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6 Special Report on the State of Business in South China

Q: Forthecoming3years,whatisyourcompany’sexpectedreinvestmentvolumeinChina?

40%
Not applicable

35%
Greater than $250 million

30%

25% Between $50 million and $250 million

20% Between $10 million and $50 million

15% Between $1 million and $10 million

10%
Less than $1 million

5%

0% 2015 2014
2016

Similar to results in 2015 and earlier years, this year we find pants this year were slightly less likely to have planned reinvest-
that the distribution of 3-year reinvestment budgets mainly ments of “Less than $1 million”, “Between $1 million and $10
skewed toward smaller amounts. million”, “Between $10 million and $50 million”, and “Between
$50 million to $250 million”, while being somewhat more likely
This year, more than 35.8 percent of the participants re- to have planned reinvestments of “Greater than $250 million”
ported that 3-year reinvestment budget amounts were “Not ap- over the 3-year time frame.
plicable”, a 15 percent increase compared with last year, which
is made up by modest declines in other categories respectively,
except for the “Greater than $250 million”, indicating partici-

Q: For future reinvestments, in which areas of China will you likely expand in the next
three years?

60% Yangtze River Delta

50% Northern China

40% Western China (Sichuan)
30% Western China (other locations)
20% South China (Guangdong)
South China (Guangxi)

10% South China (other locations)

0% 2015 2014 Other
2016
Yangtze River Delta, while modest declines in the proportion
We see an almost 14 percent rise in the proportion of com- of companies planning investments elsewhere.
panies planning investments in “South China (Guangdong)”,
and a slight increase in the proportion of companies choosing

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