Posted on Fri, Oct. 24, 2003


Group aims to lure Asian business
S.C. leaders expect new companies to invest in state

The Associated Press

State Commerce Secretary Bob Faith said Thursday he expects a few new businesses will be investing in South Carolina after his two-week trade mission to China and Japan.

Faith and Gov. Mark Sanford are visiting Asia to recruit new businesses, meet with officials of foreign companies already located in South Carolina and discuss unfair trade practices with Chinese government officials.

Faith would not discuss specifics of new prospects and said he doesn't expect immediate results because of political and cultural barriers. Still, "I wouldn't be surprised if the governor and I don't come home with a pelt or two to put on the wall," Faith said. "We expect by the end of this trip to have some firm commitments to discuss in greater detail."

Faith said he has been selling South Carolina as a great place for investment because of its low electrical, land and production costs and strong work force.

South Carolina also has many companies with foreign parents already operating in the state, including BMW, Fuji Film, Honda and Michelin.

"That makes these people sit up straight and listen because they know those are very smart companies that have the ability to go anywhere they wanted to," Faith said. "They chose South Carolina."

Sanford and Faith - accompanied by U.S. Ambassador to Beijing Clark T. Randt - also met Thursday with the Chinese vice premier.

China's manufacturing dominance has grown in recent years, while the United States has lost manufacturing jobs. Now U.S. textile interests are demanding caps on Chinese imports, and the National Association of Manufacturers is accusing China of gaining an unfair trade advantage through currency manipulation.

During this week's Asia-Pacific summit, Chinese President Hu Jintao resisted President Bush's pressure to ease controls on the currency.

Sanford said he talked with Chinese officials about the growing political pressure over the trade issue, which "left unchecked, will result in trade sanctions."

More than 15,000 S.C. workers have been laid off from their jobs this year or lost them as a result of plant closings. This week alone, three manufacturers have announced plans to lay off more than 1,100 people across the state.

To counter manufacturing job losses, Faith said the state is working on a marketing effort to help existing businesses - such as the automotive cluster that is developing in the Upstate.

The state also must work with research universities to spur the growth of technology-based jobs and address several areas that affect the state's business climate, such as worker's compensation, health insurance and income tax relief, he said.





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