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China's software outsourcing trade to Japan set to grow
2007-04-13 02:29:34 Shanghai Daily

SHANGHAI, Apr. 13 -- China's growing software outsourcing trade with Japan is expected to rise even faster after Premier Wen Jiabao's "ice-melting" visit to Japan.

"China accounted for more than 60 percent of Japan's outsourced software trade in 2006 and has become the country's biggest software outsourcing base," said Mine Shentaro, of the Japan External Trade Organization, based in Dalian, northeast China's Liaoning Province.

Dalian Hi-Think Computer Technologies (DHC) Co Ltd is one of China's leading software firms. Manager Liu Jun is proud of its customers, including technology giants Hitachi, Sony, and Mitsubishi.

"DHC started outsourcing computer software from Japan in 1996, when Sino-Japanese relations were at low ebb. Political hindrances have not impeded our business," said Liu.

DHC's business with Japan has grown 30 percent annually since 1996 and now employs 2,000 people. Last year, the company exported software worth US$50 million to Japan.

"More than 60 percent of China's software trade is Japan-oriented," said Jin Guowei, of Dalian Information Technology Bureau.

Dalian became the IT outsourcing center to Japan due to its geographical proximity and its skilled labor.

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