Michigan needs unified China recruiting effort
The expansion of business in and with China doesn’t have to come at the expense of Michigan. But to get there, the state’s leaders must band together and present a unified front, not the fragmented effort that exists today.
A business relationship with China won’t happen unless Gov. Jennifer Granholm takes charge. Granholm, knows Michigan’s auto industry and nearly all others recognize how valuable the world’s largest consumer market is. That’s why so many industry members are in Beijing this week for China’s auto show.
Wayne County Executive Bob Ficano just returned from his second business recruiting tour there. Oakland County Executive L. Brooks Patterson also has made the trip. So have representatives from Automation Alley, area chambers of commerce and countless others seeking a slice of an economy that last year grew almost 10 percent.
We trust that Granholm has a greater grasp of the global marketplace than she displayed during the past year. In May, when she was in Japan, she snubbed the Chinese by not visiting — and hurt business recruiting efforts — though she sent state economic development officials instead.
The United States won’t be able to compete with China for low-paying manufacturing jobs, but there are plenty of other avenues to pursue, starting with research and development and automotive knowledge jobs. Ficano said Monday that he was told repeatedly while in China that the central government is encouraging investment in America.
Hundreds of millions of dollars in Chinese investments are out there for the taking, but unless Michigan provides a unified recruiting front, we’ll be left behind by peer states that are ahead of us. Ohio announced last week that is opening a trade office in Shanghai. Indiana already is established in China.
The Michigan Economic Development Corp. has a single-person operation in Shanghai. Wayne County opened an office west of Shanghai in Chongqing, but its creation was independent of any state efforts.
That confuses Chinese business and political leaders, who are left wondering why the state isn’t the central resource.
Fortunately, Jim Epolito, chief executive of the MEDC, is pushing for change. In December, he is hosting a strategy meeting to get everyone on the same page.
“We really need to fly everything under the Michigan flag,” he says.
That will help the likes of the Big Three, which all are investing heavily in China, but also the smaller and medium sized companies, as well. Sales of General Motors Corp. products in China, for example, are up more than 36 percent and the company, like Ford Motor Co., is building new plants and investing billions there. DaimlerChrysler is talking about building subcompact cars in China for export to the U.S.
It’s time to move Michigan beyond isolationism and into the economic reality of the 21st century. That means not only acknowledging China’s presence, but actively recruiting over there to bring jobs back here.