Beijing import and export values up 13%

Despite slowdown in global economy, import and export values in Beijing totalled more than $65 billion.

Colliers International said:

Beijing’s import and export values totalled USD65.54 billion, up 13% y-o-y (Beijing Customs District, March 2012), indicating the city was still able to boast a healthy growth despite the slowing global economy.

The Ministry of Finance (MOF) made an announcement in February concerning the reduction of 50% in land use taxes for logistics companies building storage facilities on land areas of more than 6,000 sqm. Current land use tax rates ranged from RMB0.5 to RMB10 psm per year, depending on the location. The cut is expected to help offset high labour and transportation costs, as well as increasing land prices, for the logistics sector.

The government has been making a conscious effort to promote the logistics sector along with Northeast China, issuing an industrial restructure plan for this region and plans to revitalise Northeast China’s economy.

All of the aforementioned aided in a thriving performance for the Beijing industrial property market. During 1Q12, despite the very minor uptick of vacancy rate, the average net effective rent was pushed to a new height by strong demand from both domestic and overseas companies.