Deyang Approved as the Pioneering Area Coordinating the Reform of China (Sichuan) Pilot Free Trade Zone

On July 8, the 29th executive meeting of the People’s Government of Sichuan Province passed The “6+1” Scheme of Pioneering Area Coordinating the Reform of China (Sichuan) Pilot Free Trade Zone. It defines the scope and functional orientation of 7 pioneering areas for collaborative reform, including Deyang, Ziyang, Meishan, Nanchong, Zigong, Neijiang and Wenjiang. As one of these areas, what does Deyang do? The officials with Deyang Municipal Bureau of Commerce said that Deyang will support Chengdu and itself to jointly develop the international railway logistics port into a national open port, and try to build a world-class major equipment manufacturing base with the focus on joint system, platform integration and industrial interaction and the basic requirements of initiative replication, collaborative innovation and independent reform as well as the provincial party committee’s support for the leading breakthrough of the integrated development between Chengdu and Deyang. This is how Deyang can build the pioneering area into a demonstration zone for coordinated regional development, an important functional area of the international open channel and a leading zone for the innovation and manufacturing of high-end intelligent equipment.

● Covering an area of 98.2 square kilometers

● Including 3 zones: Deyang National Economic & Technological Development Area, Deyang National High-tech Industrial Development Zone and Deyang International Railway Logistics Port

● Striving to build a demonstration zone for coordinated regional development, an important functional area of the international open channel and a leading zone for the innovation and manufacturing of high-end intelligent equipment.

Developing a Higher-level Open Economy

Deyang has good conditions for opening up to build a pilot area for coordinating the reform of the free trade zone. As a national innovation base for boosting the trade (equipment manufacturing) by science and technology, a key area for absorbing the transfer of processing trade, a quality and safety demonstration zone for the export of high-end equipment and intelligent manufacturing product, Deyang has one national economic and technological development zone, one high-tech industrial development zone and two national export bases. In addition, there is a group of leading enterprises in foreign trade, such as Honghua, Dongfang Motor, Dongfang Steam Turbine and Sinomatch. Four export-oriented industrial clusters have been formed, including petroleum equipment, equipment manufacturing, fine chemicals and electronic devices. More than 100 enterprises have economic and trade exchanges with countries along the Belt and Road.

The officials with the Municipal Bureau of Commerce said that it is necessary to create an international, law-ruled and convenient business environment through three to five years’ coordinated reforms based on the overall development requirements of China (Sichuan) Pilot Free Trade Zone. In this way, deep cooperation with Chengdu can be achieved, and thus new advantages of cooperation and competition in international economy can be formed. We will strive to build a high-quality pioneering zone to coordinate the reforms materializing high-end equipment industry agglomeration, investment and trade facilitation, radiation-driven function, efficient safety supervision and good legal environment, so as to make it a demonstration zone to drive the province in sharing the reform dividend and developing a higher-level open economy.

The pioneering zone covers an area of 98.2 square kilometers, including three districts: Deyang National Economic & Technological Development Area, Deyang National High-tech Industrial Development Zone and Deyang International Railway Logistics Port. Deyang National Economic & Technological Development Area, with high-quality development as the handhold, focuses on the development of high-end equipment, new materials and digital economy. With the goal of developing RMB100 billion industry, new technology city and green park, it is striving to build an aviation die forging manufacturing base, a leading innovation zone of the high-end intelligent equipment manufacturing and a national demonstration zone for integrating city and industry. Deyang National High-tech Industrial Development Zone, taking innovation and creation as the springboard, prioritizes the development of general aviation, intelligent manufacturing, educational finance, inspection and maintenance for bonded zones and supporting services for ports. To build a high-quality city and attract the settlement of leading-edge high-tech enterprises, it is constructing a leading area for innovation and entrepreneurship and a new technology city. Deyang International Railway Logistics Port Area, based on the construction of open channels, puts priority on the development of modern logistics industries such as bonded warehousing, multimodal transport, bulk material trading and distribution as well as business services. With the goal of “Chengdu and Deyang cooperate to build two ports”, it is striving to build an important functional area of international open channel hub and a new area for inland open economy.

In addition, the pioneering area coordinating the form will focus on exploring the institutional reform involving investment, finance, innovation and entrepreneurship, improve the supervision during and after the events, and develop modern service industries and high-end manufacturing industries.

Cooperating to Construct A New Platform for Opening up

Regarding the construction of the platform for opening up, we will explore the national opening port based on cross-regional cooperation and the demonstration for the circulation operation in special customs supervision areas.

The national opening port based on cross-regional cooperation for pilot run is as follows: coordinated inter-regional cooperation mechanism with Chengdu innovation area in the Pilot Free Trade Zone, the cross-regional benefit distribution mechanism of equity cooperation, and the pilot implementation of integrated operation mode of “One Port and Two Districts”, namely Chengdu International Railway Port and Deyang International Railway Logistics Port”. We will accelerate the construction of “virtual port”, improve the functions of “customs declaration in the place it is registered and pass in ports”, and build information sharing platforms such as “warehouse booking system for international trains”, “railway groupage system” and “groupage warehouse management system”. We will also accelerate the construction of sister parks in international railway logistics ports along with the exploration of port supervision and sharing of new modes.

The demonstration for the circulation operation in special customs supervision areas are as follows: supporting the application and construction of Deyang Comprehensive Bonded Zone and the Bonded Logistics Center (Type B), promoting the “spillover effect” of the special customs supervision cluster of Chengdu Plain Economic Zone, and satisfying the actual demands of chain-stretching and circulated processing of export-oriented companies, so as to realize the integrated operation of the entire chain including production and processing outside the customs.

In addition, Deyang will comprehensively enhance its services capabilities for foreign trade and economic cooperation. Through intelligent manufacturing and aerospace exhibitions, it will promote the clustering of key industries including smart manufacturing, general aviation, new energy, new materials and digital economy. We will cooperate to establish overseas Sichuan goods exhibition and sales center and industrial cooperation park, improve comprehensive foreign trade and economic services and overseas marketing system. It is also necessary to encourage leading enterprises in foreign trade including industries of equipment manufacturing, oil drilling, fine chemicals and electronic devices to take resource advantages of financial strength, foreign trade talents, market channels and demand information to lead the establishment of a foreign trade and economic enterprise alliance and a comprehensive service platform, so as to promote a larger-scale “going global” of advantageous capacities.

Building A New Model of Coordinated Opening Up and Development

We will cooperate to explore new paths for enclave economic cluster registration. We will cooperate to seek for solutions for sharing the benefits like data, profit and tax revenues between administrative regions for a better “profit distribution”. Besides, we will meet enterprises’ needs of operation in its registration area, reduce their operation costs, so as to make it easier for the cooperation modes such as the enclave economy and “headquarter plus base” to settle.

Coordinated development of new formats of modern service industries. We will create the free-trade towns with special characteristics, accelerate the settle-down of  high-end economic industries and modern service industries including cross-border e-commerce, artificial intelligence, supply chain management, parallel import of automobiles and financial insurance, and construct a building-type economic agglomeration area and regional finance, technology, business and incubation center. This is how we can attract international trade, modern business services and other enterprises and develop port logistics services such as international commodity collection and distribution, distribution display, bonded logistics and warehousing, international freight forwarding, vehicle import and special finance.

In addition, Deyang will also carry out the coordinated innovation in building the all-front opening-up pattern and facilitating the investment & trade, so as to accelerate the expansion of open space and channels and facilitate the foreign investment.

The Officials with the Municipal Bureau of Commerce said that in virtue of the pioneering area coordinating the form, Deyang will promote the opening-up from the flow of goods and factors to the synergy of rules and other institutions. Deyang will innovate the regional coordinated development mechanism to accelerate the construction of a modern industrial framework and ecosystem with international competitiveness centered on Chengdu. It will accelerate the development and opening up of Deyang based on the coordination with cities and ports along borders and rivers. In this way, we can create an important power source that leads the province’s high-quality development and high-level opening up. (Reporter: Qiu Jie)

 

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