Chinese choose City of Industry

Diplomats focus on manufacturing, distribution

Representatives of 20 Chinese companies visited the city

Among several programs they offer, The United Nations Development Project seeks to develop business ties in trade between the United States and other countries.

Through this project, two groups of 25 diplomats from six different provinces in China have visited the City of Industry in order to expand their focus on establishing manufacturing and distribution tenants.

They chose the City of Industry after examining cities across the United States, recognizing its rapid growth and potential for expansion. California has long been a key Pacific Rim trading port.

"The City of Industry's location and rapid rate of growth makes it the perfect place to set up business," says Jeffrey Long, Vice President of the Universal Trading Group in New York.

Working in conjunction with the UN Development Project and the Ministry of Foreign Trade Economic Cooperation in Beijing, Universal Trading Group has already assisted in relocating 20 companies to California. Long would like to see more come to the City of Industry in the near future.

The first visit in May was followed up by a second visit in June by engineers looking at concrete construction in the San Gabriel Valley as well as the physical layouts for manufacturing and distribution companies. They explored the City of Industry as a potential location for their companies and sought to arrange trade relations with companies already present.

The third visit brought more diplomats. They inquired about the City of Industry's educational system, Police, CHP, Fire Departments, city government, tax laws and living areas. The visitors took back more information about expanding or relocating business in Industry.

With such companies as Coca-Cola, J.F. Manufacturing, L.A. Signal Inc., Nextel Communications, Inc., The Pep Boys, and Rowland Industrial Investments LLC, and many more businesses applying for use permits, the City of Industry is rapidly expanding. There are currently 42 new projects under way, either for expansion or relocation. Many firms find the city attractive since it is on the Alameda Corridor, raising the city's importance in global trade.

"We're thrilled to have the Chinese businesses so interested in relocating to the City of Industry," says Don Sachs, Executive Director for the Industry Manufacturers Council.

Since 1988, annual two-way trade between the U.S. and China, Taiwan and Hong Kong has mushroomed from $17.4 billion to $46.5 billion. Consequently, in 1996, 58% of all use permits for the City of Industry were given to Chinese-owned companies. In 1997, the number has grown to 67%. Some of the permits are for expansion of companies, some for relocation within the city. At the end of the trip, the Chinese diplomats were presented certificates as a remembrance of their stay in the U.S. and for their exposure to our western ways.

After studying all the information collected by the first two visits, a group of general managers and factory presidents from 20 different companies in China were scheduled to visit the City of Industry in August to make their final report on opportunities here and begin the process of setting up agreements.

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