Kindred spirits on other side of world

Feb 4 2009 by Brendan Murphy, The Journal

WITH the exchange rate encouraging more companies to trade abroad, I would urge them to look to China, which remains the fastest growing market in the world and holds a wealth of opportunities for North East businesses.

The North East has already developed strong links with China, and in March 2007 the North East Chamber of Commerce signed a memorandum of understanding with the Shanghai Federation of Industry and Commerce. Since then, NECC has put a lot of effort into fostering these links and in May will sign a similar trade agreement in Harbin, north-east China.

We are keen to build on the work we, along with One North East, did in Shanghai in 2007 and this agreement with Harbin will help strengthen the trading links between our region and that part of China. Harbin is a sub-provincial city and the capital of the Heilongjiang Province. It used to be the key trading post between China and Russia and is now an important centre for power generation, bearings, chemicals, aircraft, cars and heavy machinery.

Harbin’s main industries are currently dominated by state-owned enterprises which the government is keen to develop into more commercial operations. Also under development are enterprises in the city’s new food processing, electronics, ICT, pharmaceuticals, wind power and environmental sectors. The diversity of markets in Harbin offers a host of business opportunities to North East firms which we encourage them to take up.

NECC’s visit to Harbin will be combined with a visit to Nanjing, which has become a centre for automotive and component manufacture with the local operations of Fiat, Ford and Mazda.

Nanjing also has a very strong petrochemicals manufacturing base along with strengths in electronics, financial services and retail. Together, these industries closely ally the city with North East England. The trade mission will be made in partnership with Sunderland City, which has both university and civic links with Harbin.

It is true that in the economic downturn we tend to look inward and be conservative in our approach to business, but it is important to remember the wealth of opportunities for companies outside the regional and even the national confines.

The world has become a smaller place and we should be looking to foster these relationships on a global scale.

Brendan Murphy, NECC head of international trade.