Economy

Markets

Industries

Insights

Reports

Events

Software and outsourcing export remains star performer for Dalian

By Zhu Chengpei (China Daily)
Updated: 2009-11-02 07:40

Xinghai Square: one of the green developments in the city center of Dalian. [China Daily]

The northeastern city of Dalian maintained a stable export growth in the first nine months of this year, largely thanks to local government supports for overseas-oriented businesses, according to a regional trade official.

The city, the second largest in Liaoning, achieved a trade growth of more than $28.4 billion in the first nine months of the year, with exports reaching $14.9 billion, official statistics show.

The growth rate was higher than both the national and provincial average for the same period, said Zhang Xiaopeng, director of the Dalian foreign trade bureau. In September alone, the city's trade volume was around $4.2 billion, a year-on-year increase of 1.8 percent.

Zhang said: "In order to counteract the negative impact of the global economic downturn, we have strengthened cooperation with our export-oriented companies and encouraged them to more effectively access international markets.

"This year, the bureau has launched a series of preferential policies and financial support packages for exporters. These measures have proved effective in boosting local trade growth."

As a result, the software and outsourcing industry registered a growth in exports of $204 million in the first nine months. This was due to the combined efforts from authorities in the foreign trade, customs, taxation and foreign currency exchange offices in speeding up customs inspections and streamlining the taxation process for export-oriented companies.

According to Zhang, export software and outsourcing export services during the period grew by 44.5 percent, establishing the sector as a new export growth engine for the city.

The city's shipbuilding industry also registered a year-on-year increase of 87.6 percent, reaching more than $2.2 billion in the first nine months of the year.

Zhang said: "The current global financial crisis has resulted in a sharp decline in demand from overseas markets. Despite this, Dalian has achieved sustainable foreign trade development this year due to the government's support for export-oriented businesses."

In addition to introducing preferential policies, the local foreign trade authorities have also organized a series of training courses aimed at helping companies develop a greater understanding of both global market trends and local government incentive policies.

Related readings:  Dalian: core city to become beacon of growth  Software management sought across China  China should start a software revolution in response to mounting US tariffs  China's software industry grows, but at slower pace

Organized by the local foreign trade bureau, as many as 3,400 representatives from 310 local companies have now taken part in 25 domestic and overseas trade exhibitions over the past nine months.

Zhang said: "This has proved very effective as a number of these companies have secured trade agreements worth $750 million as a direct result of their presence at these events."

The authority has established a fund for developing international markets for more than 1,500 local companies. It has also earmarked more than 100 million yuan ($14.6 million) to support companies with a distinct focus on technology and innovation that are looking to expand on a global basis.

The foreign trade bureau is now planning to invest some 5 million yuan in building an international digital business platform later in the year. This will provide in-depth online trade information for local export-oriented companies.

The city currently has 10,112 companies that have been approved by the government to conduct overseas trade, said Zhang.