HK firms invest 24.7b yuan in Harbin
The municipal government of Harbin has recently attracted 24.7 billion yuan (HK$29.75 billion) worth of investment from Hong Kong companies, including China Resources Group, Bank of East Asia and China Merchants Group.
The city, the capital of the northeastern province of Heilongjiang, signed contracts with eight Hong Kong companies yesterday for projects covering property, logistics and mining, among others.
China Resources, a property-to-retail conglomerate, agreed to invest in a commercial property project and a distribution centre for pharmaceutical products in the city.
Bank of East Asia and the Harbin government formed a partnership to develop the city's Songbei district. The logistics arm of China Merchants Group will invest in facilities in the city.
Long Yu Investment Holding, a private company in Hong Kong, will invest 1.2 billion yuan for the exploration and production of a silicon mine in Harbin.
Silicon is used in making solar cell panels and is a major resource for aeronautical and aerospace products. The mid-sized mine is believed to have a reserve of 3.4 million tonnes of silicon.
In a separate event, R&F Properties Group, a Guangzhou-based mainland developer, signed an agreement with the Harbin government to invest in a residential-commercial-hotel project in Songbei, said Chen Xiaodong, deputy general manager, northern region, for the property company.
'The property market in Harbin is in less of a bubble than the first-tier mainland cities,' Chen said. 'It is appealing to mainland investors as well as investors from Japan, Korean and Russia to buy a house in the city.'
Construction on the 2 billion yuan property project will start in September and sales will start next April.