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Content Preface 02/03 Zibo Today 04/07 Development of Zibo 08/11 Operating Costs 12/17 Business and Living Environment 18/21 Investment in Zibo 22/31 Service Institutions 32/33 Name Lists of Main Companies 34/39 INVEST IN ZIBO Preface As a time-honored commercial town of Shandong, Zibo is one of the earliest regions opening up to international trade and investment, which initiated its opening-up over a century ago. In 1904, Zhoucun, with a territory of more than 300,000 square metres, one of the five districts in Zibo, was approved as a treaty port by the Qing government and since then it has attracted investment from more than a hundred companies around the world. British American Tobacco and Mobil, for example, set up sales representatives as early as 1905. With China's reopening to the world in the 1970s, Zibo's economy has seen significant development. Zibo had a gross domestic product (GDP) compound annual growth rate (CAGR) of 9.3 percent between 2011 and 2015. Zibo saw 2015 GDP growth of 7.1 percent. This equated to a 2015 GDP of RMB 413.02 billion Yuan. Manufacturing is seen as the base of Zibo's economic development, in which the local chemical and medical industries play important roles. Zibo serves as an important provincial and even national city in petrochemical industry. The medical industry is also a major force in Zibo. It is the largest production and export base of antipyretic-analgesics in Asia, accounts for 80 percent of domestic pharmaceutical glass production, and ranks top in China's production scale of radiotherapy equipment, sterilisation & disinfection equipment and surgical instrument. By virtue of rapid development since the foundation of the state, and in particular during the over 30 years of reform and opening-up, Zibo has gradually formed its comprehensive industrial system with characteristics of chemistry, medical care, electrical machinery, building materials, ceramics and textile. In 2011, Zibo became the provincially 3rd and the nationally 16th city with industrial economy exceeding 1 trillion Yuan. Zibo is listed as one of China's Top 50 Cities in Competitive Strength year by year since 1992. In 2015, Zibo ranked 40th in China's Top 100 Cities of Comprehensive Strength and 35th in Forbes' Best Commercial City in Mainland China. In 2015, Zibo continued its holding of the title in the 4th Selection of National Civilized City, and passed the Review of National Hygienic City in 2015. Zibo Investment Guide 01 Zibo Today ·Location and History ·Population and Natural Environment ·Urban Development Planning Serving as the key transportation hub of Shandong Province, Zibo boasts a time-honored history as well as a typical city complex comprised of several downtown areas. Zibo Investment Guide 5 Location and History Zibo City serves as the key transportation hub of Shandong Province. Zibo, centrally located in Shandong province, connects the Luzhong mountain area and Lubei plain, and has long acted as a regional transportation hub as well as the passage between the Central China and Shandong Peninsula. The railway lines of Jiaoji (Qingdao-Ji'nan), Zhangbo (Zhangdian-Boshan), Zidong (Zibo-Dongying) and Xintai (Xindian-Tai'an) all converge in Zibo. Besides, the National Highways 205 and 309, along with Highways Jiqing (Ji'nan-Qingdao) G20 and Binlai (Binzhou-Laiwu) G18 all run through Zibo. Historically, Zibo was the capital of the ancient Qi State.It also developed into one of five ceramic centres in China and claims to be a cradle of world football. Zibo is one of the state's famous historic and cultural cities. Linzi, now one of Zibo's districts, was the capital of the ancient Qi State and one of the biggest cities around 2,500 years ago. Some of the earliest Chinese works on the handicraft industry, Kao Gong Ji, on the agricultural industry, Qi Min Yao Shu, and on the service industry, Guan Zi, originated here. Serving as one of the earliest pottery production bases, Zibo boasts a ceramic culture of more than 8,000 years. As one of the top five ceramic cities in Chinese history, Zibo has been recognized as China's Famous City of Ceramics by the National Light Industry Federation and China Ceramics Industry Association in 2004, and now exports its ceramics to more than 80 countries and areas around the world. In July 2004, the International Federation of Association Football (FIFA) announced in Beijing that “China is the homeland of football (anciently named as Cuju) while Zibo is the cradle of world football”. Zibo Investment Guide Population and Natural Environment Zibo features four distinct seasons and a pleasant climate As of the end of 2015, Zibo has a population of 4.642 million. This city enjoys a semi-humid and semi-arid monsoon climate of medium latitudes with average rainfall of 629.8 millimetres and average temperatures of 14.3 degrees Celsius, annually. With titles of “National Forest City” and “National Garden City”, Zibo has always regarded consolidation of established achievements as the major means of optimizing urban environment and enhancing urban images. As of the end of 2015, Zibo had a total green space area of 12,215 hectares, equating to a 45 percent green space ratio across the city. Currently, Zibo has 47 parks and park green area of 4,089 hectares, with around 19.5 square metres park green area per capita. Beijing Dongying Yantai Weihai Zibo Binzhou Shandong Ji’nan Yaoqiang International Airport ’ Ji nan Weifang Qingdao Liuting International Airport Shanghai Zibo Qingdao Ji’ning Guangzhou National Highway Hong Kong Railway Zibo’s geographic position in China Zibo’s transportation map Zibo Investment Guide 7 Urban Development Planning Zibo is a typical city complex comprised of several downtown areas. Administratively, Zibo covers a total area of 5,965 square kilometres made up of five districts (Zhangdian, Zichuan, Boshan, Zhoucun and Linzi), three counties (Huantai, Gaoqing and Yiyuan), and including Zibo National New & High-tech Industrial Park and provincial-level Wenchang Lake Tourist Resort. Zhangdian district, as the economic, socio-political and transportation centre of Zibo, is the seat of local government. Formally established in 1955, Zibo has undergone multiple times of administrative division reform, forming the present generally scatted while locally concentrated city complex with eight relatively independent urban areas, interlacing of urban & rural areas and combination of industry & agriculture. Zibo is continuing its infrastructure consolidation. Zibo plans to further develop its infrastructure, focusing on transportation, energy security, IT infrastructure and water facilities. Local projects underway include High-speed Rail Jiqing (Ji'nan-Qingdao) Project (Zibo Section), Highway Jiqing (Ji'nan-Qingdao) Expansion Project (Zibo Section), Gaoqing General Airport Construction Project, Public Transportation Intensification & Modification Project, Ultra-high Voltage Transmission & Transformation Project, Information Service Platform Construction Project and Central Urban Area Water-system Renovation Project, etc. With continuous improvement of commerce & tourism development, Zibo is simultaneously striving to become a National Ecological Garden City. Zibo's government plans to modernize its tourism industry with Binbo Highway one tourism reception centre, two historic culture ties and four tourism functional areas to be built up in 2020 as the principal Gaoqing County part, through which the development of interrelated industries (such as hotel industry) can be motivated as well. Zibo's government plans to modernize the city's commercial Huantai County sector through development of new commercial streets as well as Linzi District Jiqing Highway construction of medium and large commercial retail outlets. Zhoucun District Zhangdian District Zibo is set to reach National Ecological Garden City standards through its ecological function regionalization and ecological Jiaoji Railway construction of water & biological resources. Zichuan District National Highway By the end of 2020, Zibo is expected to achieve forest coverage Railway rate of 38 percent, forest coverage area of 3.4 million Mu, 25 forest Zibo Government Zibo National New & High-tech parks and 2 natural conservation areas. Industrial Park Boshan District Zibo Railway Station Key construction projects include Cultural Tourism Innovation Bolai Highway Park Project of Great Wall of Qi, Mata Lake Ecological Tourism Resort Project, Wuyang Lake Tourism Infrastructure Project, Xiaofu Yiyuan County River Comprehensive Reconstruction Project and Jiuding Mountain Ecological Rehabilitation Project, etc. Map of Zibo Zibo Investment Guide 02 Development of Zibo ·Economy ·Consumer Market ·Major Industry Development Plan In recent years, as one of major industrial cities in China, Zibo continuously boosts its steady economic development through diversified industrial structure. Zibo Investment Guide 9 Economy Since China's reform and opening-up, Zibo's economy has seen steady growth In 2015, the GDP of Zibo was 413.02 billion Yuan, ranking 5th in Shandong. The gross regional domestic product per capita was 89,235 Yuan (US$14,330), ranking 4th in Shandong, 39% higher than the domestic average value. The general public budget revenue reached 31.79 billion Yuan. For the past few years, Zibo accelerates its transformation development from a traditional industrial city, constantly expediting industrial structure adjustment, and the ratio of three times of industrial structure adjustment is 3.5:54:42.5. Zibo boasts
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