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  China 4









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China's economy has changed incredibly in the last 35 years. The still Communist Party has frequently withdrawn from the economy and an ownership structure allow to incur, the much investment capital brought into the country. Growth rates of 7 to 9 percent will be reached despite increasing difficulties also this year (2012).

Urgent problems - as the temporarily increasing rural exodus - could be mitigated by better revenues for agricultural products. Nevertheless, the difference in earnings to urban population is enormously by a factor of about 3.

The country is rich in mineral resources. Only energy has to be imported to a large extent. Electricity is produced in China, despite some flagship projects mainly from coal, whereby the mines are among the most dangerous in the world. Also the transport system e.g. for ores still has shortcomings. It remains unclear whether it will succeed the country to build a nationwide transport infrastructure in the near future.

VW is currently planning a new plant for the production of gearboxes in Tianjin, 150 km east of Beijing. 450,000 units should be produced there no later than from 2015. An emphasis is the cooperation with localvocational schools to establish a competence center for master craftsman training. Thus, the second problem of the rapid boom becomes clear, the lack of qualification.

Rush-hour
London
Beijing
167 Autos per km²
473 Autos per km²

The lack of protection of the environment is partially palpable even with hands. A capital city that has to suffer too much under smog at times, pointing after the traffic jams another downside of the high volume of traffic. And that against the background that China should be in the coming years, one of the major travel destinations worldwide.

For us in Europe China apparently has become very important in the time of financial crisis. Vehicle manufacturers who does not export to China like Opel and the French car plants have trouble because of declines in sales in Southern Europe. In contrast, VW and the German luxury car manufacturers are doing very well. The former there sells almost a third of their total production.

China appears therefore as a newcomer from the group of developing countries, however, apparently acts according to established rules. Long-lasting trade relations, such as the from VW seem to be paying off now, yield of decades of investments (pictures). However one will be also more dependent, as this was e.g. with the U.S. export in previous years. 09/12



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