Fengxian focuses on electricity equipment
11/8/2004 15:50
Industry has taken a prominent role in Fengxian District's economic
development in the last few years. Last year, the district's industrial
output reached 45.5 billion yuan (US$5.48 billion), up 42 percent from a year
earlier. The growth was the second highest among the city's suburban
districts. Output from the district's high-tech industry topped 8.8 billion
yuan, up 125 percent. "It's really hard for us, a suburban district, to
attract investment from high-tech enterprises. We are trying to develop
electricity distribution equipment manufacturing - our district's traditional
pillar industry for the past 20 years," said an official, identified as Pan,
from the district's economic committee. The district plans to grab a 5 to 8
percent market share in electricity distribution equipment nationwide before
2010. That would equal 1 to 4 percent more than it current holds. In 2003,
the output of Fengxian's electricity distribution equipment industry reached
about 3.5 billion yuan, 2.5 billion yuan more than 2001. The figure accounts for
one quarter of the city's total. And in the first two months of this year,
year-on-year growth reached 70 percent for the district's pillar
industry. "Of course, the lack of electricity in the city in recent years
provides a great opportunity for our industry," said Pan, "our supply still can
not satisfy the market's hot demand." The shortfall about a million kilowatts
in the city forced many factories to shift production to nights and weekends to
avoid the peak load time, and even halt production at times. Last year,
Fengxian attracted investment of 1.3 billion yuan connected to the industry. In
2001, there were 34 firms in the business, now there are more than 160
manufacturers. Schneider Electric and Siemens AG, two global electric
equipment giants, also launched plants in the district. To produce more
high-quality products with added value, the district has cooperated with the
Shanghai Academy of Science and Technology. Besides the electricity
distribution equipment industry, the district is trying to build up another
three industry zones for fine chemical, logistics and manufacturing industries
moved from downtown areas. "Every district is eager to attract high-tech
industry," Pan said. "But since we are in the suburbs, we have to base things on
our situation." The district set up the fine chemical industry zone, near
Shanghai Chemical Industry Park, hoping its proximity would work to its
advantage - especially in pharmaceutical and biotech areas. Fengxian is also
interested in expanding into logistics. The district selected its eastern area
that neighbors the sea to develop international trade and logistics. To
optimize resources, the
four industry
zones are expected to sort and relocate 80 percent of the district's enterprises
by the end of 2005.
Wu Jin
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