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China Daily Website

Landmark industrial park in Guangxi

Updated: 2013-10-05 00:51
By Zhuan Ti ( China Daily)

Sino-Malaysian business zone first between two govts

A pioneering zone in the Guangxi Zhuang autonomous region, the China-Malaysia (Qinzhou) Industrial Park will further deepen economic ties between China and ASEAN, local officials said.

The first of its kind built by the Chinese and Malaysian governments, the park in Guangxi's Qinzhou port serves as a platform for promoting exchanges and cooperation with enterprises from ASEAN and other countries around the world.

It is the third inter-governmental deal between China and other countries, following the China-Singapore Suzhou Industrial Park and the Sino-Singapore Tianjin Eco-city.

"We are committed to making the park an advanced manufacturing base with modern infrastructure, corridor of intelligence and good investment environment in the Beibu Gulf Economic Zone," said its administrator.

Adjacent to the Guangxi Qinzhou Free Trade Port Area and Qinzhou Port Economic and Technological Development Zone, the park has a planned area of more than 55 square kilometers and a population of 500,000.

It includes areas for industries, scientific research, services and residences.

Based on its geographic advantages and rich resources from ASEAN, the park will focus on developing traditional industries and strategic sectors.

"It is also a high-level R&D center with world-class competitiveness," said officials.

At present, projects worth some 4.8 billion yuan ($786 million) have settled in the park. Their production value is projected to reach 20 billion yuan annually.

The administration committee said the park will endeavor to improve its services and management standards in the near future.

Pillar industries

The six key industries in the park include equipment manufacturing, electronic information, food processing, traditional and new materials, biotechnology and modern services.

Those industries will forge an advanced system of industrial clusters with distinct features in the next few years, analysts say.

A comprehensive processing zone will be set up soon, specially for Malaysian small and medium-sized companies.

One example is its newly built joint venture company founded by enterprises from both China and Malaysia.

It is responsible for the park's overall development and construction as well as investment promotion.

Favorable policies

To encourage trade and investment, the park has issued a series of favorable policies and incentives for companies from home and abroad.

That is evident in its land supply policy, in which the local government plans land use for enterprises in the park on an annual basis.

The park's quota for sea use will be allocated according to enterprises' different demands.

In the case of farmland for the park's construction, Guangxi authorities will arrange quotas for use and compensation.

The standard transfer price of industrial land in the park is 96,000 yuan per mu, or 666 square meters.

Discounts of 10 to 50 percent on land priced are now available for overseas and local businesses. During the construction period, enterprises in the park are exempted from all administrative fees except for charges paid to the Central and Guangxi governments.

Service fees will be charged at the lowest standards. From 2013 to 2020, tax for self-used land and housing are exempted for companies in the fields of logistics, finance, conference and exhibition, tourism, sports and health care.

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