal and a group of personnel of Poland Consulate General in Chengdu on Dec. 10^th, 2015.

Mr. Li extended his congratulations to Ms. Cascia on her new post, communicated with her about the status in Sichuan, main responsibilities of the Council, trade between Sichuan andPoland, and the development in Poland of Sichuan enterprises involved in the “Million Enterprises to Go Abroad”, and answered questions about the cargos and trade of the Chengdu-Europe Express. In addition, Mr. Li expressed his hope of a \ stronger relationship between the two parties, and hoped the Consulate can organizePoland’s enterprises to International Trade Fair for Automotive Parts and Aftermarket Services and China Smart Life International Expo (Chengdu).

Ms. Cascia extended thanks to the Council for the reception and support during the establishment of the Consulate General. She gave an introduction of the Consulate General’s working plans and structure, the agriculture native toPoland, food processing, clean energy, and air purification, and welcomed the Council-organized enterprises to visitPoland. Besides, she said she would like to introduce Sichuan toPoland’s enterprises, bridging the two parties to reach a closer cooperative relationship and create a win-win situation.

Sichuan Products Exhibition: Catalyst for Expansion to Countries on the Silk Belt and Road

The CCPIT Sichuan Council and Sichuan Agricultural Department held the 5^th China Sichuan’s Products Exhibition (Mumbai inIndia) from Nov. 22^nd to Dec. 1^st, 2015 and organized a Sichuan economic and trade delegation of 41 enterprises and 72 enterprise representatives to it. Li Gang and Ren Yongchang attended and delivered a speech on the Exhibition respectively.

Sichuan enterprises obtained remarkable results in the Exhibition. There were 38 exhibition stands covering an area of 850 ㎡ for Sichuan enterprises, 39 of which went abroad for exhibition for the first time. 200 products from 10 industries including agriculture, machinery, construction materials, health care, chemical engineering, furniture, food and veterinary medicine were exhibited. Popular in the exhibition, Sichuan enterprises obtained a turnover of USD 415200 and intended cooperations worth USD 62.7197 million.

During the Exhibition, Mr. Li Gang introduced a series of major events like the Western China International Fair, Chengdu International Auto and Parts Exhibition, China Smart Life International Expo (Chengdu), etc. to All India Association of Industries, SME Chamber of India, Indian Merchants’ Chamber and India China Chamber of Commerce and Industry. They discussed about further economic, trade and investment partnership, and cooperation of agricultural technology and projects.

The Exhibition served its functions very well by promoting the economic and trade cooperation and encouraging enterprises to go abroad.

Vice Chairman Lu Furong’s Reception of the President Android of Kielce International Exhibition Center in Poland

On Dec. 16^th, 2015， the Vice-chairman Lu Furong received the President Android of the Kielce International Exhibition Center inPoland.

Lu Furong introduced the current status of Sichuan including its economy, opening-up level, transport infrastructures, major projects and the development of enterprises going abroad. She highlighted the South Asia Sichuan Business Roundtable Conference, Chengdu International Trade Fair for Automotive Parts and Aftermarket Services, and China Smart Life International Expo (Chengdu). In addition, she hoped that the Center and the Council can have a close relationship and extended an invitation to relevant enterprises and organizations to the aforesaid events.

Mr. Android thanked for the reception and briefly introduced the conditions of the Center and the goals of the visit. He said the Center was the second largest exhibition corporation in Central and Eastern  Europe. It annually holds than 70 exhibitions and 600 meetings including security and protection, agricultural machines, plastic, infant and child, elevator, bicycle, auto spare parts, tire, domestic appliances and bath ware. He hoped the Council would organize enterprises to the exhibitions and achieved a win-win situation by introducing Sichuan products toPoland.

Strategic Agreement Signed by the CCPIT Sichuan Council and Messe Frankfurt

On Dec. 2^nd, 2015 when the Shanghai International Trade Fair for Automotive Parts, Equipment and Service Supplier (“Shanghai Auto Spare Parts Expo”) was held, Li Gang met with Wolfgang Marzin, the President and CEO of the Messe Frankfurt and other senior Ｅxecutives, and signed a strategic cooperation agreement with him. Relying on 2016 Chengdu International Auto and Parts Exhibition, both parties aimed to promote the growth of Sichuan international business of convention and exhibition, to build up a Sichuan international trade and investment promotion platform and to display international and professional exhibitions characterized by branding. Both parties strive to systematically promote the cooperation between the Sichuan manufacturing andGermanyindustry 4.0 by plans.

Preferential Certificates of Origins First Issued by CCPIT Sichuan Council According to China-Korea and China-Australia FTAs

On 20^th, Dec. 2015, the China-Korea and China-Australia FTAs came into effect, marking 90% products involved in the trade between China and Korea and 96.8% commodities exported from China to Australia won’t be taxed any longer. On that day, registrations for preferential products in textile, chemical engineering and machinery were made for Sichuan New Rise Imp. & Exp. Co., Ltd., Sichuan Mingtu Machinery Imp. & Exp. Co., Ltd. and Sichuan Anda Chemical Co., Ltd. On 21^st, Dec, two preferential certificates of origins related to monopotassium phosphate were issued by the Council according to the two FTAs to the Sichuan Anda Chemical. With a total trade volume of USD 88000, a taxation of USD 4000 was exempted for the company. All procedures involved in the registration are completed on the Internet, allowing enterprises to make a registration and print such certificate without stepping out their office.

All members of the CCPIT take an active part in the strategic plan of FTZ, strive to bear more responsibilities and deliver innovative services on the basis of strictly issuing the preferential certificate of origin to promote the implementation of the FTAs. The members are committed to improving the FTAs service systems by creating an international cooperative supporting platform, platform for cooperation with government departments and organizations, platform for industry-university-research cooperation, FTA service network and professional FTAs service platforms to offer enterprises preferential policies in a convenient and timely manner. Furthermore, the digital data related to certificates issued by the members of the CCPIT makes real-time online transmission to the GACC possible and offers enterprises relevant convenient services. This greatly facilitates the trade development. The CCPIT planned to offer comprehensive services concerning FTZs by enhancing the evaluation and support of talent cultivation related to FTZs.

The Council encourages export enterprises to be involved in the international market as well as improving products competitiveness to apply the certificates so as to enjoy the tax exemption provided by the FTAs.