ENHANCING UK-CHINA BILATERAL TRADE AND INVESTMENT

Tender description

The 2015 Strategic Defence and Security Review announced the establishment of the cross-government Prosperity Fund from 2016 to 2021. The Fund aims to promote inclusive economic growth and development and enhance the UK's bilateral trade and investment with partners. In 2015 UK goods exports to China amounted to £13.1bn and services exports to China amounted to £3.7bn, i.e. China was the 5th and 14th largest destination for the UK's goods and services exports, respectively. The stock of Foreign Direct Investment from the UK to China was £9.7bn in 2015, up 5% from 2014, and the stock of Foreign Direct Investment from China to the UK totalled £1.8 billion in 2015, a 68% increase from 2014. This all adds up to a huge opportunity for UK business. The proposed projects (policy proposals to remove market access barriers; analysis and policy development in relation to UK-China investment flows and access; and the assessment of possible UK-China development zone models) will help prepare the way for the UK-China trade relationship in the 2020s.