| Business overtures
to China start to bear fruit - 2 companies set up centers in Dallas;
more may be comingt Efforts by Dallas economic development
officials to attract Chinese companies to the area are beginning
to pay off.
Galaxy Powersports LLC, which sells all-terrain vehicles and dirt
bikes, recently opened its U.S. headquarters and a distribution
center in Dallas. A similar company with Chinese ties, Goldenvale
Inc., opened a distribution center here in February.
Both companies employ only a few people. But other firms, including
a Chinese portable power generator company, have their sights set
on the city. And Dallas officials hope to attract more businesses
as they develop relationships with Chinese companies and government
officials.
To be successful, the effort must overcome a major obstacle. "People
in China don't know Dallas," said Jennifer Li, assistant director
of international business for the city's Office of Economic Development.
Ms. Li, who speaks Mandarin, has been trying to change that. She
and other officials visited China twice this year, meeting with
companies and government leaders in 14 cities.
Their goal: attract leading companies from China's smaller cities
such as Qingdao, Nanjing and Shenyang.
Next year, Ms. Li plans to make three visits to China. She will
hold workshops about the benefits of doing business in Dallas, advertising
the events in local financial newspapers.
"China has tons of good companies, but they don't understand
what Dallas has," Ms. Li said. "We just need to have a
strategy and passion and hard work."
China is one of three countries Ms. Li has identified as key sources
of foreign investment for Dallas. The other two are Mexico and Canada.
Much of her focus so far has been on China because many of its
companies are trying to break into the U.S. market and are eager
to establish offices and other facilities here. China is already
the Dallas-Fort Worth area's biggest trading partner.
Galaxy Powersports chose Dallas for its headquarters because of
the city's central location and low costs.
It's leasing an 80,000-square-foot warehouse northwest of downtown,
near Farmers Branch.
"The rent compared to other places is pretty affordable,"
said Leo Su, Galaxy's president.
The company has hired 10 employees and plans to use a temporary
agency to add two more sales assistants, he said.
Manufacturers like Galaxy are turning Dallas into a hub for the
distribution of low-cost Chinese-made dirt bikes, ATVs and motorcycles.
Nearly all of these companies are building their own dealer networks.
Goldenvale, which sells motorcycles, motor scooters, ATVs and dirt
bikes under the Roketa brand, currently operates with six employees
at its Dallas distribution center. It hopes to eventually employ
25 to 30 workers, said Mike Hillman, the company's general manager.
"Dallas is becoming a key point for distributors in our industry,"
he said.
To attract other types of companies, Ms. Li and her colleagues
are touting the city's low costs, strong transportation network
and pleasant weather. Southern Dallas County also offers generous
tax incentives to companies willing to add jobs there.
However, Ms. Li has received a few complaints this year from foreign
companies about delays and difficulties in clearing customs in Dallas
compared with other cities. That's an issue she plans to look into,
she said.
A spokeswoman for the U.S. Customs and Border Protection agency
would only say that she's never heard those complaints.
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