New incentives inspire foreign investors

Dongfeng Honda's workshop in WEDZ. [Photo provided to en.whkfq.gov.cn]

The Wuhan Economic & Technological Development Zone (WEDZ) recently rolled out a package of policy measures to encourage more foreign investments.

The measures include incentives for founding enterprises, setting up headquarters, R&D, fostering talent, and living subsidies. New foreign investors who recently established businesses in the zone, foreign companies that have increased their fixed asset investments, and intermediaries who have successfully brought in overseas investments can all receive corresponding subsidies or bonuses.

Foreign investors who have paid their registered capital will be subsidized with up to 25 million yuan ($3.69 million). Foreign enterprises which are headquartered in the zone will also be granted a one-time bonus of 3 million yuan.

When a company's foreign investment in fixed assets reaches $5 million, it will be rewarded a bonus of up to 35 million yuan.

Foreign companies will also be subsidized when they purchase or rent office buildings or workshops.

If they hire local workers holding college degrees or higher, they will also receive a 3,000-yuan allowance for each worker for three years. The number of such workers subsidized will be no more than 500. In addition, employees whose annual income reaches 300,000 yuan and high-end personnel will also receive personal subsidies to a varying degree, depending on their actual situation.

Overseas manufacturing or modern service operators whose businesses have reached a certain scale will enjoy a one-time grant ranging from 3 million to 10 million yuan.

International chain stores or business complexes whose annual revenues hit 50 million yuan or 100 million yuan for the first time will receive a 1-million-yuan or 2-million-yuan reward, respectively.

Intermediaries that have successfully brought in foreign investment projects will also be rewarded with a 5-million-yuan grant at most for each project.

By the end of 2021, WEDZ was home to 412 foreign corporations.