China is by far the most important sales market in Asia for German mechanical and plant engineering. Companies in the German capital goods industry, which want to further expand their presence, especially in Asia, enjoy a wide range of business opportunities in the Chinese market.
However, the specific country, labor and corporate culture can create difficulties in establishing German-Chinese business relations. Moreover, foreign investors often underestimate the particularities of the Chinese market. This is also a major challenge for the companies of the medium-sized German mechanical engineering industry.
The two VDMA Offices in China provide advice and assistance to companies that are new to the market in their orientation phase. In addition, VDMA offers an interesting platform to members already established in the market.
Network, Representation of Interests and Services are the three pillars of our work. The aim is to provide useful knowledge about industry and market developments with directly collected data as well as secondary information.
Network in China
Our extensive network is one of our core strengths. VDMA China with its two offices in Beijing and Shanghai is a network platform for all VDMA members with business interests in the Chinese market.
The China network is available to all VDMA companies and their subsidiaries in China.
Network formats of the VDMA China Offices
- Annual members' meeting (VDMA China Mechanical Engineering Summit)
- Industry-specific China Management Meetings (CMM)
- Events on crosscutting topics (e.g. customs, certification, financing)
- Delegation trips
- Newsletters and mailings
- China country consultation days in Germany
VDMA China also has an extensive external network. We use it to collect information on current economic developments, policies & regulations and trends in mechanical engineering but also to introduce VDMA positions into current economic policy dialogues and discussions. We are happy to make this available to the members with specific questions and arrange for contacts to competent contact persons:
- Politics and business
- Industrial parks and cluster regions
- Business associations in China
- Experts on customs, technical regulation (certification + standardization)
- Consulting firms with expertise in law, taxes, accounting/controlling, financing, personnel
If you have any questions or suggestions, please do not hesitate to contact us.
Representation of Interests
VDMA is an active and competent advocate of mechanical engineering in Germany and the EU on all economic policy and technical issues. The long-term success of the member companies depends on the design of framework conditions.
In China, too, VDMA aims to bring the positions of its member companies into the economic policy discussions and to make a constructive contribution to the further development of technical regulations. Of the current 3,200 member companies of the VDMA, more than 800 have invested in China in the form of trading companies or production facilities. The subsidiaries of VDMA members in China generate revenues of an estimated 20 billion euros and employ several thousand people.
Transparent and fair framework conditions are crucial for our members and it is our task to define positions and promote towards national authorities and business circles. Economic policy positions are defined from market observation, direct contact with member companies and through the network to trade associations and regional subsidiaries. These are then fed into the public discussion using the office's local network via various formats.
In the field of technical regulation, there are contacts with the SAC (Standardization Administration of China) and the CNIS (China National Institute of Standardization), where the technical guidelines are first adopted and then updated in subsequent years. Similar to the EU, some input from the economy is needed.
So far, German companies have been less represented in standardization and the corresponding Technical Committees (TC's) in China. Such cooperation involves a comparatively high expenditure for German companies, and in the local subsidiaries there are usually no free resources available for such tasks. Nevertheless, it is also possible for foreign companies in China to actively participate in the committees through your subsidiaries, thus incorporate their own positions in the further development of standards.
Through our network in China, we constantly collect information about the Chinese market and the economic policy framework. Due to our constant contact with companies in China, we have extensive knowledge of typical problems in the China business, frequent mistakes but also about successful business models.
We are happy to provide this China competence to VDMA members. You can contact our office with your questions about China. Either we can answer the question ourselves within the framework of free consultation, or we can provide you with a service provider who can help you.
Common topics include market information, technical regulations (certificates and standards), etc.
For newcomers, the China office offers initial advice on business development in China if required.
- Market Entry China: sales, service, logistics, production; process of market entry
- Special features in the handling of foreign trade with China
- Location selection taking into account the specific business structure
- Market barriers for imported products
- Overview of technical regulation (certificates and standards)
- Contact with consulting firms Law/Taxes/Accounting/Controlling/Personal
We organize industry-specific meetings and events on crosscutting topics. And we participate in the organization of market development trips.
Through newsletters, we provide information about the Chinese market and special industries. Furthermore, we regularly conduct business climate surveys and produce statistical analyses of the mechanical engineering export to China.
If you have any questions about our service portfolio, please do not hesitate to contact us.