No. 1 for Exports, China Keeps Louisiana Ranked on Top for FDI
Chinese commerce is already a transformative force in Louisiana’s economy, with extensive trade and recent cross-border investment linking the two more strongly than ever before.
Notable Chinese Projects in Louisiana
In July 2014, Yuhuang Chemical announced the company will make a $1.85 billion capital investment in a world-scale methanol manufacturing complex on the Mississippi River in St. James Parish. The project by Yuhuang Chemical Inc., a subsidiary of Shandong Yuhuang Chemical Co. Ltd., represents the first major foreign direct investment by a Chinese company in Louisiana. The project will create 400 new direct jobs and Louisiana Economic Development estimates it will create 2,365 new indirect jobs and 2,100 construction jobs. After the first methanol plant is completed, the company will build a second methanol plant and reach an annual capacity of 3 million metric tons per annum of methanol. A third phase will include a methanol derivatives plant that will produce intermediate chemicals. Most of the project's methanol will be exported by oceangoing vessels for use in the parent company's production of downstream chemicals in China, with approximately 20 percent to 30 percent of the methanol to be shipped by barge and rail and sold to North American customers. To secure the project, Louisiana offered the company a competitive incentive package that includes two performance-based grants. In addition, the company will receive the comprehensive workforce solutions of LED FastStart and is expected to utilize the state's Quality Jobs and Industrial Tax Exemption programs.
“This Louisiana operation represents the company’s commitment to significance on the world petrochemical platform. Louisiana was the right choice for our company to locate our first operation in the United States.”
Trade Between China and Louisiana
China stands as Louisiana’s top export market, with over $6.6 billion in exports in 2015 – more than tripling since 2007. This ranks Louisiana No. 4 among U.S. states in exports to China, accounting for a roughly 5.7 percent share of all U.S .exports to China. Top Louisiana exports to China include agricultural products ($4.8 billion), chemicals ($6.58 million), and beverage and tobacco products ($5.1 million).
Quality of Life, Arts and Culture
Xavier University of Louisiana Confucius Institute
Partnered with Hebei University in China, the Xavier University of Louisiana Confucius Institute is the first Confucius Institute among the nation's HBCUs and in the State of Louisiana. The CI teaches students and community members about Chinese language and culture and supports a robust program of Chinese-centered events. Learn more here.
100,000 Strong Foundation
The 100,000 Strong Foundation, founded with the support of the Chinese and United States governments, recently helped launch the “Advance Louisiana” program. This program, the first of its kind in the U.S., aims to strengthen China-U.S. ties by promoting the study of Chinese language and culture. Learn more here.
The Academy of Chinese Studies in New Orleans
The Academy of Chinese Studies in New Orleans is a Chinese-language resource for the New Orleans region. Learn more here.
Louisiana State University’s “Emerging Markets Initiative"
LSU's “Emerging Markets Initiative,” led by Professor Ye-Sho Chen, fosters connections with China for students from all over the state. Learn more here.
Governor Jindal And Shandong Yuhuang Chemical Chairman Jinshu Wang Highlight Groundbreaking For $1.85 Billion Methanol Project In Louisiana
In September 2015, Shandong Yuhuang Chemical Co. Ltd. highlighted the start of construction on Yuhuang Chemical Inc.’s $1.85 billion methanol complex. State, regional and local officials joined Chairman Wang, CEO Charlie Yao of Yuhuang Chemical Inc., the project team and visiting Chinese dignitaries as they formally broke ground on the first of three phases of the world-scale, methanol-manufacturing complex. Learn more here.