Shanghai FTZ's bonded area posts robust FDI growth in June

Contract foreign direct investment in the Waigaoqiao Bonded Area of China (Shanghai) Pilot Free Trade Zone surged 2.8 times year-on-year to $1.08 billion in June, according to the area's administration bureau.

In June, the bonded area generated 235 billion yuan ($34.83 billion) in total operation revenue, up 12 percent year-on-year. Ninety-one enterprises were newly registered in the area, recovering to the same level as before the COVID-19 resurgence.

The stellar performance was partially a result of targeted services that the local administration bureau offered.

As of the end of June, officials from the Waigaoqiao administration bureau visited 259 enterprises and solved 125 out of the 213 issues they collected. The remaining 88 are being handled by designated officials.

Edwards Trade (Shanghai) Co, which specializes in the global distribution and maintenance of vacuum pump systems, suffered a production capacity decline in April and May due to the impact of the recent resurgence of the epidemic in Shanghai.

After learning about the company's difficulty, Waigaoqiao administration bureau provided timely support to solve issues about logistics, foreign professionals' entrance into China and individual taxation.

"Thanks to the administration's highly efficient services, our production capacity was back to normal in June," said Xu Jian, the company's general manager.

As businesses recover from the latest COVID-19 wave in Shanghai, foreign-funded companies based in Waigaoqiao remain confident about development in the area.

Many globally renowned companies have recently increased their investment in Waigaoqiao, including Lumenis - the world's leader in aesthetic and medical laser equipment that set up a laser tech innovation center in Waigaoqiao, and Swiss luxury watchmaker Patek Philippe that established its Chinese headquarters in the area.