Chengdu builds a haven for investments

Business investments are continuing to flow into Chengdu, Sichuan province, as the nation adjusts to its new normal economic model of slower but more sustainable growth.

On May 8, BOE Technology Group began construction on its sixth-generation LTPS/AMOLED production facility in the Chengdu High-Tech Zone.

The LTPS/AMOLED technology is used to produce high-resolution and large smartphone displays.

The project has a total investment of 22 billion yuan ($3.5 billion) and is set to be operational in the second quarter of 2017.

Liu Xiaodong, chief operating officer of BOE, said the company choose Chengdu for its project because of the full support from the city governments and the high-tech zone.

The zone's officials said the facility marks a milestone in Chengdu's photo-electronic display industry. Government officials said they will continue to support the company as it develops in Chengdu.

On April 3, Chinese real estate giant Dalian Wanda Group signed an agreement with the Chengdu city government to invest an estimated 102 billion yuan in a number of urban projects in the provincial capital of Sichuan province over the next five years.

Dalian Wanda will build cultural and tourism facilities as well as hospitals, cinemas shopping malls, restaurants and luxury hotels throughout Chengdu in an aim, according to city sources, to modernize the capital.

In other investments, the Sichuan provincial government has, since last year, been trying hard to steer a third Sino-Singaporean intergovernmental cooperation project to Chengdu. The other intergovernmental projects between Singapore and China are the Suzhou Industrial Park in Jiangsu province and the Tianjin Eco-City.

The Sichuan provincial government is vying for the intergovernmental project to be built in the current Singapore-Sichuan High-Tech Innovation Park in Chengdu.

Construction of the high-tech park began in 2012 as part of the Chengdu High-Tech Industrial Development Zone. Covering 10 square kilometers, the park is expected to be the core of Sichuan province's Tianfu New Area, a sprawling base for manufacturing, commerce and residential facilities that stretches across three cities.

Better environment

In its efforts to create a better environment for investors, the Chengdu city government is focusing on both multinationals as well as small and medium-sized enterprises.

In the first quarter of the year, fixed-asset investments in Chengdu increased by nearly 10 percent over the same period in 2014 to tally more than 140 billion yuan, including 53.5 billion yuan in investments for key infrastructure projects.

The city government also announced about 30 measures on April 12 to promote Chengdu's economic development.

The Chengdu Science and Technology Bureau, for instance, will reportedly construct a multilevel financial service system for local startups and small companies, said Li Liangyu, a senior bureau official.

The bureau has also set up an angel investment fund to attract the participation of venture capital firms, universities and large companies. The fund currently has 200 million yuan.

The Chengdu Investment Promotion Commission will focus this year on attracting investment to key emerging industries, said Chen Fu, the commission's deputy head. He said the Tianfu New Area, which received approval to become a State-level development region last year, offers great investment opportunities.

The commission, according to Chen, is seeking investments in advanced manufacturing, electronic information systems, e-commerce, finance, modern logistics and healthcare services for senior citizens.

The city government of Chengdu initiated a program in February to encourage entrepreneurship among college students and new graduates. The program hopes to lure high-quality individuals in the fields of science, technology and education to enlarge the city's talent pool.

The Chengdu government is also creating meet-and-greet opportunities to connect local college students and young entrepreneurs with experienced entrepreneurs and investors.

On April 3, construction on western China's first modern tramway line began in Xinjin county. The project was commissioned by Xinzhu Co Ltd, a local company created with the help of the city government.

This year, Chengdu will begin construction of three other new tramway lines.

haonan@chinadaily.com.cn

(China Daily 05/18/2015 page10)