HEBEI PROVINCE
General Background
Hebei
- abbreviated as Ji - is located in the northern part of the North China
Plain, encircling Beijing
and Tianjin, and lies on
the coast of the Bohai Bay.
Shijiazhuang
is the capital of Hebei. After expansion of the designated coastal
open economic zones to include counties since 1985, Qinhuangdao,
Tangshan, Cangzhou city,
Changli, Funing, Lulong, Fengnan, Luannan, Leting, Tanghai, Luanxian,
Haixing, Huanghua, Changxian, Qingxian have been opened to foreign investors
and enjoy preferential economic policies.
Two major economic development belts have been developed
in the province. They are
the Jing-Jin-Ji (Beijing-Tianjin-Hebei) Economic Ring and the Bohai
Bay Belt.
Hebei
is a major agricultural base in China. In 2000, its agricultural and animal husbandry
output were the fourth and second highest respectively in the country.
The province's output of fruit and milk also ranked very high
in China.
Hebei
is also a major producer of iron and steel. In 1999, Hebei's
output of iron and steel ranked the first and third in the country. Besides, the province has rich reserves
of marble, potassium sand shale, natural oilstone, titanium, dolomite
and vermiculite.
Recently, Beijing
is selected to host the 2008 Olympic game. As a result, the Chinese
government will invest over RMB 100 billion in the next 6 years to improve
infrastructures around the Jing-Jin-Tang area. Hebei
is going to be benefited as well.
Infrastructure
Water Transport ⌒ Qinhuangdao is the fifth largest port in terms of cargo handling tonnage
in China and the port's throughput was 82.6 million tons in 1999. In
the first half of 2001, Qinhuangdao
had handled over 50 million tons of cargos and the expected cargo handling
tonnage is over 100 million tons. Qinhuangdao
is also a hub for the transportation of coal from northern to southern
China.
The port provides shipping services to many countries and regions including
Japan,
the Philippines,
Singapore,
Hong Kong and Korea. The Jingtang port, with a handling
capacity of around 6.6 million tons, is planned to expand into a deep-water
port with a view to provide convenient access to sea for the nearby
regions.
Railways ⌒ Major railways in Hebei include
the Jingjin railway line, Beijing-Guangzhou, Beijing-Shenyang, Beijing-Shanghai
and Beijing-Baotao lines. Beijing-Kowloon railway connects the province closely with
Hong Kong and Macau.
The major
section of the Shuozhou-Huanghua Railway is in operation. The Shuozhou-Huanghua Railway, linking
Shenchi county in Shanxi
with Huanghua port in Hebei,
will be the second major railway for coal transportation from west to
east in China. Besides, construction of an electrified
railway from Qinhuangdao
to Shenyang of Liaoning is in progress and the new Qinhuangdao-Shenyang
railway is scheduled for completion in 2003.
Currently, a magnetic levitation train line connecting
Beijing and Shanghai,
which will also pass through Hebei,
is under the study stage. This railway will tremendously improve transportation
between two of Chinaˇs
most important economic zones.
Highways ⌒The provinceˇs highway networks
are all radiating out from Beijing, the transportation hub of Northern
China. Major highways in the province include the Jing-Shi (Beijing-Shijiazhuang),
Jing-Jin-Tang (Beijing-Tianjin-Tanggu), Shi-Tai (Shijiazhuang-Taiyuan)
and Tang-Jin (Tangshan-Tianjin) expressways. Besides, a section of an expressway from
Baoding to Shanhaiguan,
linking Beijing and Shenyang
has been opened recently.
As a result of the 2008 Beijing Olympics, the central
government is going to upgrade all the major highways in Hebei,
Shandong and Shanxi.
Air Transport ⌒ There are 3 airports in Hebei including Shijiazhuang Airport, Qinhuangdao
Airport and Xingtai Airport, providing domestic and international flight
services.
Telecommunications ⌒ Mobile phone services are available in major cities such as Shijiazhuang,
Baoding, Handan, Xingtai, Hengyong, etc. and there were 1 million mobile
phone users in the province in 2000.
In the Tenth Five-Year plan, Hebei
is going to invest heavily in information technology. The province is
aiming to have 7.6 million mobile phone users and 4 million internet
users by 2005.
Industries
In 2000, Hebei's
industrial output totalled Rmb341.4 billion (+14.3%). Pillar industries in Hebei
included chemical, machinery, electronics, metallurgy and building materials.
Industries such as sanitary porcelain and plane glass were significant
in the country and major industrial products included cotton, yarn,
cement, steel and iron. The North China Pharmaceutical Plant,
locates in Shijiazhuang,
is the major antibiotic producer in China
with its output of penicillin ranking highest in the world.
In coming years, Hebei
will actively attract foreign funds and introduce advanced technology
in all production sectors. The
province aims to upgrade the overall productivity and product quality
of its industrial enterprises and raise market competitiveness. Meanwhile, Hebei
also targets to boost the tertiary sector such as finance, banking,
information services and tourism.
Tourism
Hebei
is a popular tourist spot in Northern China with
many historical memorials such as the Chengde Summer Resort, the Shanhaiguan
Pass of the Great Wall, the
Beidaihe Summer Resort, the Eastern Tombs and Western Tombs of the Qing
Dynasty. Beidaihe is the Camp David of China and the place has hosted
many important politburo meetings.
While the number of ancient remains and building complexes
under the first class protection of the State shares the first place
with Shanxi in terms of historical relics, the number of natural and
historical landscapes ranks the second in the country. In 1999, more than 414,000 tourists (+11.6%) visited the province
and generated revenue of US$142 million (+14.5%).
Consumer Market
Retail sales of consumer goods
in the province rose by 10.4% to Rmb161.4 billion
in 2000. The Jing-Jin-Ji
Economic Ring, with a consumer group of more than 100 million people,
is one of the largest consumer markets in China. Major retail centres are located in
Shijiazhuang,
Tangshan,
Qinhuangdao
and Baoding.
Major department
stores and shopping centres in Hebei
include Shijiazhuang
Beiguo
Commercial
City,
Shijiazhuang Renmin Department Store, Shijiazhuang
Dongfeng
City
Plaza,
Shijiazhuang Ximei Department Store, Tangshan Department Store,
Qinhuangdao
Hualian
Commercial
City
and Baoding Department Store.
Foreign Trade
In Jan-April 2001, Hebei
recorded total trade of US$1.8 billion with exports of US$1.1 billion,
an increase of 10.1%. Major
export items are clothing, steel and pottery.
In 2000,
Hebei's
exports totalled US$3.3 billion (+22.2%). Major export goods included crude oil,
cotton, yarn and fabrics, iron and steel, antibiotic and food.
Imports rose by 15.8% to US$2.2
billion in 2000. Major
import products included fertilizer, chemical
raw materials, machinery and electronic products. Major import sources were the EU,
Japan,
Republic
of Korea
and the US
Hong Kong
is Hebeiˇs
5th largest trading partner, after Japan,
S. Korea,
the U.S and EU. In 1999, Hebei
exported US$392 million to Hong
Kong, which ranked
the 4th, and imported US$ 15 million from Hong
Kong.
Foreign Investment
In 2000,
Hebei
approved 492 foreign-invested projects (-5.4%) with contracted and actual
utilized foreign investment of US$1.2 billion (+33.8%) and
US$700 million (-42.6%) respectively.
Hong Kong
is the biggest investor in Hebei.
In 1999 Hong Kong
signed 160 contracts with an amount of US$287 million. Other major investment
sources were the US,
Japan,
Taiwan
and Singapore.
Shijiazhuang,
Tangshan,
Baoding,
Qinhuangdao
are popular for foreign investment.
In coming years, foreign investments were encouraged in developing
machinery, building materials, chemicals, textiles, pharmaceuticals,
electronics, infrastructure and real estate development.
Economic Indicators of Major Cities (1999)
|
|
Population
|
GDP
|
Industrial Output
|
Retail Sales
|
Actual utilized
|
|
Cities
|
('000)
|
(Rmb bn)
|
(Rmb bn)
|
(Rmb bn)
|
FDI (US$mn)
|
|
Shijiazhuang
|
8,754 (+0.9%)
|
90.8
(+7.3%)
|
68.9
(12.2%)
|
29.7 (+10.8%)
|
426.1
(+24.8%)
|
|
Tangshan
|
6,941 (+0.6%)
|
83.1
(+6.7%)
|
52.4
(11.0%)
|
20.7 (+7.8%)
|
243.8
(+17.1%)
|
|
Baoding
|
10,501
(+0.7%)
|
63.7
(+7.2%)
|
28.2
(11.9%)
|
20.7 (+9.5%)
|
150.3
(-35.9%)
|
|
Handan
|
8,210 (+0.7%)
|
49.7
(+6.4%)
|
28.0
(6.9%)
|
15.5 (+10.7%)
|
274.4
(+51.8%)
|
|
Cangzhou
|
6,591 (+0.8%)
|
42.3
(+5.0%)
|
20.2
(6.9%)
|
11.1 (+9.9%)
|
125.2
(+198%)
|
|
Qinhuangdao
|
2,644 (+0.6%)
|
26.3
(+5.6%)
|
14.9
(2.1%)
|
7.0 (-20%%)
|
170.8
(-12.9%)
|
Note:
Figures in ( ) represent year-on-year growth
Source: Heibei Economic Yearbook
Major Economic & Technological
Development Zones (ETDZs)
1.
Qinhuangdao
Economic and Technical Development Zone
A
state-level ETDZ established in 1984.
By end-March 2000, the zone approved 1,732 projects and 389 were
foreign-invested with contractual foreign investment of US$1.3 billion. Major foreign investment came from Germany,
the US,
the UK,
Japan,
Taiwan,
Hong Kong, Thailand
and Republic of Korea. The zone aims to boost such industries
including chemicals, pharmaceuticals, metallurgical, machinery, electronics,
textiles, fine chemicals and building materials.
2.
Shijiazhuang
New- and Hi-Tech Development Zone
Approved
by the State Council as a state-level new hi-tech development zone. Industries in the zone include electronic
information, biochemical, new materials such as glass fiber reinforced
plastic. The zone also
encourages investment in the fields of telecommunications, microelectronics,
bio-chemicals and new materials, industrial projects with high added
value.
3.
Baoding
New- and Hi-Tech Development Zone
Approved
by State Council in 1992. Major
investments were engaged in the fields of infrastructure, electric automation
equipment, fine chemicals, electronic information products, machinery
and electrical integration, biochemical, precision meters and instruments.
Other economic
and technical development zones are located at Langfang, Tangshan,
Zhuozhou, Cangzhou, Shanhaiguan, Wuqiao, Huanghua, Beidaihe, Yanjiao,
Nanbao, Shijiazhuang, Bazhou,
Gaobeidian, Baiyangdian, Anping and Tangshan Seaport.
Economic Indicators
|
|
1999
|
2000
|
|
Economic Indicators
|
Value
|
Growth
|
Value
|
Growth
|
|
|
|
(%, y-o-y)
|
|
(%, y-o-y)
|
|
Area (sq km)
|
187,700
|
--
|
187,700
|
--
|
|
Population (mn)
|
66.1
|
0.7
|
^67.4
|
2.0
|
|
Gross Domestic Product (RMB bn)
|
456.9
|
7.5 *
|
507.6
|
9.5 *
|
|
Per Capita GDP
|
6,913
|
6.8
|
N/A
|
N/A
|
|
Disposable Income Per Capita
|
|
|
|
|
|
-
urban (RMB)
|
5,365
|
5.4
|
5,661
|
5.5
|
|
-
rural (RMB)
|
2441.5
|
1.5
|
2478.9
|
1.5
|
|
Fixed-assets Investment (RMB bn)
|
101.8
|
10.9
|
104.8
|
2.9
|
|
Added Value Output
|
|
|
|
|
|
-
primary industry (RMB bn)
|
80.6
|
2.0
|
82.5
|
2.3
|
|
-
secondary industry (RMB bn)
|
223.3
|
7.6
|
255.1
|
14.2
|
|
-
tertiary industry(RMB bn)
|
151.9
|
10.6
|
170.0
|
11.9
|
|
Retail Sales (RMB bn)
|
145.9
|
9.5
|
161.4
|
10.6
|
|
Inflation (Consumer Price Index, %)
|
-2.2
|
|
-0.3
|
|
|
Exports (US$ bn)
|
2.7
|
1.9
|
3.3
|
22.2
|
|
-
by FIEs (US$ bn)
|
0.8
|
11.1
|
1.0
|
25
|
|
Imports (US$ bn)
|
1.9
|
14.7
|
2.2
|
15.8
|
|
-
by FIEs (US$ bn)
|
0.7
|
8.2
|
0.6
|
-14.3
|
|
Foreign Direct Investment
|
|
|
|
|
|
-
number of projects
|
520
|
-25.3
|
492
|
-5.4
|
|
- contractual amount (US$ bn)
|
0.9
|
-29.8
|
1.2
|
33.3
|
|
-
utilized amount (US$ bn)
|
1.0
|
-27.1
|
0.7
|
-42.6
|
Notes: *In Renminbi real terms
^ Latest
population census, 1999 figure was estimate based on previous survey.
Sources: Hebei
Economic Yearbook and State Statistical Bureau
UK -China Business Links. All Rights
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