Responsible sourcing from China

Sourcing from China is no more responsible or irresponsible than, say, Sweden. Oh, how so? Let me tell you.

Responsible sourcing is based on knowledge of supply chains. A product purchased from Sweden can also come from China, ie where the product is purchased does not define anything from the point of view of responsibility. In order to assess responsibility, the supply chain must first be clarified with sufficient precision. What, then, is sufficient accuracy depends on the requirements and expectations of the buyer, customers, and society.

Today, individual consumers also expect that the product they buy is produced responsibly and that the seller can say more than that the responsibility lies with the factory wherever it is. And should the seller know the full history of each product and component and raw material when there are thousands of products on offer? It may be an impossible task for many companies, but the responsibility of the product range should be felt with sufficient precision.

If the job sounds great, then it may be, but it’s easy to get started. The company can first find out which goods are being sold the most and find out the responsibility of the product in question. The next step may even be to ask the supplier how they have considered responsibility. Speeches can be a buzzword, so you can visit the factory yourself to see how things are or use an outside sourcing expert. Today, there are also various standards (e.g., SA8000) and corporate responsibility systems (e.g., amfori BSCI) that allow companies to be audited and information clarified. More and more companies are committed to the United Nations Global Compact corporate responsibility initiative and implementing its ten basic principles, to which responsible sourcing also contributes to.

Most companies in China, or elsewhere, have no sense of international responsibility standards, but that does not automatically mean that a company is particularly Irresponsible. It just means that when dealing with such a company, it is necessary to be more careful not to accidentally end up doing business with someone whose factory working conditions are dangerous to people, etc. Responsible sourcing is also about influencing suppliers’ operations so that they begin to take greater account of responsibility issues in their operations. Problems should not be ignored, as part of being responsible is to investigate and solve problems.

Is your company responsible? Corporate responsibility self-assessment is an electronic tool for the further development of your company’s responsible business. The free tool provides your company with a snapshot of the current level of corporate responsibility, helps identify areas for improvement, and allows you to compare performance to other companies. In addition, the tool provides practical tips for managing corporate responsibility. Do a self-assessment at (Finnish language only): https://www.vastuullisuusarviointi.fi/

PRD Group China Operations Support

China public holidays for 2022

There are currently seven official public holidays in Mainland China. The public holidays are the same every year but since they often follow the lunar calendar, the exact dates are different and adjusted accordingly every year. It is important to note that Hong Kong, Macau, and Taiwan have different holiday schedules.

Weekends are usually swapped with the weekdays next to the actual holiday to create a longer vacation period. The holiday periods can also vary. For example, factory workers usually have longer Spring Festival holidays compared to white-collar workers.

Public Holidays for 2022 are:

NameDateDuration
New Year’s Day1—3 January3 days
Spring Festival31 January — 6 February7 days
Qingming Festival3—5 April3 days
Labour Day30 April — 4 May5 days
Dragon Boat Festival3—5 June3 days
Mid-Autumn Festival10—12 September3 days
National Day/Golden week1—7 October7 days

Source: http://english.www.gov.cn/policies/latestreleases/202110/26/content_WS617764f4c6d0df57f98e3d00.html

Right now, the Spring Festival is soon beginning which is the most important Chinese holiday. Most of the factories have already shut down their production and many employees have left for their hometowns. This year again, unfortunately, the COVID-19 situation is still delicate, and the government is encouraging people to avoid travelling. Last year there was no big increase in COVID case after the holiday travels. So, let’s hope for the best again this year, although the Omicron variant might give an unpleasant surprise.

Company service license renewed

TCSP licensee China Operations Support Co Ltd

Our company renewed the Trust or Company Service Provider Licence after the initial 3-year period. This licence is mandatory for service providers who establish companies and provide them company secretarial services in Hong Kong. Our company is the only such Finnish owned licenced company that provides company incorporation services in Hong Kong.

If you are unsure if some service provider is licenced or not, you can check it from the government database at: https://www.tcsp.cr.gov.hk

Pearl River Delta

Pearl River Delta is an area in Guangdong province in Southern China. It is the wealthiest area in China and a traditional place for international business in China.

The area consists of:

  • Guangzhou (the capital city of Guangdong province)
  • Dongguan
  • Huizhou
  • Shenzhen
  • Zhaoqing
  • Foshan
  • Jiangmen
  • Zhongshan
  • Hong Kong (special administrative region)
  • Macau (special administrative region)

Pearl River Delta is also known as the Greater Bay Area. PRD GROUP has operated for over a decade in this area, and it is the Company’s main operating area.

Pearl River Delta
Pearl River Delta map with population, area, and GDP of each city and special administrative region.

Holidays in Hong Kong 2020

Hong Kong holidays 2020Hong Kong is part of China, but as a special administrative region, it has its own holiday calendar. There are more holidays in Hong Kong in 2020 but they are shorter than the holidays in Mainland China. This is because Hong Kong observes traditional Chinese, Buddhist, and Christian holidays, which makes the number of holidays big.

The dates of many holidays change every year as they follow the traditional lunar calendar.

Please note that Mainland China, Macau and Taiwan have their own holidays.

Hong Kong government gazetted the following list of general holidays for 2020 for public information:

Every Sunday Sundays
The first day of January (New Year Day) Wednesday 1 January 2020
Lunar New Year’s Day (Chinese New Year’s Day) Saturday 25 January 2020
The third day of Lunar New Year Monday 27 January 2020
The fourth day of Lunar New Year* Tuesday 28 January 2020
Ching Ming Festival (Tomb-Sweeping Day) Saturday 4 April 2020
Good Friday Friday 10 April 2020
The day following Good Friday Saturday 11 April 2020
Easter Monday Monday 13 April 2020
Birthday of the Buddha Thursday 30 April 2020
Labour Day Friday 1 May 2020
Tuen Ng Festival (Dragon Boat Festival) Thursday 25 June 2020
Hong Kong Special Administrative Region Establishment Day Wednesday 1 July 2020
National Day of People’s Republic of China Thursday 1 October 2020
The day following the Chinese Mid-Autumn Festival Friday 2 October 2020
The day following Chung Yeung Festival* Monday 26 October 2020
Christmas Day Friday 25 December 2020
The first weekday after Christmas Day (Boxing Day) Saturday 26 December 2020

* A Government spokesman explained, “As the second day of Lunar New Year in 2020 falls on a Sunday, the fourth day of Lunar New Year is designated as a general holiday in substitution. In addition, since Chung Yeung Festival in 2020 falls on a Sunday, the day following it is designated as a general holiday in substitution.”

Source: https://www.gov.hk/en/about/abouthk/holiday/2020.htm

PRD Group

Public holidays in China 2020

China holidays 2020There are currently seven official public holidays or holiday periods in Mainland China in 2020. Sometimes additional holiday or holidays are added during the year, but this is not usual.

Weekends are usually swapped with the weekdays next to the actual holiday to create a longer vacation period. So, it is possible that for example the Sunday before or after a holiday is a normal workday.

The dates of the Chinese holidays change every year as they follow the traditional Chinese lunar calendar.

Please note that the holidays in Hong Kong, Macau, and Taiwan, are different from Mainland China.

Below are listed the public holidays in Mainland China for 2020:

Holiday name Holidays date Duration Compensating workdays
New Year’s Day Wednesday 1 January 2020 1 day
Spring Festival (Chinese New Year) Friday 24 – Sunday 2 February 2020* 10 days Sunday 19 January
Qingming Festival Saturday 4 – Monday 6 April 2020 3 days
Labour Day Friday 1 – Tuesday 5 May 2020 5 days Sunday 26 April and Saturday 9 May
Dragon Boat Festival Thursday 25 – Saturday 27 June 2020 3 days Sunday 28 June 2020
Mid-Autumn Festival & National Day (Golden Week) Thursday 1 – Thursday 8 October 2020 8 days Sunday 27 September and Saturday 10 October 2020

* Update 27.1.2020: Three days added because of the Corona virus situation.
Update: 10.2.2020: Lots of “holiday extensions” and restrictions ordered by central, provincial, and local governments. Local situation must be checked case by case.

It is generally suggested to avoid tourist attractions during the public holidays as they are very crowded. During the public holidays hotel accommodation, travel, and entrance tickets can be more expensive.

Especially long holidays Spring Festival and Mid-Autumn Festival & National Day affect companies’ operations, especially in labour intensive production industries. Often factory workers start their holidays earlier and finish later. This is because workers are often from other cities and provinces and during the long holidays the get the chance to visit home.

Source (in Chinese): http://www.gov.cn/zhengce/content/2019-11/21/content_5454164.htm

PRD Group

InvestHK Webinar – Ready to Flourish: The GBA Opportunities for I&T Companies

Lasse Liukkonen moderated a joint-webinar of Invest Hong Kong, Finnish Chamber of Commerce in Hong Kong, Finland-Hong Kong Business Association, and Finnish Business Council Guangdong.

The webinar was about the vast range of opportunities offered by the Greater Bay Area a.k.a. Pearl River Delta for innovation and technology companies.