Ties That Bind - Bay Area Council Economic Institute

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Ties That Bind
The company’s primary China business to date has been in environmental site assessments,
cleanup and compliance. Many of URS’ clients in China are Fortune 500 multinational industrial
and manufacturing companies with operations in the country. It has provided support services
for Motorola, 3M and Johnson & Johnson manufacturing facilities, and is helping IKEA site and
build its stores in China under a master service agreement. The company also performs some
work for aid projects through such funding entities as AusAID, the World Bank and the
International Finance Corporation.
Currently, URS and Parsons Aviation have won a joint bid to design the Guangzhou Bayun
International Airport, and URS is providing planning support for the Qingdao International
Sailing Centre now being built for the 2008 Olympics and scheduled for completion in late 2007.
The Centre is being built on the old site of the Beihai Shipyard on Fushan Bay, in Shangdong
Province.
As the Chinese economy expands, URS expects to provide support for a variety of critical infrastructure,
facilities and environmental projects, particularly in the power and water/wastewater
sectors. In addition, China’s announced plans to build as many 48 international airports in coming
years provide valuable opportunities for URS to leverage its expertise and reputation from
the Hong Kong and Guangzhou airport projects.
Bechtel’s China Strategy: Think Big
Privately-held Bechtel Corp., based in San Francisco, has been
active in Taiwan since 1963, beginning with a study for China
Petroleum Corp. In 1979 it formed a 60-40 joint venture—Pacific
Engineers & Constructors, Ltd.—with Taiwanese engineering
research institute Sinotech, to assist in the development
of Taiwan’s nuclear power program.
Bechtel entered the mainland China market in 1979, and in
1984 established a 50-50 joint construction venture with the
China International Trust & Investment Corp. (CITIC). Bechtel-
CITIC Engineering, Inc. (BCEI) provides engineering, construction,
procurement and project/construction management services
in support of Bechtel projects, and to other clients. Bechtel
was the first U.S. firm to receive a PRC general contract construction
license, in 1994. Through BCEI it has a Class A engineering/design
consultancy license and extensive contacts with
government permitting and licensing agencies, development
zones, design institutes, developers and suppliers. BCEI has
completed more than 80 projects and 140 client assignments.