(ANSA) - Italian business in China has boomed in
recent years and continues to grow at a rapid rate.
The swift pace of change
makes precise calculations impossible but the most recent surveys have painted
the following picture:
= NUMBERS & NATURE OF ITALIAN BUSINESSES =
- There are 1378 Italian firms operating in China,
515 of which are involved in industry.
- OWNERSHIP - 1085 firms function with investments
from Italy; 117 are joint Italian-Chinese ventures; 429 are industries
registered in Italy; and fifteen are foreign firms created with Italian
capital.
NB Some of the figures are unreliable because services firms
frequently draw on capital from several countries.
- INVESTMENTS BY ITALIAN AREA - 47.85% come from
northwest Italy; 38.68% come from the northeast; and 12.21% come from central
Italy.
- INVESTMENTS BY ITALIAN REGION - The vast majority
of investments come from the northern region of Lombardy. The next three
regions, lagging some distance behind, are Veneto, Emilia Romagna and Piedmont,
all in northern Italy.
- SECTORS - The highest concentration of Italian
investments is in machinery and equipment, at 41.5%. The next most popular
sector, at just 15.72%, is textiles and clothing.
- BIG BUSINESS - The largest Italian firms operating
in China are car manufacturers Fiat, and its transport subsidiary Iveco,
followed by the scooter and vehicle producer Piaggio. Insurance giant
Assicurazioni Generali is the largest representative in the financial sector.
- LOCATIONS IN CHINA - Most Italian businesses are
concentrated in eastern coastal provinces for logistical reasons.
- Thirty five percent of all Italian businesses in
China are in Shanghai.
- Twenty one percent are in Beijing.
- Sixteen percent are in Guandong, mostly
concentrated in Shenzhen)
- Nine percent are in Jiangsu.
= ITALIAN BUSINESSES COMPARED TO OTHER FOREIGN
VENTURES =
- The number of Italian businesses in China is still
small compared to other countries, such as France.
- However, a recent study by the Italian-based
business think-tank, Osservatorio Asia, reported that Italian ventures
distinguish themselves from other foreign businesses in two key ways:
1)
Their involvement in China is not primarily motivated by a cheap labour
market.
2) They continue manufacturing goods in Italy even after entering
China. "This approach has, in many cases, allowed the country to remain more
competitive," the study said. "This is because the company has a broader
manufacturing base and is able to restructure its business in terms of
production, logistics and resource management".
- According to Osservatorio Asia, this means Italian
businesses have a more solid foundation in China, enabling them to stay the
course in the long run.
- Finally, it should be noted that Italian businesses
- like those of China - are frequently family-run small and medium-sized
ventures. Such businesses often don't register immediately with the authorities
and, as such, are not
considered in calculations.
