Many businesses are making an insightful decision to expand their company to the Guangzhou FTZ (Free Trade Zone), which can serve as a powerful investment vehicle for mainland China businesses. This specific free trade zone is designed for the erection of wholesale and retail establishments.
With the help of Horizons, you can register your business in the Guangzhou Free Trade Zone in as few as 30 working days. This zone allows for 100% wholly-owned foreign enterprises (WFOE), which are completely owned, capitalized, and operated by foreign investors.
Read: Shanghai Free Trade Zone and New Six Free Trade Zones Soon to Be Launched.
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Recent advances in the Guangzhou free trade zone
During recent years, Guangzhou has realized some significant advances. The pilot free trade zone’s imports and exports reached a significant 195.1 billion yuan in 2017 (approximately 31.1 billion USD). This was after realizing average increases of 14.5% each year since 2014 when the zone was first launched.
This significant jump may be due to the fast VAT rebate that the Chinese government gives to businesses that export goods. The Guangzhou Free Trade Zone is one of the best investment zones in China for the export and import of goods. It also benefits from a unique custom supervision system. This system allows you to only pay tax when products enter China.
Another recent development is the more than double increase in international shipping routes. This number of ports to and from Nansha went from 41 to 89 within the last three years. This port is the second largest port in China for vehicles traded through the parallel-import plan. Additionally, the number of shipping logistic companies has increased by 12 times since 2014 to now 4,802 as of 2018.
The cross-border e-commerce industry has also seen significant growth in the last three years, jumping from 30 million yuan to 7.2 billion yuan. The significant advances have encouraged major companies to establish businesses in the Shanghai Free Trade Zone, including Tesla.
Setting up a business in the Guangzhou free trade zone is easy
The lowered restrictions and proactive incentives for foreign investment make expanding to Guangzhou easier than ever. You can expand your business in the Guangzhou Free Trade Zone with:
- 100% of foreign owned investment
- No need to invest in real property
- No need to register capital
- A virtual address
- Setup in a matter of days
An expansion to this fully bonded area can make a significant difference to your business. Contact the experts at Horizons today to learn how we can help.
Why you should choose the Guangzhou free trade zone
One of the most significant advantages of this zone is its geographic locations. Its location makes it a desirable site for important end exports. It has several major ports coming to and from Macau and Hong Kong.
Additionally, Guangzhou is considered a leading industrial province and has a large electronic research and development sector. Given its logistical support and infrastructure, the region has been one of the highest GDP producers in China for more than 20 years.
Advantages of expanding to the Guangzhou free trade zone
The Guangzhou Free Trade Zone provides foreign businesses a number of incentives to launch into the Chinese market, including lowered regulatory processes and tax incentives. This makes an attractive option for overseas investors and foreign direct investment.
There are no limits to the scope of your business when setting up in the Guangzhou Free Trade Zone. Several industries benefit from lowered barriers to foreign investment. Fewer business types are actively prohibited or restricted from foreign investors as they are in other regions.
Setup is fast and easy with the help of a seasoned company like Horizons. Because you do not have to inject capital investment or purchase real property, you can enter the Chinese market risk-free. There are also fewer restrictions regarding cross-border money transfers.
How Horizons can help with your expansion to Guangzhou
Our experts can help you with all aspects of expanding to the Guangzhou Free Trade Zone, including:
- Identifying the scope of your business
- Completing the China Company registration process
- Complying with all legal setup regulations
- Getting your company name approved
- Registering your trademark and other intellectual property
- Completing certificates of incorporation
How Horizons can help with your expansion to Guangzhou
Post-Incorporation Business Services
- Conducting market research
- Assisting with a localized marketing campaign
- Setting up a virtual office
- Providing PEO services in China to recruit and handle employee relations
- Applying for a China work visa
- Helping you obtain a China company bank account
- Register for a fapiao machine
- Providing full back-office support, including tax compliance, accounting services, payroll, and human resources services
Contact us today to learn more about our impressive line of business services.
