23
Oct
Sky News understands that the Prime Minister is to announce the creation of a new ‘China Zone’ within Airport City Manchester during a visit to the North West with President Xi Jinping of China.
The new development will comprise two new office buildings which will be reserved for Chinese companies wanting to relocate there.
Ministers hope that the project will attract Chinese companies wanting to establish a hub in the north-west by offering them exemption from business rates because of its location within the Airport City Enterprise Zone.
It will be the latest in a string of announcements aimed at strengthening trade ties between the UK and China during a week when Mr Xi has been feted by the Government and Royal Family.
Manchester Airport Group (MAG), which is one of the partners in the £800m Airport City joint venture, will also announce on Friday the launch of the inaugural direct flights between Beijing and a British city outside London.
Hainan Airlines is to operate four flights a week between Manchester and China’s capital from next year, which ministers expect to result in a sharp upturn in business opportunities.
“This will create a bridge between the northern powerhouse and China,” said a Government source close to the plans.
A MAG spokesman declined to comment on Friday’s announcements.
Mr Xi will also visit the National Graphene Institute, which will announce a multimillion pound investment by the telecoms equipment manufacturer Huawei, as Sky News revealed last weekend.
Tens of billions of pounds of trade deals have been unveiled this week, which Mr Cameron has insisted provides evidence that UK-China relations are mutually beneficial, despite thousands of steel industry jobs disappearing as a consequence of cheap Chinese imports.
A new, cheaper tourist visa has also been signalled by the Government.
Agreements involving companies in the media, leisure, banking and energy sectors have all been announced, with the centrepiece being Wednesday’s signing of a deal to secure Chinese investment in the first new UK nuclear power plant for a generation.
That deal has, however, been criticised over the reliance it will place on foreign energy companies for much of Britain’s future energy generating capacity.
Source: http://news.sky.com/story/1574349/ministers-woo-china-with-manchester-office-hub