IE Singapore Signs MOU with Guangxi to Establish Key Belt and Road Connectivity Node Linking China to Southeast Asia

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IE Singapore Signs MOU with Guangxi to Establish Key Belt and Road Connectivity Node Linking China to Southeast Asia M E D I A R EL EA S E IE Singapore signs MOU with Guangxi to establish key Belt and Road connectivity node linking China to Southeast Asia Partnership creates transport and logistics opportunities for Singapore companies; collaboration also includes trade, digital economy and internationalisation of Chinese enterprises. Pacific International Lines (PIL) kick-starts connectivity collaboration with landmark deal to build a world-class, intermodal logistics park in Nanning city. MR No.: 015/17 Singapore, Friday, 28 April 2017 1. International Enterprise (IE) Singapore signed a Memorandum of Understanding (MOU) with the Guangxi Zhuang Autonomous Region Government today to jointly improve connectivity between Western China and Southeast Asia via Guangxi1. Pacific International Logistics (PIL) will also develop the Singapore-Guangxi Integrated Logistics Park (SGILP) in Nanning city. 2. On a visit to Guangxi last week, President Xi Jinping emphasised Guangxi’s important role in the Belt and Road Initiative as the key node boosting trade and interconnectivity between China and ASEAN. This MOU will spell opportunities for Singapore companies in intermodal connectivity projects (across air, land and sea) to serve the Southern Transport Corridor(南向通道), developing Guangxi as a logistics base to distribute to Southeast Asia and strengthening China’s Belt and Road initiative. 3. The MOU was signed by Mr Lee Ark Boon, Chief Executive Officer (CEO) of IE Singapore and Mr Zhang Xiaoqin, Vice Chairman of the Guangxi Zhuang Autonomous Region. It was witnessed by Dr Koh Poh Koon, Minister of State (MOS) for National 1 Guangxi is a province situated in South China, facing the Pan-Beibu Gulf (Tonkin Gulf) and bordering Vietnam. IE Singapore is the government agency that promotes international trade and partners Singapore companies to go global. IE Singapore Media Release 28 April 2017 Development and Trade and Industry, and Mr Peng Qinghua, Guangxi Party Secretary. MOS Koh is accompanied by a 20-strong delegation comprising companies from sectors including logistics and real estate. 4. Said MOS Koh, “The Southern Transport Corridor links Western China to Southeast Asia through Guangxi, connecting the land-based Silk Road Economic Belt with the ocean-going 21st Century Maritime Silk Road. This partnership strengthens Guangxi’s position as China’s pathway to Southeast Asia. Importantly, this allows us to capitalise on the Belt and Road initiative to promote interconnectivity and strengthen Singapore’s role as a key node for global connectivity.” Opportunities for Singapore companies 5. Said Mr Lee Ark Boon, CEO of IE Singapore, “IE Singapore’s MOU with Guangxi is part of our ongoing strategy to engage foreign governments on a deeper level. This expands our provincial and city level networks in China and connects us with key stakeholders in Guangxi for strategic economic collaboration. Singapore companies benefitting from this include those in transport and logistics such as port management, warehousing and third party logistics, as well as downstream processes like supply chain management, consultancy and professional services.” 6. IE Singapore and the Guangxi Zhuang Autonomous Region Government will focus on the following areas under the MOU: a. Jointly explore development of the proposed “Southern Transport Corridor” connecting Chongqing and Guangxi to Singapore. This will connect Western China and Southeast Asia via Guangxi (a province designated as China’s gateway to ASEAN), and Singapore. This also adds to Singapore’s position as a key global node. b. Support the development of the SGILP in Nanning city. Today, PIL signed a MOU with the Nanning Municipal Government and Guangxi Department of Commerce to build the SGILP. Spanning 3sqkm, this Park will consolidate supply and provide world-class logistics solutions such as central warehousing, cold chain management and multimodal transportation. The SGILP will also seek to optimise and leverage the current container terminal in Qinzhou, a joint venture between PIL, PSA and the Beibu Gulf Port Group. c. Strengthen collaboration in Smart City and Technology developments, trade and internationalisation. To promote trade flows, both parties will Page 2 of 4 IE Singapore Media Release 28 April 2017 collaborate in urban planning and smart cities, and identify new opportunities in finance, environment and education. IE Singapore will promote bilateral exchanges and facilitate business matching between Singapore and Guangxi trade/business associations and enterprises. 7. Guangxi is one of China’s fastest growing provinces led by strong regional economic growth and continued urbanisation, with GDP growth of 7.3% in 2016. Guangxi is the only province in South Western China with open sea port facilities and an important international corridor linking China to Southeast Asia. 8. Singapore has been a strong supporter of the annual China-ASEAN Expo in Nanning, Guangxi. Singapore is the largest ASEAN investor in Guangxi. As of end 2016, Singapore has 213 projects with cumulative actual investment of US$1.3 billion (+26% from 2015) in Guangxi. For example, ComfortDelgro’s joint venture is the largest taxi operator in Nanning city. Other Singapore companies that have made headway in the province include Banyan Tree, DBS and Sembcorp Utilities. Get story leads from IE Singapore’s Twitter (@IESingapore) and Facebook (IESingapore) accounts. --End-- Note to Editor Please use ‘IE Singapore’ if an acronym for ‘International Enterprise Singapore’ is required. Unless otherwise stated, the use of statistics cited in our media releases, website or Statlink, should be attributed to IE Singapore. For media enquiries and/or event photos, please contact: Ms Cheryl How Manager, Media Corporate Communications Group DID : +65 6433 4655 Email : [email protected] ________________________________________________________________________ About International Enterprise Singapore IE Singapore is the government agency that promotes international trade and partners Singapore companies to go global. We attract and anchor global trading companies in Singapore by promoting our unique advantages as a global trading hub. Today, Singapore is home to a complete ecosystem for the energy, agri-commodities and metals & minerals trading clusters. Page 3 of 4 IE Singapore Media Release 28 April 2017 Through our network of over 35 overseas centres and comprehensive assistance programmes, we partner Singapore companies to strengthen their global competitiveness. Visit www.iesingapore.gov.sg for more information. Page 4 of 4 .
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