If you're at all familiar with Chinese business news, then you may have heard of a place called QianHai special economic zone.
This zone is a new area of Shenzhen which the Chinese government are hoping will overhaul their economy and financial systems heading into the 21st Century.
While this is clearly important, as a current or potential foreign business owner in China, you will probably be asking: "But what is QianHai, and why is it important to me?"
One of the problems with getting useful and official information in China is that, despite it being out there, it's usually not very clear on where to find it!
Keep reading this blog post as we share some of the key information on QianHai from official Chinese and English language sources...
What's So Special For Foreign Startups About The QianHai Special Economic Zone?
QianHai began to be developed by the Chinese government in 2010 in order to offer a springboard for certain types of businesses seen as beneficial to China's economy in the future, as well as strengthening ties between the Mainland and Hong Kong.
It aims to do this by offering a range of attractive benefits in order to bring in service-based companies and promote those who wish to innovative.
- Tax breaks and benefits such as a CIT rate of just 15% (lower than Hong Kong)
- Free office and domestic rental for companies in key industries
- Free and open financial policies
- One of China’s largest startup incubators & accompanying investment opportunities
- World-class logistics
- Higher quality internet and telecoms than much of the rest of Mainland China
- Advantageous subsidies for companies in certain industries
These different benefits are on offer to companies, either domestic, foreign, or from Hong Kong, who choose to operate there.
This is important for companies in the sectors which China wants to encourage, namely:
- Modern Logistics
- High-Tech Manufacturing
- IT & E-Commerce
- Business Consultancy & Services
- Animation, Medecine, Cultural, and Education
As you can see, these industries are a move away from the old-fashioned, 'build 'em cheap, pile 'em high' manufacture that China pioneered in the 20th Century.
Really, the kinds of companies China wants moving forward are tech startups, foreign banks, and other modern services; what's more, they're prepared to pay to get you to move to QianHai in the form of generous tax breaks, investment, and other valuable benefits.
If you were already considering starting a business in Hong Kong or Shenzhen, then QianHai must now also be considered.
For that reason, reading the FREE eBook: "What The Heck Is The QianHai Special Economic Zone?" is crucial for businesses in your position!
OK, I'm Sold, But Where Can I Get Information On QianHai?
If you don't speak Chinese you're going to struggle. That's the bottom line.
We suggest that if you're planning on starting a business in China that you, or some of your staff, should be able to speak Chinese. If not, perhaps a local friend of contact can help.
To save you the hassle of combing Baidu to find out what is QianHai, we have collected the resources here for you!
Useful Chinese Sources On QianHai
1. Official Government Accounts On QianHai
2. Information On Financial, Legal, HR, Education & Medical, Telecoms, and Taxation
3. Information Specifically On Financial Companies
4. Information On High-Tech Companies
5. Information On Green Companies
6. Information On Technical Innovation Companies
财政部 国家税务总局关于广东横琴新区福建平潭综合实验区 深圳前海深港现代服务业合作区企业所得税优惠政策及优惠目录的通知
Useful English Sources On QianHai
- QianHai Wiki: https://en.wikipedia.org/wiki/Qianhai
- QianHai official regulations: http://hk.lexiscn.com/law/regulations-on-qianhai-shenzhen-hong-kong-modern-service-industrial-cooperation-area-of-shenzhen-special-economic-zone.html?eng=0
- SCMP QianHai news: http://www.scmp.com/topics/qianhai
- QianHai Shenzhen - Hong Kong Youth Innovation and Entrepreneur Hub: http://ehub.hkfyg.org.hk/qianhai.php?language=eng
This Information Is Good, But Is There Anything A Little Easier To Digest?
As you can see, the internet has no shortage of fairly dry and factual information on QianHai, but there is perhaps a lack of easy-to-read information for the 'layman.'
Well, there WAS.
Here at Hongda we've put in the hours to research QianHai and answer the question: "What The Heck Is The QianHai Special Economic Zone?" in our new eBook of the same name!
QianHai, with its super-low tax rate for companies and staff, is a compelling location for anyone considering starting a business in China, and now you can get the information that your business needs to make the decision on whether it's worth pursuing a move there.
How do you feel about starting a company in QianHai? Why is it the right place for you?
Do you have any questions or worries about this zone?
Let us know by leaving a comment below please.