South China American Chamber of Commerce member companies ' budget investment falls this year

Li Xiangwan policy uncertainties, intensified local competition, rising human costs and the exchange rate are disturbing the foreign enterprises investing in South China, especially the export-oriented manufacturing enterprises.　　U.S. companies in southern China have seen their budget investment fall this year. Yesterday, the U.S. Chamber of Commerce in South China released its annual survey on the economic situation in southern China in 2011 (hereinafter "the report") pointed out that the majority of the respondents expressed satisfaction with the business environment in southern China, and that the overall business environment continued to improve. 95% per cent of the companies surveyed have made profits or are expected to be profitable in two years, higher than previous data.　　In addition, 87% of the surveyed companies employed the existing labour market advantages to hire new employees, and the South American Chamber of Commerce member companies have hired 488,000 new employees in 2010. While the respondents were optimistic about the business environment, they took a cautious and conservative attitude towards the future investment budget. The survey showed that the estimated investment in the "next year" and "next three years" of the respondents declined by nearly 8% compared with last year.　　According to the current member companies of the American Chamber of Commerce forecast, 2011 the Chamber of Commerce member Enterprise budget investment of 8.617 billion U.S. dollars, the future three-year budget reinvestment total of 9.625 billion U.S. dollars, respectively, compared to last year's estimates have been reduced. Halley Sayadin, president of the American Chamber of Commerce in South China, said in an interview with the first financial daily yesterday that the investment in the survey was declining, and that the chamber would conduct in-depth research to verify whether the actual investment was down by the end of the year.　　At present, some enterprises reflect the situation, after 2009 years, 2010 two years in the Pearl River Delta, the Yangtze River delta after a large number of investment expansion, this year no longer large-scale construction plant, but mainly on the existing basis to invest in improving plant and improve management.　　In the course of the survey, most of the respondents listed China's policy uncertainties as the major challenges to be faced in the coming year, and they also considered that the increase in local competition, the rising cost of human resources, the lack of professionals and the exchange rate issues are other challenges for the future development of enterprises. Harry also talked about people want to continuously improve their lives, labor costs are inevitable trend, wages must be rising, as for the appreciation of the renminbi, the number of respondents in favor and opposition to the amount of, is still unable to determine whether the appreciation of the renminbi is favorable or unfavorable to enterprises, should be someone happy people worry. A growing number of US-funded companies investing in southern China are changing their development patterns the proportion of companies offering products and services to the Chinese market has risen year by 2006 from 46% to 75%, which is basically able to digest rising costs, while 25% of US-owned manufacturing companies that still remain in export-oriented industries are subject to considerable cost impact , the competitive advantage of these companies is further weakened than those invested in other lower-cost countries or regions.