Through past years’ efforts, Kaifu District in Changsha has been rated among one of China's Top 100 Comprehensive Competitive Districts. Yet how does it maintain its competitiveness and reduce losses amid COVID-19 epidemic in 2020?

There is no secret behind the success of Kaifu District but “433 Industrial Mode”— 4 represents four pillar industries, modern logistics, finance and commerce, cultural and creative video and intelligent manufacturing. 3 represents 30 major projects and another 3 means taking three years to build over 3 industrial clusters valued at 50 to 100 billion yuan.

To fully implement “433” strategy, Kaifu District will focus on the special campaigns for the next three months on land acquisition and demolition, revitalizing rural resources, funds and assets, investment attraction, key project development, area development, industry cultivation, promoting consumption, income increase and expenditure reduction.

To make logistics industry stronger

In order to further strengthen the modern logistics industry, from Feb. 10, Kaifu District opened up the second front, sending 10 teams to the Yangtze River Delta, Pearl River Delta and other places to attract investment. Hard work pays off. The district has successfully signed contracts with pharmaceutical logistics, cold chain logistics, express delivery logistics companies, with the project investment exceeding 100 million yuan.

Many large trucks hauling containers are shuttling in Jinxia Economic Development Zone of Kaifu, which is rarely seen in other urban areas.

Kaifu District has natural advantages in developing modern logistics as it has transportation and logistics hubs such as Changsha New Port, Changsha International Railway Port, and Transfar Highway Port. According to the statistics in 2019, Changsha New Port and Changsha International Railway Port respectively completed freight throughput of 9.6 million tons and 4.388 million tons, an increase of 18.6% and 34.6% year-on-year. The China Railway Express (Changsha) sent 411 trains, an increase of 189% year-on-year.

At present, Kaifu boasts more than 2,000 logistics companies, and the main business income in 2019 reached 49.288 billion yuan, an increase of 16%. It is estimated that the total output value of the local modern logistics industry will exceed 50 billion yuan in 2020.

 Changsha New Port

Changsha International Railway Port

To press ahead with Chinese V Valley

It is intended to build Malanshan Industrial Park as the Zhongguancun Technology Park in the southern China. Since the proposal was raised by Du Jiahao, Secretary of the CPC Hunan Provincial Committee, the park is moving faster towards the goal of building “Chinese V Valley” and changing with each passing day for the past three years.

Statistics shows that Malanshan Video Cultural and Creative Park has currently 819 enterprises, which achieved the revenue of more than 34.2 billion yuan in 2019.

Recently, the park management committee reached cooperation with four leading companies such as Qianxin, iDreamSky, iSoftStone, and Ali Group through video conferences and online investment promotion. The goal of the park is to introduce 260 enterprises and achieve 23 billion yuan of business revenue.

It is believed that it won’t take a long time for Malanshan to become an industrial park valued at over 50 billion as it is an emerging industrial park with precise target, strong support from all walks of life and especially official authorities.

To build a financial CBD

Financial CBD on Furong Middle Road

On the sides of Furong Middle Road, north of Wuyi Avenue stands high-rise buildings. More than 70 headquarters of regional financial institutions concentrate here. Centering Furong Middle Road, the financial CBD of Kaifu with a total area of 8 square kilometers is a land generating the most weh in the district, stretching Dongfeng Road in the east, Xiangjiang Avenue in the west, Liuyanghe River area in the north, and Bayi Road in the south. The CBD has 77 financial institutions with a taxation of 500 thousand and the tax revenue of the district in 2019 reached 2.343 billion yuan, making the financial industry the second largest contributor to tax in Kaifu.

For all that, Kaifu District has still made unremitting efforts for higher goals. According to “433 Industrial Mode”, the annual average value-added of the financial industry in Kaifu District is expected to grow by more than 8%, and the tax revenue of the financial industry to reach an average annual increase of about 20% by 2020. The district will strive to add more than 10 headquarters of regional financial institutions (4 of which will be added in 2020), two new listed companies and two ernative listed companies.

To this end, Financial Service Center of Kaifu has been committed to attracting more investment while upgrading its services. Directors of companies like Yinsheng E-Pay and Hua Chuang Securities all expressed their heartfelt gratitude for the supporting services provided by the center.

Recently, in addition to attracting investment, the Financial Service Center also organized a number of banks in CBD to engage in Bank-Enterprise Cooperation. According to incomplete statistics, in the first two months of this year, eight key banks have supported 71 Kaifu-based enterprises with a total loan amount of 14.8 billion yuan.

Financial CBD largely relies on “Skyscraper Economics” and thus Kaifu has not only made full efforts to develop the existing resources, but also vigorously eradicate the old and foster the new ones. A number of key building projects are underway.

To promote intelligent manufacturing

In this year, Kaifu District, while focusing on the introduction of R & D bases for consumer electronics, will promote the acquisition and demolition, planning, construction, and investment attraction in Jinxia Economic Development Zone.

Jinxia Industrial Agglomeration, which covers an area of 10 square kilometers, is an innovation platform and production base for high-end intelligent manufacturing, electronic technology research and development, consumer electronics.

Automated workshop in YES TECH

Take YES TECH, a LED Screen manufacturer as example. 80% of the LED electronic displays they produce are used for export, with sales of more than 200 million yuan in 2019. Recently, Jinxia EDZ gave the company 21 thousand subsidies for procurement of epidemic preventive materials, 200 thousand subsidies for resumption of work and production.

The “phased goal” of Kaifu District in smart manufacturing is to reach a total output value of over 20 billion yuan in three years.

Statistics

The main goals of social and economic development in Kaifu District in 2020: regional GDP grows at a rate of about 8%; value added of industries above designated size increases by 8%; investment in fixed assets increases by more than 7%; total retail sales of consumer goods increases by 8%; local general public budgets income increases by 7%; the urban registered unemployment rate is kept within 3%; the per capita disposable income of residents is higher than the provincial and municipal average levels, and the standards of reducing major pollutant emission can be lived up to. At the same time, in accordance with the requirements of high-quality development, more attention will be paid to the following indicators: research and development (R & D) funding increases by more than 30%; industrial investment accounts for over 40% of total fixed asset investment; and energy consumption per unit of GDP falls by 2%.

Project planning and construction: In 2020, Kaifu District will launch a total of 227 major projects with an annual planned investment of 36.36 billion yuan, of which 133 are government investment projects with an annual planned investment of 6.13 billion yuan and 94 social investment projects with 302.3 billion yuan.

Policy

Kaifu issued “Several Measures on Effective Response to the Epidemic to Support the Hehy Development of Enterprises”, including 16 policies on four major aspects of promoting production, reducing burdens, stabilizing employment, and providing better services to help enterprises resume work and production.

The first batch of subsidies 29.944 million yuan has been put in place, including rent-free subsidies of 23.9829 million and 21.0457 million as financial support.

Malanshan Video Cultural and Creative Park launched the “Five Policies” to provide subsidies in rent, electricity, network, loans, etc.

Edited by Li Ling