Manufacturing

CNOCC

About 20% of Chinese exports are considered high tech, of these 61% come from wholly foreign-owned enterprises. Among China’s top exporters are Dell, Logitech and Motorola. But China is pursuing the development of national champions as well as integration with foreign transnationals. Huawei Technologies, the Chinese telecommunications giant, employs 10,000 researchers, has sales in 40 countries and joint ventures with NEC, 3COM and Matsushita. Another telecommunications company, state owned China Netcom is competing with Motorola and Nokia for the largest home mobile phone market in the world. (Dickie) When it comes to televisions, the state owned company TCL merged with Thomson from France to become the world’s largest producer, and Chinese electronic enterprises BOE Technology and SVA have both entered the liquid crystal display market and are expanding abroad.

The US semiconductor company SPS is also entering Beijing with an $800 million plant that will also include global funds and an international management team. Not to be left behind Shanghai based Semiconductor Manufacturing International is staging an initial public offering in Hong Kong and New York to raise funds for its $1.25 billion plant also scheduled for Beijing. (Dickie, 2) Other recent deals include Hynix which is planning a $1.2 billion project that includes the Chinese government, Europe’s largest chipmaker STMicroelectronics and GSMC of Taiwan. GSMC’s owner, Winston Wong, is partnered with Neil Bush, brother of President Bush, and Jiang Mianheng, son of China’s recently retired president.