Xinhua Headlines: A Chinese county-level city packed with German enterprises
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E-mail Xinhua, October 19, 2023
NANJING, Oct. 19 (Xinhua) -- In the county-level city of Taicang in east China's Jiangsu Province, a bus starts its journey at "Kern Liebers Station," traversing four kilometers and connecting over 40 German companies, with many bus stops named after them.
The bus route strings together an entire supply chain -- by taking this bus, you can assemble all the components of a new energy vehicle's electric propulsion system.
Taicang, a small city which boasts the presence of almost 500 German companies and a total of more than 6 billion U.S. dollars in German investments, has earned the nickname "little Germany."
HUB OF GERMAN ENTERPRISES
Beginning in the early 1990s, Taicang spent 14 years drawing its initial 100 German investors, but it only took the city a mere three years to log another 100 German enterprises, from the 300th to 400th one.
Kern Liebers was one of the earliest German companies to recognize Taicang's business potential. Commencing with a 400-square-meter rented factory and a team of six employees in 1993, this major producer of car seat belt springs has since embarked on 11 successive rounds of investment in Taicang. Today, its Taicang facility spans 70,000 square meters and yields an annual output value of around 1.5 billion yuan (over 208 million U.S. dollars).
Eventually, a large number of other manufacturing giants from Germany also opted to settle in Taicang during the past three decades, with most of these firms engaged in the fields of new energy vehicles, aviation and aerospace, and industrial machinery.
During the same period, more than 90 percent of German companies in Taicang either increased their investments or expanded their production, while they contributed 8 percent to the city's annual GDP, as reported by the local government.
These figures highlight the success of German companies in Taicang and also underscore the city's commitment to facilitating their growth.
MAKING MOST OF ITS STRENGTH
Taicang has, in the first place, displayed patience and ambition in fostering a forward-looking industrial ecosystem. As an example of its determination, the city once devoted five years to negotiations for a German-funded investment project valued at 1 million U.S. dollars, when other cities across the country preferred chasing after large-scale projects.
It's easy to make the decision to build factories and R&D centers here given the access to lower-cost land, said Andreas Hornfischer, general manager of E.G.O. Components (China) Co., Ltd., who also eyed the logistics potential of the city, located less than 50 km from Shanghai.
The company had been in business in Shanghai since 1998 and relocated to Taicang in 2012.
Taicang Port also offers easier and cheaper logistics for companies to import and export raw materials and products, the general manager added.
In addition, the city cut down on 70 percent of the administrative approval procedures and simplified 72 percent of the checklists for applications.
"Creating a welcoming business environment significantly enhances productivity," said Wang Xiangyuan, Party chief of Taicang.
DEEPER COOPERATION
Over the past 30 years, Taicang has consistently strengthened cooperation with Germany, expanding from economic realm to areas like culture, education, and sports.
The city has hosted events such as beer festivals, marathons, and Sino-German artist salons for over a decade, and Germany's renowned dual system of vocational education and training has found a seamless fit in Taicang, making it an increasingly desirable place of residence for Germans.
Noel Sirerol Gonzalez from Spain used the words "inclusiveness" and "openness" to describe Taicang. He found that the city is filled with cultural charm, and its residents are enthusiastic about sharing and embracing different cultures. This was evident during their participation in the 18th Taicang Rothenburg beer festival held in late September, he said.
The ubiquitous German elements and the German-based lifestyle in Taicang create a sense of being at home, said Hornfischer. He established his residence in the city after marrying a Chinese wife, and they now have three children studying in Shanghai.
Hornfischer currently also works as the rotating chairman of a Sino-German charitable organization based in Taicang that provides job opportunities for intellectually challenged people nationwide. "I want to share the happiness I've experienced in Taicang with more people," he said. Enditem
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