Explore opportunities in Belt and Road countries – Poland ... · China FAW Group Corporation...
Transcript of Explore opportunities in Belt and Road countries – Poland ... · China FAW Group Corporation...
Explore opportunities in Belt and Road countries –Poland, Czech Republic & Ukraine
PartnerCEE Clients & Markets Leader
CEE Advisory LeaderPwC CEE
Piotr Romanowski
Introduction to PwC CEE & Chinese Investment in Poland, Czech Republic and Ukraine
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Introduction to PwC Central and Eastern Europe (CEE)
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Our team from CEE
Piotr Romanowski
AgnieszkaGajewska
Tomasz Baranczyk
Oleg Tymkiv
Jan Brazda
Darren Chong
CEE Advisory, Clients & Markets Leader
CEE Capital Projects & Infrastructure Leader
CEE Tax Managing Partner
CEE Deals Partner
CEE Capital Projects & Infrastructure Partner
CEE China Business Group Leader
Poland Poland Poland Ukraine Czech Republic
Poland
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PwC CEE – a network of 29 countries
Ukraine
MoldovaRomania
Bulgaria
HungarySlovakia
Czech Republic
Uzbekistan
Slovenia Kazakhstan
Kyrgyzstan
Azerbaijan
Croatia
Bosnia
SerbiaMacedonia
Georgia
Albania
Montenegro
Armenia
Turkme-nistan
Mongolia
Kosovo
Belarus
Russia
EstoniaLatvia
Lithuania
Poland
6% world population
Combined Population
407 m
5 disputed territories
Combined GDP
$3.1 trillion
4.2% of world GDP
29 countries275 Partners 11 000 Staff 56 offices
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More than 25 languages (English is the common language in all offices)
Unique cultures (complemented by the PwC partnership culture)
Different legal and regulatory systems
Several alphabets and character sets
Different levels of economic and political development
24 currencies (with significant currency fluctuation)
A diverse and complex region (1/3)
A diverse and complex region (2/3)
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2.0%1.7%3.1%4.0%2.5%3.5%3.3%
3.8%5.5%1.8%
3.2%
3.6%-1.0%2.0%
3.3%
Source: WORLD ECONOMIC OUTLOOK, October 2017 Source: WORLD ECONOMIC OUTLOOK, October 2017
GDP per capita, current prices(USD ths, 2017, est.)
Real GDP growth 2017 (est.)
Kazakhstan
UkraineAzerbaijan
44.18
Bulgaria
10.37
19.82
7.92
17.4913.46
8.59
20.5823.28
28.21
2.46
10.25
4.10
13.43
38.85Germany
Poland
Slovenia
Romania
HungarySlovakia
Russian Federation
Spain
PortugalCzech Republic
United Kingdom
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Source: World Bank, Ease of Doing Business Index
Ease of doing business ranking
CEE countries:Non-CEE countries:
20062006
20172017
A diverse and complex region (3/3)
Georgia Estonia Germany Poland Spain Portugal Czech Rep
France Russia Kazakhstan Serbia Romania Italy Croatia Azerbaijan Ukraine
Today’s focus: Czech Republic, Poland & Ukraine
Czech Republic Poland Ukraine
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• 10 million inhabitants
• Most industrialized country in Central Europe(industrial sector is 37.5% of the economy)
• Has attracted huge FDI (EUR 77.8 billion since 1993)
• Massive economic ties with Western EU (>60% of foreign trade)
• Strong economy and currency (2.7% unemployment; CZK appreciating)
Czech Republic – the most mature Central Europe economy
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• 39 million inhabitants
• The largest market in Central Europe – both in terms of consumer spend and human capital
• The largest beneficiary of EU funds across CEE (EUR 100 bnearmarked for Poland in the current EU budget for 2014-2020)
• 25 years of uninterrupted growth (every quarter, 2009 included)
Poland – the largest market in Central Europe
Ukraine – high upside potential
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• 45 million inhabitants
• Gradual recovery from Crimean/Donetsk conflict (GDP: - 29.8% in 2015; 3.3% in 2016; 2.1% in 2017; 3.2% in 2018 est)
• Most advantageous renewable energy tariffs in CEE(solar – EUR 150 / 1 MW; wind – EUR 102 / 1 MW)
• Underdeveloped infrastructure (EUR 50* bln investment required till 2030)
• Upcoming privatization
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Chinese investment in Czech Republic, Poland & Ukraine
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China substantially increased FDI in selected CEE countries in 2016
China’s FDI flows into CIS countries is stable and growing in 2016
16551534128164
402527
BulgariaRomaniaCzech RepublicPoland
2000-2015 (annual average) 2016USD mln
Source: Mercator Institute for China Studies
Source: Ministry of Commerce of PRC
158160178487
KyrgyzstanKazakhstanRussia BelarusUzbekistan
1 300
Direct investments and the presence of Chinese banks have increased China’s presence in CEE; the investment is expected to continue growing
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Selected Chinese Companies in Ukraine, Czech and Poland
UkraineChina National Building Materials & Equipment Import and Export CorporationZhejiang Furuipu Building Material Import and Export CorporationChina FAW Group CorporationChina Machinery Engineering CorporationChina Gezhouba GroupHytera Communications CorporationHuaweiLenovo Sany Heavy Equipment International Holdings Company LimitedCOFCO
Approx 20
Czech RepublicCEFC China EnergyXian Shangu PowerBuzuluk KomarovNoarkChanghongHuaweiZTEShanxi Yuncheng Plate Making Group Co.,Ltd.COSCO North CarChina Eastern AirlinesHainan AirlinesSichuan AirlinesBank of ChinaCNRWanfeng GroupShaanxi Blower (Group) Co., Ltd.
Approx 40
PolandLiuGong MachineryTri-ringXiaomiEverbrightNovetekTCLBiotonPinggao GroupHuaweiZTEBank of ChinaICBCChina Construction BankNuctechSinohydroTP LinkCOSCO
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Overview of PwC Services
Advisory• Digital &Technology• Transactions, mergers and aquisitions• Research & Development (R&D)
and Innovation Management• Operational Efficiency• Inward Investments• Creating and Implementing Strategies• Procurement and infrastructure
investments• Change Management• Forensic Services• HR Consulting• Corporate Social Responsibility
Assurance• Audit• Internal Audit• Financial Reporting and Accounting
Advisory Services• Regulatory Services• International Financial Reporting
Standards• Accounting and Payroll Outsourcing• Risk management• Corporate governance• Business controls and performance
assurance• IT risks/Cyber Security• Financial Risk
Tax & Legal• Indirect Taxes• Tax Litigation• Legal services• International Tax Structuring• Transfer Pricing Services• Human Resource Services (HRS)• IT Based Tax Consulting• Accounting and Payroll Outsourcing
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Chinese speakers coordinate and deliver professional services
Experienced consultants who understand Chinese business culture and have experience working with Chinese clients
Access to business opportunities in 29 countries across CEE
Working closely with PwC China to enhance service quality
A single point of contact for your investments in 29 countries
Successfully helped Chinese clients entering into CEE market
Working with PwC CEE China Business Group
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Thank you!
This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors.
© 2018 PwC. All rights reserved. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. CN-20180411-3-C1