The Lin-gang Special Area delivered 21.3% growth of gross regional product, 40.2% growth of gross output value of industries above the designated size, 43% growth of total investment in fixed assets and 28% growth of total imports and exports of the Yangshan Special Comprehensive Bonded Area on an annual average basis over the three years since its inception (2019-2021). Such high growth rates continued into 2022 H1, despite the impact of COVID-19, with a 27%, 23% and 28% year-on-year increase in gross output value of industries above the designated size, total investment in fixed assets and tax revenue (January to July), respectively. More than just these economic indicators, the fruitful development of Lin-gang over the three-year period is reflected in the following aspects:
First, bring opening-up to a new level and pioneer groundbreaking institutional innovation in some critical fields.
The 78 tasks set out by the State Council in the Overall Plan for Lin-gang Special Area are almost done. The central government, the municipal government of Shanghai and the Lin-gang Special Area Administration have introduced more than 260 policies and developed 87 typical cases of institutional innovation through reform, including 36 first-of-its-kind cases in China. A system characterized by “five freedoms and one convenience" is taking shape, and the results of institutional innovation are being converted into new advantages for development.
Second, create a strategic growth pole and achieve new success in building an open industrial system competitive in the international market.
Top-notch scientist forums are held and 14 high-level science and technology innovation institutions are onboard, including the Peking University Shanghai Lin-gang international science and technology innovation center and intelligent manufacturing science and technology innovation platform of Shanghai Jiaotong University. Seven signature industrial parks, including the Oriental IC Port and Life Science Blue Bay, are home to a large number of future-proof projects with core technologies. Agreements for more than 300 industrial projects with over 420 billion yuan in investment in total were signed over the past three years. A world-class, open and modern industrial system is in the making at an accelerated pace.
Third, create a city landmark and begin a new chapter of a modern city with an international style, futuristic take, and the appeal of sea and lake.
The development of key functional zones such as the International Collaborative Innovation Zone and Dishui Lake Financial Bay is gaining speed. With enhanced accessibility externally and urban functions internally, the fledgling modern city boasts open innovation, smart ecosystem, vibrant industries, livable and business-friendly environment.
Fourth, create a mecca for innovators and start-ups, and go the extra mile to foster a market-driven, law-based, world-class business-friendly environment.
Adding to the first regional enterprise annuity plan in China, greater incentives, including Hukou for Chinese, permanent residence for foreigner and housing, are made available to attract talented people to settle down. An integrated information management and service platform for Lin-gang is built to exercise 1,215 administrative rights at the city and district levels. The commitment system can expedite enterprises’ investment projects, and the good business environment has become a key competitive advantage of the Lin-gang Special Area.
Next, the Lin-gang Special Area will think big, aim high, and reach a new level of development. To be more specific, double efforts will be made:
To persist in institutional innovation and allow high-level opening-up to become the greatest boon for the development of the Lin-gang Special Area
Under the system of "five freedoms and one convenience", the stress test for more broad-based opening-up will be carried out and bolder moves will be taken in cross-border finance, offshore trade and digital economy, among other critical fields. By the end of the 14th Five-Year Plan period, a full-fledged system of "five freedoms and one convenience" will be well established, more groundbreaking cases of institutional opening-up will emerge, the capability of global resource allocation will be significantly enhanced, and the Yangshan Special Comprehensive Bonded Area will grow into a more internationally recognized and competitive free trade park.
To develop world-class industrial clusters and allow the advanced manufacturing industry to become the cornerstone of the development of the Lin-gang Special Area
The Lin-gang Special Area will focus on "critical frontier industries", leverage institutional innovation, be open to more application scenarios, deepen the integration of industry chain, value chain and innovation chain, build a full-fledged industrial ecosystem, fuel the development of signature industrial clusters, and quickly ramp up the energy level of regional industrial development. By the end of the 14th Five-Year Plan period, the gross output value of industries above the designated size will hit 500 billion yuan, with an average annual growth rate of 25%. Three industrial clusters worth hundreds of billions of yuan will take shape, namely, intelligent new energy vehicles, high-end equipment and ICs. 500 artificial intelligence companies will settle here and the industry will be worth more than 50 billion yuan.
To delve into sci-tech research and allow sci-tech innovation to become the endogenous driving force of the development of the Lin-gang Special Area
The Lin-gang Special Area will facilitate the cooperation between Lin-gang-based laboratories and the world’s top-flight scientists on international joint laboratories, attract and incubate a large number of national and municipal R&D innovation centers and new R&D institutes, and develop innovators and start-ups with industrial characteristics. Then, high-tech firms will keep coming forth, making science and technology innovation a synonym for the Lin-gang Special Area, and the Lin-gang Special Area has a key role to play to build Shanghai as a science and technology innovation hub. By the end of the 14th Five-Year Plan period, the Lin-gang Special Area will embrace eight world-class advanced laboratories, 30 new R&D institutes and more than 1,000 high-tech firms.
To incubate new business forms and models and allow "five types of economy" to become a hallmark of the development of the Lin-gang Special Area
The Lin-gang Special Area will step up the development of emerging bonded business including bonded R&D, bonded manufacturing and bonded maintenance, of emerging finance including cross-border finance, technology finance and FinTech, and of digital economy including artificial intelligence and software. The Yangshan Special Comprehensive Bonded Area, Dishui Lake Financial Bay and Dishui Lake AI Innovation Hub will be developed to quickly ramp up the energy level of emerging industries
By the end of the 14th Five-Year Plan period, the total operating income of the Yangshan Special Comprehensive Bonded Area will reach 1 trillion yuan, and total imports and exports will amount to 220 billion yuan; there will be more than 800 financial institutions and investment enterprises; the average annual growth rate of the financial industry will exceed 25%, and that of digital economy 50%.
To build a modern new city and allow intelligence, low-carbon and resilience to define an important path of urban development
The Lin-gang Special Area will be fully open to the application scenarios of Intelligent Vehicle Infrastructure Cooperative Systems (IVICS) and build more advanced automatic driving scenarios. Combined with the development of the hydrogen energy industry, it will realize the transition to hydrogen energy of all public transit and municipal special-purpose vehicles running in the downtown area. With the goal of building a digital twin city, it will accelerate digitalized construction and delivery, digitalized operation and management, and platform-based centralized monitoring of infrastructure and public service facilities, and effectively help the city run safe and sound, prevent risks and deal with emergencies properly. By the end of the 14th Five-Year Plan period, digital twin operation will cover the entire 6.5-square-kilometer International Collaborative Innovation Zone and be expanding across the entire Lin-gang; IVICS will cover 100% trunk roads, and the share of clean energy consumption will reach 50% of the total.
To build up a talent pool as the most important asset bolstering the development of the Lin-gang Special Area
The Lin-gang Special Area has launched a "Talent Pool Program" and prioritized top-tier industries such as AI, IC and emerging finance. All talented people can share the opportunities and fulfill their dreams in Lin-gang. Given access to better education, healthcare, culture and sports, among other amenities, Lin-gang residents will feel pleased and happy. More thoughtful talent incentives will be rolled out to increase their satisfaction. Over the next three years, the Lin-gang Special Area will create 180,000 jobs and become "a magnet for entrepreneurs and a home for job seekers".
The Lin-gang Special Area, on a special mission assigned by the state, will create a new miracle of growth with soaring drive, passion and wisdom, and make greater contribution to building Shanghai into a modern socialist metropolis with global influence.
