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Statistics from the Invest in France Agency (IFA) Greater China show that the number of Chinese mainland companies in France has surged to 100. The figures are the same for enterprises from Hong Kong and Taiwan.

Most of these mainland companies' presences are representative offices but a few of the larger ones have decided to set up operations in the country.

It is proof that China is becoming increasingly important in terms of international investments.

On the other hand, a study conducted by IFA indicates that France enjoys a good image among Chinese business circles. Chinese managers feel a strong affinity with France on a personal level.

More than two thirds (67 per cent) of the Chinese managers have a positive opinion of France's economy and business. Among the European countries, France is perceived to be the most attractive location for Chinese investments, equally placed with Germany.

The major competitive advantages of France listed by Chinese interviewees include the Sino-French relationship, its geographical position in Europe and its infrastructure, the general business environment, its economic maturity and quality of life.

More Chinese enterprises are choosing France as their gateway to Europe and achieving success in the overseas market.

"France is a very open country to international investments," said Remi Girardot, chief executive officer of IFA Greater China.

"As the world's fifth largest economy, France received yearly foreign direct investments of around 40 billion euros (US$50.8 billion). It is internationally competitive in many industries, including logistics, communications, agricultural product processing and automobiles, which perfectly complements the growing needs of China's economy," he told China Daily in an interview.

IFA under the French Government is responsible for promoting, prospecting and facilitating international investment in France. It also co-ordinates initiatives promoting France's image.

IFA set up its Greater China headquarters in Shanghai in 2005, to better respond to the increasing number of Chinese companies, which had cast their eye on the European market.

"We focus on providing Chinese investors with legal support, investment consultation and generally helping them take their business across the world. In the last two years, IFA China has witnessed an amazing increase in the number of projects. More than 50 investment projects from Chinese companies are currently being treated," said Remi Girardot.

Close partnerships are established in certain key industries, such as the automobile sector, where several Chinese groups have the ambition of being present in Europe under their own trademark, such as Cherry, Geely and SAIC.

Most of the employees of IFA China are Chinese and have perfect knowledge of the Chinese economy and of the Chinese mentality. In France, IFA works in partnership with regional development agencies to offer international investors outstanding business opportunities and customized services. For potential Chinese investors in France, Girardot suggested that they be well prepared for the move. The Shanghai office can provide companies with customized, confidential and complimentary services and information.

(China Daily 10/25/2006 page18)