The European Chamber Meeting with the Shenzhen Municipal Commerce Bureau

2019-06-12 | All chapters

The European Chamber Meeting with the Shenzhen Municipal Commerce Bureau

European Chamber of Commerce South China Chapter Meeting with Shenzhen Bureau of Commerce Representatives

Time: 2019/06/12 11:00-12:00

Location: Shenzhen Bureau of Commerce, Futian District Fuhua Rd Greater China Trade Plaza 12

Shenzhen Bureau of Commerce:

Mr. He Felix, Principal Responsible Person of Investment Promotion Division

Mr. Wang Zhengchao, Deputy Director of Foreign Investment Management Division

Ms. Wang Shuying, Foreign Investment Management Division

Ms. Cai Yingshan, Staff Member of Investment Promotion Division 


European Chamber of Commerce South China Chapter:

Klaus Zenkel, EUCCC SC Board Vice-Chair

Francine Hadjisotiriou, EUCCC SC General Manager

Pingrui Zhao, EUCCC SC Business and Government Affairs Manager


Director of Shenzhen Commerce Bureau Mr. He welcomed European Chamber South China Chapter, and expressed his openness towards further meetings and communication with the European Chamber.

European Chamber South China Chapter General Manager Francine Hadjisotiriou thanked representatives of Shenzhen Commerce Bureau for their participation. Francine introduced the establishment, development,  and mission of the European Chamber. Francine pointed out that according to our recently published Business Confidence Survey, China is still a critical destination for European investment. However European industries in South China is facing difficulties and the Chamber would like to use this opportuntity to exchange suggestions on how to improve the business environment for European industries in China.

Then Klaus Zenkel introduced the South China position paper, highlighting that Guangdong is the model for the Opening Reform’s and that Shenzhen is a success story of the reforms. He then went on to describe the three main suggestions of the SCPP

  • Develop a World-class Regulatory Environment that Facilitates doing Business, Incentivizes Industrial Upgrading and Protects Intellectual Property
  • Develop Human Resources for Guangdong to become a Centre for Talent
  • Brand Guangdong as a World-class Place to do Business While Facilitating Regional Cooperation and Improving Support Mechanisms for Small and Medium-sized Enterprises (SMEs)

Regarding point 1, Klaus suggested that the government lessen the restrictions of the internet, provide foreign invested companies more convenient subsidies, and encouraged focusing on small and medium sized enterprises along with the large enterprises. Regarding IPR, the Chamber was very pleased to see the establishment of the Guangzhou IPR Circuit Court. However, the number of officials and judges seem to be insufficient to handle the caseloads. We’d therefore wish to see that more qualified officials be assigned there to ensure IPR issues are duly addressed and to stimulate innovation from European industries.

Regarding point 2, Kluas mentioned that in addition to the talent shortage, the technical skills of workers have not been in line with the needs of companies. He also mentioned that the value of blue-collar work to society urgently need to be recognized. Therefore he suggested that the government work on developing vocational training programs and simplifying the foreign visa process. The government should keep technicians and foreign workers in mind when drafting policies for talent attraction.

Regarding point 3, Klaus expressed the Chambers desire to see that the government's investment promotion policies benefit European SMEs as well as large foreign enterprises. Shenzhen and Guangdong as a whole should further their marketing in Europe in order to attract more European investment in the area. Furthermore, the government’s policies should ensure a level playing field for European SMEs.  Presently SME’s have been overlooked and undervalued. If given the opportunity, SME’s can contribute significantly to the whole south China region.

Finally, Klaus mentioned that to support the government the Chamber would like to play an active role in helping Shenzhen, as a center of innovation, lead in the implementation of the Greater Bay Area plan.

Mr. Wang affirmed The Chambers important contribution to the economic development of Shenzhen. The promised to earnestly discuss and evaluate the SCPP. 

Mr. Wang also responded that:

Regarding internet reforms, the central government issued 4 5G licenses with the goal of realizing independent cyber security infrastructure. 

For IPR protection Shenzhen is establishing an IPR Circuit Court to handle IPR disputes.

New institutions such as a Bureau of Human Resource, GBA Affairs Office, SME Bureau, and a Government Affairs Data Service Center are being established to implement polices related to these issues.

For example, The Human Resource Bureau will be relaxing restrictions on talent recruitment and extending visa exemption periods. Additionally, the SME Bureau will be researching beneficial policies and subsidies aimed at SMEs and ensuring equal treatment to both domestic and foreign SMEs.

To conclude Klaus summarized some key points from the Business Confidence Survey emphasizing the trade wars impact, the important role European investment plays in China's booming markets, and SME’s innovative capacity.