The Future of Urban Development Initiative: Tianjin Partner City Roundtable
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Industry Agenda The Future of Urban Development Initiative: Tianjin Partner City Roundtable Tianjin, People’s Republic of China 20-21 June 2012 Tianjin Partner City Roundtable Tianjin, People’s Republic of China 20-21 June 2012 A World Economic Forum private event held in collaboration with the Tianjin Municipal People’s Government, the China Center for Urban Development and Nankai University © World Economic Forum 2012 - All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording, or by any information storage and retrieval system. The views expressed are those of certain participants in the discussion and do not necessarily reflect the views of all participants or of the World Economic Forum. REF 040912 Contents 4 Introduction 6 Opening Session 7 Session One: Transitioning from a Manufacturing to a Services Hub: Tianjin and the International Experience 10 Session Two: Innovative Thinking on Urban Transportation Solutions 12 Session Three: From Vision to Action 13 List of Participants 14 Contact Information The Future of Urban Development Initiative: Tianjin Partner City Roundtable 3 Introduction The Tianjin Partner City Roundtable About the Future of Urban 1. Partner City Selection & Identification of engaged high level officials from Tianjin, Development Initiative the Regional Partner, Knowledge Partner local and regional stakeholders and and Global Shapers experts, international experts and industry The Future of Urban Development initiative leaders in a collaborative dialogue provides a neutral setting for mayors, private The Steering Board selects a Partner City to share best practices and propose sector leaders, experts and key government based on criteria defined by the Steering solutions corresponding to two top urban officials at the local, national and regional Board. The Forum also seeks a Regional development challenges in Tianjin, identified levels to jointly think through the major Partner, such as a national government by the city itself: urban challenges of the 21st century and body or regionally influential organization, accelerate the transition to new urban to complement the process by scaling the – Accelerate the transition from a development models. The initiative was impact of the Partner City engagement manufacturing to a services hub launched at the World Economic Forum’s across the region by disseminating insights to additional cities or influencing national – Innovatively address congestion caused Annual Meeting in Davos, Switzerland, in January 2012. policy. A local university, think tank or by rapid urban growth research centre is identified as a Knowledge Partner to engage local experts, provide The event marked an important milestone As the core activity, the initiative’s content, data and context and to help for the World Economic Forum’s Future of multistakeholder Steering and Advisory drive implementation. The World Economic Urban Development initiative as it works Boards serve as a partner in transformation Forum’s Global Shaper hubs will be with Tianjin as the Inaugural Partner City. for cities by working hand-in-hand with engaged to provide additional insight. Specifically, the Roundtable yielded over 25 select Partner Cities to strategize solutions unique interventions for Tianjin to consider, for specific urban challenges outlined and allowed for a rich exchange of insights by the cities themselves, and facilitate 2. Defining Urban Goals/ Challenges between participants, who represented 10 implementation. A seven-step approach provides the framework for this activity. different countries and 16 different sectors. Upon selection, the Partner City outlines Based on the interventions and the The World Economic Forum is honoured one or two top urban challenges or goals for insights provided in the Roundtable, the to be working with Tianjin as the Inaugural which it would like the Steering & Advisory World Economic Forum will prepare a Partner City for the initiative. Key supporters Boards to provide global insights. Tianjin Partner City Strategy Report in of Tianjin Partner City engagement include 3. Research and Due Diligence collaboration with Accenture, the Project the China Center for Urban Development, Advisor, and with contributions from Arup, serving as the Regional Partner, and Nankai The Forum works with its Project Team, the project Chair, and the Steering and University. including Accenture and Arup, and the Advisory Boards. The Strategy Report will supporting local university partner over a recommend a streamlined set of practical, Additional support in designing the Future two-three month period to: tailored strategies for the city of Tianjin of Urban Development initiative is provided by Accenture, which serves as the official to advance its goals. It will also include a – Conduct research and interviews with Project Advisor, and Arup, which serves as roadmap to implementation, proposing local and regional stakeholders and to the Project Chair. next steps to catalyse action. The report understand what efforts are currently will be published in the autumn of 2012. being taken in the Partner City to Complementing the Strategy Report, address the stated goals/challenges the World Economic Forum will structure conversations about next steps and – Conduct interviews with global experts implementation during the Annual Meeting to identify global best practices in of the New Champions. addressing the challenges Project Approach: 4 The Future of Urban Development Initiative: Tianjin Partner City Roundtable 4. Partner City Roundtable 6. Review & Catalysing Implementation The Forum organizes a multistakeholder The Forum, Partner City, Regional Partner, Roundtable in the selected Partner City, Knowledge Partner, Steering Board and inviting the mayor, local stakeholders, key stakeholders review the findings in government officials, global experts and the Strategy Report. The Forum will help industry leaders to discuss potential facilitate dialogue about next steps and, strategies for the Partner City. where applicable, recommend or help catalyse a multistakeholder approach to 5. Strategy Development implementation. Based on the insights from the Roundtable 7. Next Steps and research, the Project Team develops a Partner City Strategy Report with practical The Forum continues to serve as a catalyst recommendations for the Partner City to by using its platform such as the Annual advance its challenges/goals. Included in Meeting of New Champions, the Annual the report is a roadmap to implementation. Meeting in Davos and regional meetings to generate exposure for the commitments and milestones achieved by the Partner Cities, Regional Partners and the Steering Board that relate to the Partner City Strategy Report. Upon completion of the final step, the next Partner City is selected by the Steering Board and the outgoing Partner City mayor or minister will be invited to serve as an advisor for the initiative. The Future of Urban Development Initiative: Tianjin Partner City Roundtable 5 Opening Session Tianjin has experienced rapid urbanization Key Takeaways 5. Costs of services should be reduced. and economic growth over the past three decades. It has a successful 1. Development is currently driven by 6. Chinese cities rely excessively on real manufacturing industry and has benefited industrialization and urbanization. It estate development as a source of from the investment of many large foreign is imperative that these two trends revenue. corporations such as Dow Chemical reinforce each other. The rapid and Unilever. With the largest harbour in development of Tianjin and comparable 7. Excessive support for state-owned northern China, Tianjin has positioned cities in China is related to the availability infrastructure is hindering the ability of itself to develop a strong supply chain and of inexpensive land and labour but it is the private services industry to grow. logistics industry. not sustainable. The infrastructure monopoly should be dismantled. Nevertheless, Tianjin has broad ambitions 2. Manufacturing is the main source to expand its services sector, including of revenue for the government, but 8. Tianjin needs a diverse services sector financial services and logistics. Tianjin current allocation favours the federal, to meet the needs of both high- and recognizes the need to invest in additional not local, government, leaving many low-income consumers. higher education and vocational training local governments facing negative opportunities, to develop the service sector, expenditure. 9. When designing the city to better attract top corporations with local talent accommodate the services sector, and encourage local enterprises to expand 3. Migrant workers are an underserved the city should take into account the internationally. population; services for migrant workers need for small land parcels and lots can be improved. to support smaller scale and start-up service companies.This will reduce the 4. The land premium awarded to industry cost of real estate development and is causing a negative effect on urban help to generate a diverse services development. economy. 01: Michael Kwok, Director, Arup, facilitates the Roundtable 02: Ren Xuefeng, Vice- Mayor of Tianjin, People’s Republic of China and Olivier M. Schwab, 01 02 Executive Director, World Economic Forum Beijing 6 The Future of Urban Development Initiative: Tianjin Partner City Roundtable Session 1: Transitioning from a Manufacturing to