Five Chinese investors have expressed their intention to invest in the Eastern Cape after the Eastern Cape Development Corporation (ECDC) participated in an investment promotion mission to the Asian economic powerhouse last month.

The delegation which included Trade and Investment South Africa (Tisa), East London Industrial Development Zone (IDZ) and ECDC attracted significant interest from investors in the automotives, textiles and clothing, and plastic pipes moulding industries.

"The trip to China was successful and we are excited that we were able to showcase the Eastern Cape as an ideal investment destination, where investors will have access to the necessary infrastructure to support their businesses.

 "These investors are promising to consider this opportunity; however, we understand that it takes time to court an investor. They will conduct their own research to determine the destination that offers them the best incentive to invest. Investors also consider the cost implications of investing when choosing an investment destination followed by political and economic stability," says ECDC chief executive officer Mxolisi Matshamba.

Matshamba says two investors expressed interest in the province's automotive sector which is the heart of the local economy.

"This is exciting because it means we have a strong value proposition in this sector which is strengthened by the fact that we have two ports in both the major centres in East London and Port Elizabeth. The necessary infrastructure is available to assist potential investors," Matshamba says.

Matshamba says he was amazed by the way China has improved its economy and was ranked with the likes of United States as well as the way it has conducted their Industrial Development Zones.

"They have an IDZ in Hangzhou where there are about 400 companies and 16 universities of technology.

He says he was also shocked by the massive support which the Chinese government gives to its IDZs.

China maintains its surplus with its trading partners; it is also one of the fastest growing countries in its economy. Measured by its Gross National Income, China has the second largest economy, following the United States.

"We are positive that the value proposition we presented to those investors will work because the Eastern Cape has three ports which is good for automotive investors."

Matshamba says the potential investors have also offered their science and technology skills to the province in the formation of techno parks.

"They would bring in people who are skilled in science innovation to work with us in building this capacity.

He says the trip to China was fruitful and that language was not a barrier because the department of trade and industry provided English-speaking locals to help with the interpretations.

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For more information, contact:

Mxolisi Matshamba

ECDC CEO

Telephone 043 740 5600

Email mmatshamba@ecdc.co.za

For ECDC media relations:

Lunga Mtshizana

ECDC

Telephone 043 726 8833

Cellular 083 6187 557

Email lunga@smgafrica.com