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Business / Economy

New western zones in search of purpose

By Zheng Yangpeng in Beijing and Su Jiangyuan in Guiyang (China Daily) Updated: 2014-01-23 08:22

High-tech industry and tourism could be two pillars of the Guiyang-Anshun New Area, a key western enterprise zone just approved by the nation's cabinet, local experts and officials said.

Discussion over the direction of the latest "new area" in China gained momentum after it was officially approved by the State Council on Jan 10.

Guiyang-Anshun New Area was approved along with western Shaanxi's Xi'an-Xianyang New Area. The two areas followed agreement over another two previously State-level development areas in western China: Chongqing Liangjiang New Area (approved in 2010) and Lanzhou New Area (approved in 2012).

All located in western China, the four areas now have to compete with one another to foster distinctive features and attract domestic and overseas investment with unique offerings.

The message from Beijing offered a sense of general direction but lacked detail. The State Council's document said Guiyang-Anshun New Area is designed to be a growth hub in western China, creating "new heights" for the outward economy in the inland region and acting as a role model of "ecological civilization". The document also said it should be an experimental field for the "leapfrog development" of backward regions.

By comparison, Xi'an-Xianyang New Area, with a planned area of 882 square kilometers, is designed to be a hub of westward opening-up, a new engine of the "go-west" campaign and an example of a new style of urbanization with Chinese characteristics.

The challenge for local officials is how to turn the "grand strategy" into reality. Zhang Jie, vice-chairman of the Guizhou provincial commission under the National Development and Reform Commission, said at a recent conference that the new areas should fully harness preferential policies from the State, promote the integration of the two cities (the capital Guiyang and nearby Anshui) and push forward industrial conglomeration.

"Traditional equipment manufacturing should only be one of the many industries in the 1,795 sq km zone. Considering the current upcoming projects, high-tech industries are taking shape as a leading industrial group," said Long Hewen, a regional development expert with the provincial government.

Terry Gou, chairman of the Hon Hai/Foxconn Technology Group, said Guizhou lagged behind in the past mainly because of the constraints of communication and transportation. Once an information and transportation network is implemented, its huge resource will be activated.

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