Breif Introduction to Wuhan Economic & Technological Development Zone, Set Up Business In WETDZ, One Stop Company Registration Services In Wuhan China

Geographical Location

 
Wuhan Economic and Technological Development Zone (WETDZ) is situated in southwest Wuhan beside the Yangtze River. It lies between the city's middle and outer ring and at the juncture of Beijing-Zhuhai and Shanghai-Chengdu expressways. Wuhan as the capital city of Hubei Province and the largest metropolis in central China, is covers an area of 8,467 square kilometers and a population of 7.23 million. 

Climate

Lying in a sub-tropical moist monsoon climatic zone, the city has distinct four seasons with an annual average temperature of 16.8 centigrade and an annual average rainfall of 1093.3 milimeters. Its total green belts amount to an area of 359.56 square meters, covering 34.88 percent of the city.

Communication and Transportation

Situated at the juncture of Beijing-Guangzhou and Beijing-Jiujiang Railway Arteries as well as major Yangtze River courses, Wuhan has always been reputed as a city extending and accessible in all directions. The city extends eastbound to Shanghai, westbound to Chongqing, southbound to Guangzhou, and northbound to Beijing, each within a distance of 1,000km, making it a key transportation hub that integrates railways, highways, water and air transportation.

Road

A highway network is formed by such trunk state highways as No. 106, 107, 316, and 318. Main roads and branches of up to 43km that constitute the road network inside the zone have been build in WETDZ. The viaducts of state highway No. 318 run across the whole zone from the north to the south. So does Beijing-Zhujiang expressway.

Railway

From the north to the south runs Beijing-Guangzhou Railway, and from the east to the west Shanghai-Sichuan Railway. These railways, together with other railways such as Wu-Xun, Han-Dan, Wu-Da, and Jing-Jiu, converge in Wuhan, forming a railway network that channels China's north, southwest, central south, and east. In addition, special railway lines and freight stations joined to both Beijing-Jiujiang and Beijing-Guangzhou Railways have been built in the zone.

Harbor

Wuhan Harbor, the largest of its kind in inland China, has an annual freight-handling capacity of 40 million tons. The harbor has direct shipments to 14 countries and regions including Russia, Japan, Thailand, Malaysia, Singapore, Hong Kong, and Macao. 6.5km from the zone is the Wuhan Container Dock with an annual handling capacity of 10 million tons. The new fuel wharf inside the zone has come into use and an automotive-loading and freight dock is being planned inside the zone.

Airport

Wuhan Sky-River International Airport, the fourth largest in China, operates more than 50 domestic flight routes reaching major Chinese cities. There are daily direct flights to Hong Kong and Macao, and international flights to cities in Japan and Korea.

Human Resources

Wuhan ranks the nation's 3rd in terms of overall scientific and technological capability, after Beijing and Shanghai. The city now features 35 institutions of higher education, 736 research institutes, and 10 key state laboratories. Wuhan also boasts rich labor resources of high quality, with 450,000 well-trained professionals, and 300,000 university students. In addition, Wuhan has more than 230 technical and vocational schools turning out 60,000 diversified technicians annually. 

Industrial Structure

 
The following six dominant pillar industries have taken an initial shape: automotive; electronic information; food and beverage; papermaking, printing and packaging; electric appliance and equipment; biomedicine. The following industrial chains have been initially formed: an automotive industrial chain with Magic-Dragon as the leader; a paper-making and packaging chain with Chenming-Hanyang Paper Works as the leader; a food and beverage and packaging chain with Wuhan Coca-Cola Co., Ltd., Dingjin and Dingyi companies as the leaders; and a high-tech chain with Hengguan and Tongji pharmaceuticals as the leaders. In 2001, 23 enterprises enjoyed an annual industrial value of over RMB 100 million. 

Investment Priorities

Motor vehicles: automotive and parts manufacturing and supporting industries

Electronics and information: computer, telecommunications and electronic information facilities, and micro-electronics and components manufacturing; optical-electronic, magnetic-recording, and software products development

Bio-engineering and medicine: bio-reagents for medical diagnosis, genetic engineering vaccines, new medicines, new vaccination agents, pharmaceutical cell-engineering products, and other new reagents and biological medicines

Integrated electric machinery: Numerical control machine-tools, laser processing devices, industrial robots, intelligentized apparatus and instruments, and numerical control detecting devices

New materials: information storage materials, plastic alloys and engineering plastics, semi-conductors and optical-electronic materials, electronic porcelain, biological and medical materials, fire-retarding, erosion-proof, anti-acid and anti-alkali building and decorating materials
High-tech agriculture: productive, efficient, and high-quality vegetable bases, fresh-water fishery bases, floristic bases and fruit and tea bases, warehousing and fine processing of agricultural and side-line produce, agricultural and biological engineering, service network building for agricultural technology, and ecological and agricultural tourism

Tertiary industry: large commercial supermarkets, outward freight transportation, car exhibitions and trade, auto entertainment projects development, finance and real estates, cultural and recreational facilities building, and economic and technological information consulting

Administration Committee

Tel: 86-27-84898121
Fax: 86-27-84891004
Email: infor@wedz.com.cn
Website: http://www.wedz.com.cn/English/

 

To facilitate people who want to invest and set up company in Wuhan Economic and Technological Development Zone (WETDZ), 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 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. No. minimum registered capital is required for WFOEs with scope of business of consulting, Trading, retailing, information technology etc. in China. There are minimum registered capital still required for some industries for instance: Banking, Forwarding etc Since China still maintains foreign currency control policy, it's still advisable to choose registered capital within RMB 100,000 ~ RMB 500,000 as the minimum registered capital. Companies can now determine how much capital will be required to maintain their operations and must simply ensure that they meet those targets within a period of 10 years.

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 Establishment of 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 Shanghai, Beijing, Wuhan, 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 (MainlandChina 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 Wuhan 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

Since 2006, Tommy China Business Consulting has been focusing on consulting services for our clients to invest in Wuhan 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 Wuhan China, drafting privacy policies and structuring commercial transactions

TCBC will manage all aspects of incorporation to get you a business license in Wuhan China. We offer a range of company formation services including helping you to set up:

-Wholly Foreign Owned Enterprises (WFOE )

-Representative Offices

-Joint Ventures (Equity/Co-operative)

-Foreign Invested Partnership Enterprises (FIPE)

-Hong Kong Holding Company.

Please visit:http://www.tommyconsulting.com/CorporateFormation.html

Email: tomlee@tommyconsulting.com, Skype: tomleeli

WhatSapp/Wechat/Cell Phone: +86 18926401128