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General Surver

Investment Guide to Key Industries in Guiyang

  I.Survey of Guiyang

  Guiyang, the Forest City, is surrounded by green mountains, beautiful architectures, two forest belts and a clear river. It is not only our beautiful homeland but also an optimal place for investors. Guiyang, a cool Guiyang, is a perfect summer resort and a metropolitan which is open, ecology-friendly, harmonious and most suitable for habitation. It is also a city which is speeding up the construction of ecological civilization.

  Guiyang, the capital city of Guizhou Province, is the political, economic, educational and cultural center of the province. It is located in the south(meaning “Yang”in Chinese) of Guishan Mountain, hence the name “Guiyang”, which has been used for over 400 years since then. In ancient times, Guiyang was abundant in bamboo which was used for making musical instruments, hence its abbreviation “Zhu” (the pronunciation similar to bamboo in Chinese)

  Located in the east of the Yungui Plateau of Southwest China, Guiyang is endowed with ranges of mountains and deep valleys. The city covers an area of 8034 square kilometers, 2403 square kilometers being urban districts. The average altitude is 1250 meters. It is under influence of subtropical humid and benign climate. The climate in Guiyang is pleasant and agreeable with no brutal heat in summer, no bitter cold in winter. It has ample sunshine, plentiful rainfall, humid air, no earthquake and no sand storm all year round. The average temperature per year is 14.9, the average rainfall 1016.9 mm, the annual average sunshine time 1052.3 hours, the annual humidity 79% and the frost-free period about 270 days. Guiyang's administrative districts have forests of 2793.33 square meters and percentage of the forest coverage is 42%. Guiyang is surrounded by ranges of mountains covered with emerald green trees, thus reputed as “Forest City”. The pleasant climate gains fame for the city, that is, there is paradise in heaven and there are Suzhou and Hangzhou on earth, however, it is Guiyang that has a pleasant climate all year round. After selected as “summer capital of China” by China Metrology Association in 2007, Guiyang was awarded the title of “National Garden City” in 2008.

  By the end of 2007, Guiyang had a population of 35,677,000. There are 37 minority nationalities, accounting for 15.4% of the total. The non-agricultural population takes up 50.3% of the total population.

  Guiyang administrates 10 districts (city and county) including Yunyan District, Nanming District, Baiyun District, Wudang District, Huaxi District, Xiaohe District, Qingzhen City, Xiuwen County, Xifeng County and Kaiyang County. Guiyang has two national development zones, namely Guiyang National High-tech Industry Development Zone and Guiyang Economic Technology Development Zone as well as the provincial-level Baiyun Economic Development Zone.

  The Jinyang New District under construction has a planned construction area of 106 square kilometers. It is designed to be a center of administration, education and culture, habitation, finance, commerce and high & new technology. Guiyang government is exerting all the efforts to build Jinyang New District into an ecological, digitalized, new and modernized city, achieving sustainable development in this place, which will become another center of the urban development besides the old downtown.

  Because of its special location, Guiyang is an important traffic hub in southwestern region in the country and also a communication hinge, a comprehensive industrial base and a scenic spot. The railways of Sichuang-Guizhou, Hunan-Guizhou, Guizhou-Kunming, Guizhou-Guangxi meet in Guiyang. The national Highway 322 and 210 go across the whole city. There are expressways and high-level highways that can reach various places of the country. The passenger flow in the 4E international airport is 5 million. Guizhou section of Xiamen to Chengdu Expressway and Guiyang to Guangzhou Express Railway are under construction. Guiyang to Guangzhou Railway, connecting with the Lanzhou to Chongqing Railway, will form an express passage from northwest to Southern part via Southwest, which will greatly enhance the exchange and cooperation between Guiyang and southern part of China. Besides, it will also become a world-famous travel route.

  Guiyang Forest City

  A land of modern economy development and a platform for entrepreneur to realize dreams

  A center of the central Guizhou industrial belt which is abundant with natural resources

  A starting point of West-East electricity transmission project

  The main city of carrying out Western Development Drive of the country

  An experimental city in the field of ecological cycling economy in the country

  An afforestation model city in the country

  National Forest City

  An experimental city in the field of intellectual property rights in the country

  An experimental city in the field of informatization in the country

  A city awarded the title of model city of habitation environment

  The Capital of Summer

  National Garden City

  An ecological and civilized city suitable for habitation, business and tourism

  II. Economy Development

  1. Economy Development

  In 2008, the GDP of Guiyang reached 81,105 million Yuan, increased by 13.1% compared to that of 2007. The average disposable income of city dwellers reached 13,817 Yuan, increased by 8.1%. Fiscal revenue of the whole city reached 22,429 million Yuan, increased by 18.9%. The total value of the retail of social consumer goods was 34.35 million Yuan, which increased by 23% on an annual basis.

  2. Investment Invitation

  An opening structure which is all-round, multi-leveled and diversified in fields has taken in shape in Guiyang. More than 60 world Top 500 companies and domestic Top 500 companies have been introduced into Guiyang, including Wal-Mart, Microsoft, Macdonald, Yum! of USA, Kyocera of Japan, Danone, Snecma and Lafarge of France, Chia Tai Group of Thailand and China Railway Group Limited, China Communications Construction Company Limited, Conch  Group Co. Ltd., China Minmetals Corporation, Jinyuan Group Group Co. Ltd., China Military Materials Southwest Company, China Aviation Group, Qingdao Hisense, Shandong Yankuang Group Co. Ltd., Hangzhou Wahaha. The invitation of investment is enhanced and the scale of import and export keeps expanding and the structure of export commodity is further optimized.  

  In 2008, 1,479 domestic investment projects were invited, involving 30.3 billion Yuan appropriative fund, which increased by 20.24% on an annual basis; seventeen foreign investment projects were approved, involving 93.5 million dollar, an increase of 15.4on an annual basis. Sixty six projects which involved more than 50 million Yuan were invited. The accumulative total value of import and export of municipality-owned enterprises reached 2.25 billion dollar, an increase of 33.1%on an annual basis, among which export reached 1.41 billion dollar, an increase of 82.9% and import reached 840 million, an increase of 14.5% .

  III.Survey of Key Industry Investment and Advantages

  Guiyang is located in the east part of Yunnan-Guizhou Plateau of south-western China. Guiyang is abundant with mineral and energy resources. Being one provincial capital in south-western China that is the closest to the sea exit, Guiyang is an important transport, communication hub in south-western China as well as a comprehensive industrial base characterized by resources exploitation and ecological scenic spots. Guiyang boasts its unique advantages in minerals, energy, location and ecological tourism. The verified minerals reach 20 kinds including bauxite, phosphorus and coal. The phosphorus pendoxide content is the highest among that from the three big phosphorus bases. The reserve of rich ore with over 32% P2O5 content in Guiyang ranks the first place among the three biggest phosphorus bases in China. Guiyang is the biggest production base of electrolysis in the country. In the mean time, because of rich water resources, Guiyang is one of the ten hydroelectric power bases in the country whose exploitable electricity is 615 KWs. The hydro- and thermo- power advantages have been formed and complement each other. As one of the excellent tourism cites in the country, Guiyang is the tourism service and distributing center in the whole province.

  Rich mineral and energy resources have laid good foundations for the industrial development in the city. Some key industrial products and industries, such as aluminum, phosphorus, mechanical & electronic products, precise optical instruments, contemporary Chinese traditional medicine, grinding tools and abrasive, cigarette and automobile parts, etc., are enjoying fame nationwide. The industrial economy has been made into certain scale and level. Guiyang intensifies its work on reform and opening-up continuously, speed up investment promotion by applying its own advantages and overall planning. At this moment, Guiyang will focus on the development of traditional advantageous industries, like aluminum processing, phosphorus processing, mechanical & electronic products, new materials, contemporary Chinese traditional medicine, green food, tourism and culture. Meanwhile, in order to further optimize industrial structure, Guiyang will also vigorously expand into tourism, contemporary logistics, culture and finance sectors, Guiyang will strive to increase the proportion of added value of service industry to over 50% in the total output value of the city and making Guiyang a regional comprehensive service center which will give impetus to development of the whole province and neighboring areas.

  Guiyang government is exerting all the efforts to build Jinyang New District into an ecological, digitalized, new and modernized city, achieving sustainable development in this place. Meanwhile, we create a favorable environment for independent innovation and adopt stimulating mechanism such as government’s purchase of the innovative products. We will speed up the construction of science and technology public service facilities and establish with joint efforts “Guiyang- Israel Innovative Enterprises Incubator”. Moreover, we will perfect the incubator platform and function of scientific and technological findings transformation of Guiyang Science and Technology Mansion and launch the construction of High-tech Industry Research and Development Base in Western China(Guiyang) and plan the construction of Maijia-Shawen-Zhazuo High-tech Ecological Industry Economy Belt to expand and enhance the High-tech Development Zone.

  At the end of 2007, CPC Guiyang Committee made an important decision to build Guiyang into an ecological and civilized city and proposed that we must give full play to our advantages to develop ecological industry. This decision helped us to foster our strengths and avoid weakness and concentrate on advantageous industries and realize the scientific and sustainable economy development which conforms to the actual situation of Guiyang.  

  IV. Industrial Development Orientation and Objectives

  With the slowdown of global economy growth, the global economy and China’s economy are facing unprecedented challenge in 2009, which is also a crucial year for Guiyang to realize the goal of the Eleventh Five-Year Plan. Basing on the dramatic economic and social development achieved during the Tenth Five-Year Plan and in 2008, Guiyang will continue to implement the notion of scientific Development and fully implement the spirits of the 17th National Congress of CPC, the Second Meeting of the Tenth Conference of CPC Guizhou Committee and the Fourth Meeting of the Eighth Conference of CPC Guiyang Committee. Guiyang will take the construction of an ecological and civilized city as the overall target; give priority to quality and speed; further emancipate the mind and stimulate scientific development; promote social harmony; speed up the transformation of means of economic development; push forward the optimization and upgrading of economic structure; fully carry out opening up and reform and strengthen ecological environmental protection; pay closer attention to the social construction and livelihood improvement; try to enhance the quality and effect; stimulate healthy and fast economic development and increase comprehensive competitiveness so as to make a good start for the construction of an ecological and civilized city.   

  We will speed up the development of service industry and perfect the policies and measures in this respect and keep increasing the ratio and development level of the third industry; vigorously push forward new industrialization and take the improvement of innovation ability as the center of the industrial restructuring to stimulate industries which have strong impetus, long industrial chain and high growth property; take ecological function as the basis to optimize the urban production distribution and define the function of varied ecological zones and districts(city and counties); promote the urban infrastructure construction and management to build Guiyang into a city suitable for habitation, business and travel; vigorously develop modern ecology-friendly agriculture and speed up agricultural industrialization to realize the integration of urban and rural development; develop circular economy to  realize the circular industrial combination, production and recycling of resources; strengthen the work of energy saving and discharge reduction and clean production, further disseminate and apply energy saving technology, new products and new industry and ban the projects which consume great energy and causing serious pollution and shut down a number of enterprises of this kind; actively carry out the comprehensive utilization of industrial wastes, agricultural wastes and forest leftover bits and pieces as well as construction material wastes; strengthen ecological construction and resource conservation and support different ecological and environmental protection projects, substitute industry and energy and migration resulting from ecological projects; speed up the reform of state-owned enterprises and reform of financing mechanism and actively encourage private enterprises to participate in high-tech industry, service industry and social undertaking by various means; perfect and carry out the supporting policies for stimulating independent innovation and stimulate innovation products by government’s purchase; establish diversified and multi-level innovation input system; realize ecological culture construction project and push forward the cultural system reform and promote the mutual development between culture and exhibition industry and tourism industry.

  Major objectives in 2009

  1. The total production value is expected to increase by over 12%, among which the added value of first industry is to increase by 7%, second industry by 13% and the third industry by 14%.

  2. Total fiscal revenue is to increase by 12% and local fiscal revenue by 12%.

  3. Fixed-asset investment of the whole society is to increase by 25%.

  4. The total value of import and export of foreign trade is to increase by 15%

  5. The average disposable income of city dwellers is expected to increase by 8% and average net income of farmers by 10%.

  6. The comprehensive energy consumption of unit total output value is expected to drop by 4% and major pollutant discharge drops by 2%.

  7. Domestic investment is to reach 36 billion and the incoming foreign investment in place 107,530,000 US Dollar. One to two World Top 500 enterprises and 3 to 4 China Top 500 enterprises will be attracted to invest in Guiyang.


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