The delegation of the Chinese Association of Building and Finishing Materials visited Primorsky Krai. During the visit, the Corporation for the Development of the Far East and the Arctic (KRDV) presented tax incentives and preferences for advanced development territories (TOP) and the Free Port of Vladivostok (SPV), the Arctic Zone of the Russian Federation (AZRF) and preferential treatment in the Kuril Islands to 60 Chinese companies. Also, potential investors from China were presented with promising areas of the Primorye TOP for the implementation of investment projects.
At a meeting in the Government of Primorsky Krai, Chinese manufacturers of doors, plumbing, floor and wall coverings, facade materials, paints, lighting fixtures, electrical equipment and other products presented the prospects and opportunities of Russian-Chinese trade, economic and investment cooperation in the construction industry.
Director of the Department of Support for the implementation of investment projects of the KRDV Vitaly Ponomarev said that for investors in the Far East and the Arctic, there are four unique TOP, SPV, AZRF and preferential regimes in the Kuril Islands, which make it possible to reduce basic taxes to almost zero in the first 10 years (for 20 years in the Kuril Islands), provide special customs, tax and administrative regulation regimes, and a free trade regime. customs zones and other preferences.
"The state has created unique conditions: ready-made infrastructure, provision of land, a special regime of control and supervisory activities, the use of foreign labor without quotas, a guarantee of immutability of conditions within the framework of the implementation of an investment project, support and comprehensive support of projects from the KRDV," said Vitaly Ponomarev, separately focusing on the sought-after investment niches in the construction sector in the Far East: the production of facade systems, flat glass, gypsum, paint and varnish products, composite building materials, gas silicate materials, ceramic products, cable products, as well as participation in the construction of the satellite city of Vladivostok.
According to him, the Zapadnaya industrial site with a total area of 876 hectares has been created for the implementation of projects in these areas, as well as the creation of storage facilities with state support at the Primorye TOP. Engineering infrastructure is currently being designed on it, and a pool of potential residents is being formed. The site has high interest among potential investors, including from China. In total, the current portfolio of investment projects with the participation of Chinese capital in the TOP and in the SPV includes 59 projects with a total investment volume of over 1 trillion rubles.
"Chinese construction companies are striving to work in the Primorsky market, create their own legal entities here, open production facilities, organize the distribution of their products, create warehouses for the further supply of construction goods to consumers in the Primorsky Territory, in the Russian Far East. We have good logistics routes that you can use. There are good preferential regimes - TOP, Free, and other regional privileges. The construction goods market is growing very fast. It is attractive for Russian and foreign entrepreneurs. Primorsky Krai, together with the KRDV, invited a business mission of such entrepreneurs, consisting of 60 participants, who were told about the working conditions in Primorsky Krai, introduced to our entrepreneurs and large federal developers," said the head of the Agency for International Cooperation of Primorsky Krai Alexey Starichkov.
Honorary President of the Chinese Association of Building and Finishing Materials Zhang Nailin: "Our association includes 2,000 manufacturers. This is the largest such association in China. We are interested in cooperation with Russian entrepreneurs, as we see the potential of the Primorsky Territory market."
During the business visit, representatives of the Chinese Association of Construction and Finishing Materials inspected the existing enterprises of residents of the Primorye TOP and sites for the creation of new production facilities. In particular, we got acquainted with the large-scale project of a resident of the Primorye TOP for integrated residential development DNS City.
The guests from China appreciated the scale of the first project, the implementation of which began on the territory of the satellite city of Vladivostok: on 125 hectares, DNS Development Group of companies is creating a real mini-city for 25,000 inhabitants. The master plan includes the construction of 657,000 m2 of comfortable housing (63 apartment buildings) and 182,000 m2 of commercial real estate. Under the terms of the Far Eastern concession (PPP), the investor also plans to build two schools with 1,100 places each and two kindergartens with 650 places each.
For the Chinese delegation, representatives of DNS Development Group conducted an excursion and showed the first house in DNS City, which is now in a high stage of readiness: an 11-storey building with 272 apartments has been built, finishing works are underway and landscaping is being carried out. A special feature of the project is an inter–courtyard eco-space of 1.5 hectares with a playground for football and volleyball, quiet recreation areas, playhouses for children, where residents can walk, play sports, and enjoy nature.
Foreign partners showed particular interest in the decoration of commercial and residential premises, and noted that they are interested in developing partnerships with a TOP resident in this area. Also, members of the Chinese delegation were interested in the opportunity to open their own business on the territory of DNS City and outlined promising areas for the creation of commercial facilities on this site.
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