Competition for Chinese investment is hot and the United States should make more efforts
Private equity firms the Carlyle Group Managing Director Ma Dingwen said "So, while most of China's investments transactions are approved in the United States, or even need not to be approved, many Chinese executives still think United States does not welcome Chinese investment."
It can not be denied that asChinahas opened the gate of economy, in recent years, the East Asian giant's investment in theUSis growing steadily. According to primary statistical data provided by the economic research and consulting company Rhodium Group with the headquartered atNew York, in 2011, as the world's second-largest economy,Chinahas invested about US $ 5 billion in theUnited States. Research Director CILO Hahnemann pointed out that this figure was almost the same as that of a year earlier, or might be slightly lower. The same amount of investment in the United States does not necessarily mean that China thinks that United States is becoming less appealing, but because the pace of investment in Europe has accelerated.
With the continual development of the debt crisis in Europe, Chinese investors are increasingly attaching importance to looking for opportunities in Portugal, Spain, Greece and other countries as governments of these countries which have been troubled in the debt trap have been selling public assets. According to Rhodium, in 2011Chinahas ever invested more than US $ 9 billions inEurope.
But whatIrelanddid was not just as simple as selling public assets. This is nothing surprising as in the pastIrelandeconomy also relied on exports and foreign investment. From Pfizer to Facebook, manyUnited Statesmultinationals have already established the European headquarters inIreland.Irelandhoped that Chinese companies can follow – local low corporate tax rates, relatively good education, and English-speaking labor forces are attractive to transnational corporations.
Yes, competing for Chinese investment is on the rise. If theUnited Statesdoes not compete withIrelandor any other country harder, people are likely to think theUnited Stateshas made a mistake in this matter. It should be acknowledged thatIreland's current financial situation is much more severe than that in theUnited States; therefore, there is an urgent need to attract all the potential investments. After collapse of the property market and the banking crisis,Ireland's unemployment rate has been as high as 14%.
Irelandis trying to reverse this situation. In recent months, signs show that investors seem to have confidence, believing thatIrelandcan solve the debt crisis better than other European countries.
It can not be denied that asChinahas opened the gate of economy, in recent years, the East Asian giant's investment in theUSis growing steadily. According to primary statistical data provided by the economic research and consulting company Rhodium Group with the headquartered atNew York, in 2011, as the world's second-largest economy,Chinahas invested about US $ 5 billion in theUnited States. Research Director CILO Hahnemann pointed out that this figure was almost the same as that of a year earlier, or might be slightly lower. The same amount of investment in the United States does not necessarily mean that China thinks that United States is becoming less appealing, but because the pace of investment in Europe has accelerated.
With the continual development of the debt crisis in Europe, Chinese investors are increasingly attaching importance to looking for opportunities in Portugal, Spain, Greece and other countries as governments of these countries which have been troubled in the debt trap have been selling public assets. According to Rhodium, in 2011Chinahas ever invested more than US $ 9 billions inEurope.
But whatIrelanddid was not just as simple as selling public assets. This is nothing surprising as in the pastIrelandeconomy also relied on exports and foreign investment. From Pfizer to Facebook, manyUnited Statesmultinationals have already established the European headquarters inIreland.Irelandhoped that Chinese companies can follow – local low corporate tax rates, relatively good education, and English-speaking labor forces are attractive to transnational corporations.
Yes, competing for Chinese investment is on the rise. If theUnited Statesdoes not compete withIrelandor any other country harder, people are likely to think theUnited Stateshas made a mistake in this matter. It should be acknowledged thatIreland's current financial situation is much more severe than that in theUnited States; therefore, there is an urgent need to attract all the potential investments. After collapse of the property market and the banking crisis,Ireland's unemployment rate has been as high as 14%.
Irelandis trying to reverse this situation. In recent months, signs show that investors seem to have confidence, believing thatIrelandcan solve the debt crisis better than other European countries.