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Xiong’an New District: building China’s “Silicon Valley” into a global innovation center

2017年第14期《中国经济周刊》封面
Cover of China Economic Weekly, 2014

China Economic Weekly reporter Xu Hao | Beijing Report

(This article was published in China Economic Weekly, 2014)

The news of setting up Xiong’an New District in Hebei province is like a spring thunder, which attracts worldwide attention.

On April 1, Xinhua News Agency reported that the Central Committee of the Communist Party of China and the State Council had issued a notice recently and decided to establish Xiong’an New District in Hebei province. This is an important historic strategic choice made by the Party Central Committee with Comrade Xi Jinping as the core. It is another new district with national significance after Shenzhen Special Economic Zone and Shanghai Pudong New Area. It is a millennium plan, state affairs.

The eight words “millennium plan and national affairs” show the great significance of the establishment of Xiong’an New District.

The establishment of Xiong’an New District is the deployment to further promote the coordinated development of Beijing, Tianjin and Hebei. Its orientation is firstly to relieve the centralized bearing area of Beijing’s non-capital functions. Two years ago, the boots proposed by the outline of beijing-tianjin-hebei coordinated development plan for beijing non-capital function dispersal concentrated bearing areas finally fell to the ground. Xiong’an new district activated the whole game of chess in beijing-tianjin-hebei.

“But the significance of Xiong’an New District is not only to serve Beijing, Tianjin and Hebei, but also to play an exemplary role in leading the reform, opening up and innovation in the new era. Xiong’an New District has been mentioned as a millennium plan and a national event, which is also required by long-term strategy.” The deputy head of the Beijing-Tianjin-Hebei collaborative development expert advisory committee and academician of the Chinese Academy of Engineering, Qu Hezhen said in an interview with the reporter of China Economic Weekly.

Xiong’an New District attracted the attention of all parties. In Baidu search alone, there were more than 1.08 million related results on April 6.

Implement key tasks in seven aspects, build green ecological livable new urban areas, innovation-driven development leading areas, coordinated development demonstration areas, open development leading areas, and strive to build innovative development demonstration areas that implement new development concepts. Xiong’an New District has a long way to go.

“The mission of Xiong’an New District is innovation, which will become China’s Silicon Valley and the heart region of China’s becoming an innovative and modern country.” Zhang Yansheng, secretary general of the Academic Committee of the National Development and Reform Commission and chief researcher of China International Economic Exchange Center, told the reporter of China Economic Weekly.

Building Xiong’an New District is a historic project and a historical heritage left by our generation to future generations.

The copyright works of China Economic Weekly-economic network must be authorized and indicated when reprinting, and the violators will be investigated for legal responsibility.

视觉中国

Non-capital function dispersal “centralized bearing area”

The planning scope of Xiong’an New district involves three counties in Hebei province, including Xiongxian county, Rongcheng county and Anxin county and some surrounding areas. The planning and construction takes specific areas as the starting areas to develop first, and the starting area covers an area of about 100 square kilometers, the medium-term development area is about 200 square kilometers, and the long-term control area is about 2000 square kilometers.

Xu Kuangdi, the leader of the expert advisory committee of Beijing-Tianjin-Hebei collaborative development, said that the location of Xiong’an New District was selected after repeated in-depth demonstration, taking into account factors such as transportation, geology, hydrology and construction costs. The transportation here is convenient and the environment is beautiful. Many intercity railways and high-speed railways are currently and are already being planned. “In addition, this place has low population density, low degree of development, and abundant development space. Like a blank sheet of paper, it has the basic conditions for high starting point and high standard development and construction.”

According to the outline of Beijing-Tianjin-Hebei coordinated development plan, it is the core of Beijing-Tianjin-Hebei coordinated development strategy to clarify Beijing’s non-capital functions in an orderly manner. “According to the planning outline, the main way to relieve the non-capital functions of Beijing is to focus on dredging and dispersing, and to focus on dredging, we need to find a centralized bearing area.” Chen Yao, a researcher at the Institute of Industrial Economics of Chinese Academy of Social Sciences and vice president of China Regional Economics Association, told the reporter of China Economic Weekly. Therefore, it is the primary function of Xiong’an New District to relieve the concentrated bearing area of Beijing’s non-capital functions.

“To solve the diseases of big cities in Beijing, to solve the situation that Beijing, Tianjin and Hebei have insufficient space and unreasonable resource distribution, some non-capital functions of Beijing will be moved out. Xiong’an New District is a centralized bearing area, will be considered first.” The deputy head of the Beijing-Tianjin-Hebei collaborative development expert advisory committee and academician of the Chinese Academy of Engineering, Qu Hezhen said in an interview with the reporter of China Economic Weekly.

What non-capital functions will be relieved? According to the planning outline, the key point is to relieve General industries, especially high-consumption industries, regional logistics bases, regional professional markets and other parts of the tertiary industry, and some social public service functions such as education, medical treatment and training institutions, part of the four categories of administrative, business service agencies and corporate headquarters.

“Beijing is the place with the highest concentration of high-end industries, emerging industries, innovative elements and resources, so the new generation of information technology, including big data, Internet of Things, cloud computing, unmanned technologies, etc., as well as aerospace, robots and other modern new industries that are at the international forefront may give priority to landing in Xiong’an New District.” Chen Yao told the reporter of China Economic Weekly.

“Beijing is positioned as a political center, a cultural center, an International Communication Center and a scientific and technological innovation center. Of course, it must have the supporting social service function, in addition, we must retain innovative industries and some sophisticated industries, which are all in line with Beijing’s needs.” He said. He said that with the construction of Xiong’an New District being green and livable, with good resource carrying capacity and large development space, it is bound to attract more enterprises, including some central enterprises and universities, to move there in the future. “As a city, in the early days, primary and secondary schools, hospitals and so on are definitely indispensable, which is also a natural thing.”

Chen Yao believes that universities, hospitals, research institutions, etc. are the supporting requirements of centralized bearing areas, so related industries, institutions, and even departments may be relieved to Xiong’an New District. “For example, in the early stage, some universities and hospitals may build branches in the new district, and some central enterprises may also build branches or move over.”

“To build Xiong’an New district well, the most important thing is to respect the market and economic laws. We should give full play to the decisive role of the market in the allocation of resources and better play the role of the government.” Qu hezhen told the reporter of china economic weekly that the evacuation of beijing’s non-capital function still needs to play the role of the market, which is definitely not a one-size-fits-all by administrative orders. For example, for central enterprises concerned by the market, enterprises themselves should consider where their headquarters are located, where their branches are located, and where their industrial bases are located, not only the economic and administrative requirements of the whole country, it is also necessary to consider the needs of the market and its own development.

What’s the difference between Shenzhen and Pudong?

“The belt and road initiative, the coordinated development of beijing-tianjin-hebei and the yangtze river economic belt are the three national strategies of our country. The establishment of xiong’an new district is a major decision-making plan made by the party central committee with comrade xi jinping as the core to further promote the coordinated development of beijing-tianjin-hebei.” Zhang Yansheng, chief researcher of China International Economic Exchange Center, said in an interview with China Economic Weekly.

But the significance of Xiong’an New District is not only to serve Beijing, Tianjin and Hebei. Zhang Yansheng said, “special zone” and “New Zone” with overall strategic significance, the first one is Shenzhen, in the Pearl River Delta, the South of China; The second one is Pudong New Area, in the Yangtze River Delta; the third is Xiong’an New District, which is located in the core position of Beijing, Tianjin and Hebei, and is the third regional strategy after the Pearl River Delta and Yangtze River Delta.

“In the early 1980 s, Shenzhen Special Zone was decided to be built. In the early 1990 s, Pudong New Area was decided to be built. After so many years of construction, they were successful and created the economic growth poles of the Pearl River Delta and the Yangtze River Delta. Shenzhen and Pudong are both located in the southern coast, and Xiong’an New District, which is now inland, hopes to play an important role in supporting Beijing, Tianjin and Hebei to become China’s new growth pole.” Yu Hezhen told the reporter of China Economic Weekly.

Yu Hezhen said that Shenzhen was facing Hong Kong and Macao at that time, and Shanghai was the hinterland of Pudong New Area. Xiong’an New Area was located at three points of a triangle with Beijing and Tianjin, depending on the wider space of Beijing, Tianjin and Hebei. In the new period of realizing the goal of “two hundred years” in our country, we hope to play the leading and driving role played by Shenzhen and Pudong in the 1980 s and 1990 s.

It can be seen that from the perspective of national New District Development, from Pudong New Area to Binhai New Area, and then to Xiong’an New Area, it reflects the regional strategic structure of “going north to the West. Shenzhen led the driving of the Pearl River Delta urban agglomeration, Pudong New Area became the engine of the Yangtze River Delta urban agglomeration, and the coordinated development of Beijing, Tianjin and Hebei aims at building a world-class urban agglomeration. “At that time, Pudong New Area was said to be a region with the most favorable policies, and bit area was also special. Therefore, from this perspective, Xiong’an New Area is likely to develop according to the mode of the special zone.” Chen Yao told the reporter of China Economic Weekly.

However, Xiong’an New Area is not exactly the same as Shenzhen Special Zone and Pudong New Area. “Xiong’an New District is located in the northern inland area, which does not completely have the location advantages of Shenzhen and Pudong adjacent to Hong Kong, Macao and Shanghai coastal areas, at present, the global economy is in a downturn and seeking revival, which is not like the strong momentum of attracting foreign investment at the beginning of reform and opening up. Therefore, Xiong’an New District will continue to adhere to opening up and strive to attract foreign investment with new advantages, but it pays more attention to relying on connotation development and innovation.” He said.

“There are still many places like Xiong’an New District that neither border nor coastal. I hope Xiong’an New district can explore a new model of China’s economic development and transformation, explore a new way of development.” Yu Hezhen told the reporter of China Economic Weekly.

Change the situation of “obesity” in Beijing and Tianjin and “thin and small” in Hebei

For a long time, the functional layout of the beijing-tianjin-hebei region is not reasonable enough, the urban system structure is unbalanced, the beijing-tianjin poles are too “obese”, the surrounding small and medium-sized cities are too “thin”, and the regional development gap is wide, in particular, there is a big gap between the development level of Hebei and Beijing and Tianjin.

Xiong’an New district must first undertake Beijing non-capital function dispersal. On this basis, it will create a green and livable new urban area, which will lead the development of innovation-driven areas, coordinate the development of demonstration zones, and create an environment that attracts innovation and entrepreneurship.” The deputy head of the Beijing-Tianjin-Hebei collaborative development expert advisory committee, Ji He, said that the development of Xiong’an New District is divided into initial, medium and long-term periods, which requires a gradual process.

Zhao Kezhi, secretary of Hebei provincial Party committee, said in an interview with Xinhua news agency that for Hebei, planning and building Xiong’an New District also formed two wings of Hebei. The first wing takes the 2022beijing Winter Olympics as an opportunity to promote the construction of Zhangbei region; The other wing is Xiong’an New District, which drives the development of middle and south of Hebei province and even the whole Hebei, which will effectively enhance the industrial level of Hebei, innovation ability and public service level push Hebei province out of a new road of accelerating transformation, green development and leaping and upgrading.

The unbalanced development of Beijing-Tianjin-Hebei and the backward development of Hebei are largely due to Beijing’s siphon effect on surrounding areas. Will such an effect be formed again after Xiong’an New District is developed? Chen Lu, director of Beijing-Tianjin-Hebei collaborative development research center of Hebei Academy of Social Sciences, is optimistic about this.

“In the past, many new areas were economic functional areas, including Pudong and Shenzhen, which were gradually developing, integrating production cities, becoming international metropolises or national economic centers. However, Xiong’an New District, as a national new district, is the forefront of reform and opening up. It is very different from before to build a green smart new city.” Chen Lu told the reporter of China Economic Weekly that the siphon effect of Xiong’an New District will be very strong and will become more and more obvious in the future. However, as a magnet that absorbs high-end elements, the contents it absorbs include not only Hebei, it also includes Beijing and Tianjin. “with the development, the whole world is used by me. The development is strong, and Hebei will also form supplies.”

“How to realize scientific development and sustainable development by easing some functions of developed cities, at the same time drive the development of relief land and optimize the development of the whole large area, xiong’an New District will explore a new model in this respect, providing the whole country with a replicable and referential experience.” Chen Lu told the reporter of China Economic Weekly.

Xiong’an New District will develop high-end and high-tech industries in the future. What about the industries in the region at present? “The goal of the new district is to build a gathering place for high-tech industries and also a gathering place for innovation and entrepreneurship. However, it is not said that the new district can only develop high-tech industries, and all existing industries will move out, the placement of existing industries and workers should be considered. Of course, the existing industries will be evaluated in the planning of the new district. There cannot be industries with high energy consumption and high pollution, and industries with overcapacity should also be adjusted.” Qu hezhen said that the industry in the new district may not be so high now. In the future, it will be upgraded by means of planning. At the same time, it will be adjusted according to the planning to make it more in line with agglomeration, cluster, intensive development model.

“As the concentrated bearing area of Beijing’s non-capital function, while relieving Beijing’s pressure, it will also activate the new economic and social dynamic energy of Hebei, which can change Hebei, Beijing, the gap between Tianjin’s economic and social development.” “The development of Beijing, Tianjin and Hebei is a world-class urban agglomeration with the capital as the core area. Xiong’an New District is an important fulcrum in the world-class urban agglomeration. To build a new capital economic circle, such coordinated development can bring Beijing, Tianjin and Hebei to the next level.”

Build China’s “Silicon Valley” and become a global innovation center

In an interview with Xinhua News Agency, He Lifeng, director of the National Development and Reform Commission, stressed that innovation drive should be taken as the fundamental driving force for the development of the new district and guide innovation elements to gather in the new district. Support the new district to create a good innovation atmosphere from the aspects of innovation carrier, operation mechanism and development environment, attract high-end innovative talents and teams, and strive to build innovative high-tech and new technology cities.

According to Zhang Yansheng, the chief researcher of China International Economic Exchange Center, Xiong’an New District will become China’s “Silicon Valley” in the future and the heart region for China to become an innovative and modern country. This is a big strategy that will push China’s reform and open policy to a new stage. “The national mission of Shenzhen Special Zone is to let the world enter China, let China integrate into the world, and act as a window and bridge. The most important role of Pudong New Area is to develop finance and internationalization, so the Yangtze River Delta has developed very well. This time, Xiong’an New District was established in Beijing-Tianjin-Hebei region. Its mission is innovation, which should be the heart of China becoming an innovative and modern country in the future.” Zhang Yansheng told the reporter of China Economic Weekly.

Zhang Yansheng said that Beijing is not an economic center, but Beijing’s research and development intensity is the highest. From the perspective of indicators, it is leading in the world. He listed a set of data for the reporter of China Economic Weekly. In 2015, the contribution rate of science and technology progress in Beijing had exceeded 60%, and the investment in science and technology research and development accounted for of the GDP, ranked first in the country, followed by 4.1 percent in Shenzhen. This figure has exceeded the level of developed countries in Europe and America, with only Israel and South Korea exceeding 4%.

“Beijing has the best universities, research institutes and scientific research talents in China, but it is too crowded and lacks space for transformation. After the Xiong’an New District, the function of Beijing was activated, and the whole game of chess in Beijing, Tianjin and Hebei was activated. The 100 square kilometers of this starting area can put Beijing Science and technology, culture, talents and international advantages gather together to form an innovation center, a high-end manufacturing center and a modern service center in Beijing, Tianjin and Hebei.” Zhang Yansheng said, “in this way, can the new district become China’s Silicon Valley? It is entirely possible.”

“China’s industrial development has gone through three stages, the first stage is 1979-1999, the great development period of light industry and textile industry; The second stage is 2000-2012, the development of heavy chemical industry and equipment manufacturing industry; the future development is the third stage, which is innovation, including innovative technologies, research and development, information services, etc. Xiong’an New District is the best place to turn these into productive forces. This platform and carrier can become a national and even global innovation center, attracting high-end talents, resources and enterprises from the world.” Zhang Yansheng told the reporter of China Economic Weekly.

A blueprint to the end
中共中央、国务院印发的通知,明确了规划建设雄安新区的总体要求和重点任务。

The circular issued by the Central Committee of the Communist Party of China and the State Council clearly defines the overall requirements and key tasks for planning and constructing Xiong’an New District.

On the same day when the news of the establishment of Xiong’an New District was released, Xu Qin, secretary of Shenzhen municipal Party committee and mayor of the old “special zone”, was announced to be transferred to the deputy secretary of Hebei provincial Party committee and nominated the candidate for governor. On that day, the Hebei provincial Party committee held a provincial leading cadre meeting to convey the notice of the CPC Central Committee and the State Council on the establishment of Xiong’an New District in Hebei province. Zhao Kezhi, secretary of the Hebei provincial Party committee, said that we should start from the height of macro-history and deeply understand the great significance of planning and building Xiong’an New District.

However, how to build an international first-class, green, modern and smart city needs careful planning and layout. “At present, the overall planning, regulatory planning, detailed planning, etc. have not yet come out. This is a very serious work. It is also a heavy workload to adhere to the requirements of World Vision, international standards, Chinese characteristics and high point positioning, to achieve the integration of five rules and to manage one drawing to the end. Only when the planning is completed can there be specific time arrangements for subsequent construction.” The deputy head of the Beijing-Tianjin-Hebei collaborative development expert advisory committee, Qu Hezhen, told the reporter of China Economic Weekly.

Qu Hewei revealed that in the development of the Beijing-Tianjin-Hebei system, the development of Xiong’an New District will also be compared with the timetable of the Beijing-Tianjin-Hebei coordinated development planning outline. For example, by 2030, the core functions of the capital will be more optimized, the pattern of regional integration in Beijing, Tianjin and Hebei has basically formed, and the regional economic structure is more reasonable, playing a greater role in leading and supporting the national economic and social development. “Of course, Xiong’an New district may take a little longer. It is not an overnight thing to set up such a high-standard new city.”

As for the positioning of Xiong’an New District, there is a speculation of “moving capital” and “vice capital” in the society. Qu Hezhen told the reporter of China Economic Weekly that there was no saying of “moving capital” or “deputy capital. “Xiong’an New District is the first place to relieve the centralized bearing area of Beijing’s non-capital functions. Since it is non-capital functions, how can it be a capital move?” Yu Hezhen said that Beijing is positioned as political center of the whole country, cultural center, international exchange center and science and technology innovation center, and will continue to play the capital function. “Xiong’an New District is not only a centralized bearing area, we will also build an innovation-led demonstration area, explore the mode of optimizing development in economically and densely populated areas, and form an important role in supporting Beijing, Tianjin and Hebei to become the new growth pole of China’s economic development, it is also an important fulcrum for the construction of urban agglomeration with capital as the core in Beijing-Tianjin-Hebei region.”

To play such a role, at present, how will Xiong’an New district develop? Zhang Yansheng said that Xiong’an New District learned the innovative vitality of Shenzhen. The biggest problem in Beijing-Tianjin-Hebei region is the lack of vitality, and the mechanism and environment can be done better. To adapt to the new normal, deepen the structural reform on the supply side, and at the same time give entrepreneurs and scientific and technological innovation talents a stable and optimistic confidence and expectation.

Chen Lu, director of Beijing-Tianjin-Hebei collaborative development research center of Hebei Academy of Social Sciences, put forward new views. He told the reporter of China Economic Weekly that one of the key tasks of Xiong’an New District is to build a green smart new city, therefore, the construction of the new city involves high-end service industry and high-tech industry. “This new city will change and may not be the development routine of the integration of production cities before”.

“As a non-capital functional evacuation center in Beijing, Xiong’an New District will have perfect supporting facilities, including supporting services such as culture, education and medical treatment. On this basis, it will attract a large number of high-end talents, develop high-tech industries. In this way, innovation and entrepreneurship have developed.” Chen Lu told the reporter of China Economic Weekly, “so this program may be reversed. First, build a new city with high standards and develop on this basis. This is an unprecedented thing. What problems are involved? It needs to be created separately and needs to be done by yourself.”

The commentator article of People’s Daily pointed out that the construction of Xiong’an New District is a historic project and a historical heritage left by our generation to future generations. “The construction of Xiong’an New District has unprecedented opportunities, but challenges coexist. The tasks in the future are arduous. We must maintain strategic determination and historical patience.” Yu Hezhen told the reporter of China Economic Weekly.

The copyright works of China Economic Weekly-economic network must be authorized and indicated when reprinting, and the violators will be investigated for legal responsibility.

Count China’s “districts” in detail”

Looking back on the process of China’s reform and opening up, various “districts” emerge one after another. At the beginning of the reform and opening up, the country set up “special economic zones” such as Shenzhen, and the region implemented special policies to become a relatively independent economy; In the mid-1980s, several “coastal open cities” and “coastal economic open areas” have been set up successively. With the deepening of reform and opening up, “Economic and Technological Development Zone” and “High Tech Industrial Park” have been established in succession throughout the country, and enterprises that can enter the “development zone” enjoy certain preferential policies; In the early 1990 s, more than 10 “national new districts” have emerged one after another, and “free trade zones” have been set up in recent years “.

What are the differences between these “zones” and what missions do they carry?

Professor Liu taoxiong, director of the Institute of Economics of Tsinghua University, once wrote an article to analyze that at the beginning of the reform and opening up, everyone’s understanding of promoting reform and development was inconsistent. If reform and opening up were promoted uniformly throughout the country, many measures may not work. Under this background, we began to set up special areas in different places to promote openness and development.

All kinds of “zones” are not exclusive to each other, and the same place can have the identity of multiple “zones” at the same time.

11 free trade zones

Free Trade Zone is a free trade zone. The tariff, approval and management policies applicable to production, trade and investment activities in the zone are flexible.

19 national new districts

The national new district is mainly a measure of administrative division adjustment, which is approved by the central government and has corresponding supporting policies. The geographical scope of the new district is relatively small, usually a certain area in a city. The layout of “national new district” will more consider how to drive regional development through the construction of new district, become the growth pole of a region, change the development trend of the whole region, and have radiation effect.

7 Special economic zones

In order to steadily promote the reform, China has always adopted the gradual reform strategy of first partial pilot and then promoting experience. In the early stage of reform and opening up, several special economic zones such as Shenzhen and Zhuhai were established, and special policies were implemented in the region. Pilot region for comprehensive reforms is close to the special zone in nature, but the content of “test” is clearer. For example, some aim at the coordinated development of urban and rural areas, some aim at the problems of resources and environment, etc. At present, there are 7 special economic zones including Shenzhen, Zhuhai, Shantou, Xiamen, Hainan, Kashgar and Horgos.

219 national economic and technological development zones

“Economic and Technological Development Zone” focuses on both the law of industrial development and the Law of Regional Development. Especially in the 1980 s, the government should play a greater role in how different industries complement each other and highlight the advantages of industrial agglomeration. Enterprises that can enter the park enjoy certain preferential policies, such as preferential industrial land and tax relief.

145 countries high tech industrial park

“High Tech Industrial Park” focuses more on the Law of industrial development. High-tech industry needs the support of the government to cultivate in the early stage of development. The intervention of the Ministry of Science and technology to the “high-tech zone” has even been refined to the Guiding Catalogue of the industry, that is to say, there are clear regulations on which industries should be developed in the high-tech zone.

【推荐阅读】本刊记者探访雄安新区,对话雄安人:一夜之间,他们迈入了新区生活

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cover of the 14th issue of China Economic Weekly, China Economic Weekly reporter Xu Hao | Beijing Report (this article was published in the 14th issue of China Economic Weekly, 2017) the news of setting up Xiong’an New District in Hebei province is like a spring thunder, making the world

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