China Development Zone Guide

Hangzhou Hi-tech Industry Development Zone

Profile

Hangzhou Hi-tech Industry Development Zone was established in March 1990 and was approved by the State Council as a national hi-tech zone in March 1991. Binjiang District was approved by the State Council in December 1996, and established in June 1997. According to the decision of Hangzhou Municipal Government, Hangzhou Hi-tech Industry Development Zone and Binjiang District were merged in June 2002 in order to complete the administration function of the hi-tech zone and local district.

Hangzhou National Hi-tech Industry Development Zone (Binjiang District) covers a planned area of 85.64km2, including 3 sections in the north and south bank of Qiantang River respectively. With an area of 11.44km2, the north section locates in the downtown, and has established a startup service center, professional incubations, innovation bases and complete service agencies, fosters over 1500 hi-tech enterprises. The south section (Binjiang section) covers 73 km2, where a Binjiang technology new town will be built for education, scientific research, trade and residence, with high-tech industries being its pillar. The Xiasha section is home to over a dozen of enterprises with a yearly output volume of 3 billion.

Hangzhou Hi-tech Industry Development Zone has become the most influential hi-tech innovation base, hi-tech industries base and the most vigorous economic growth area in Zhejiang Province. 9 out of world top 500 enterprises have invested in the zone. Hangzhou hi-tech zone keeps ranking the third for five successive years among 53 national hi-tech zones in terms of per capita profit. It won the title of model National Hi-tech Industry Development Zone in 2001 and was approved to be a National software industrialization base, National IC design industrialization base. The incubators such as Hi-tech Pioneering Service Center, Pioneering Park for Returned Overseas Intellectuals and University Science Park were approved as national ones one after the other. The Headquarters Industrial Park has attracted dozens of famed domestic enterprises. In year 2003, Hangzhou Hi-tech Zone reached RMB 10.5 billion in GDP, and achieved RMB 53 billion in total sales volume. By the end of year 2003, the total amount of contractual foreign investment and actually contributed foreign investment was up to USD 819 million and USD 439 million respectively.

Preferential taxation policies are provided to foreign-invested companies. By the end of year 2003, the number of companies in the zone has reached 1880, among which are 419 foreign-invested companies, including Nokia, Motorola, Alcatel, BOS, Panasonic, Mitsubishi, Daewoo, TCS, CA, INTECH etc. Lucent and IBM even established strategic partnership with Hangzhou Hi-tech Industry Development Zone.

Business Environment

I. Location
Hangzhou is one of the seven ancient capitals in China with a history of over2200 years. Being one of the origins of Chinese civilization, it has witnessed the rise and fall of Liangzhu Culture, Wuyue Culture, Southern Song, Ming and Qing Cultures, which has won the city the name of Cultured State and the reputation of a famous historical city.
Hangzhou is known as Paradise on Earth for its scenic beauty. Its favorable natural environment and long history have made it a well-known tourist destination at home and abroad. It boasts two state-level scenic areas, namely the West Lake National Scenic Area and the Fuchun River-Xin'an River-Qiandao Islets National Scenic Area. In 2001 Hangzhou proudly won the UN Human Settlements Prize and the China Residential Environment Prize and is one of the cities in China with the largest potential for future development and with the best public order.

II. Transportation
Hangzhou is a metropolis only second to Shanghai in the most economically developed Yangtze Delta as well as the capital of Zhejiang Province, only 180 km away from Shanghai and Ningbo. As a communication hub in East China, Hangzhou is the place where Shanghai-Hangzhou, Zhejiang-Jiangxi, Xuanhang, Hangzhou-Ningbo railways meet and can directly access major cities at home and abroad via Shanghai-Hangzhou-Ningbo and Hangzhou-Jinhua-Quzhou expressways, Xiaoshan International Airport, Beijing-Hangzhou Grand Canal and Qiantang River.

III. Complete Infrastructure
Hangzhou Hi-tech Industry Development Zone boasts a complete range of infrastructure, which has been constructed in accordance with the new overall plan of the city and hi-tech industries distribution plan. Infrastructures such as road, public transportation, water, power and gas supplies, drainage, communications and network are already finished. Supporting facilities are complete, including hotels, shopping malls, hotel-style apartments, international schools, conference and exhibition center, International hospital and stadiums. The road area and green area take 28% and 35% respectively of the total area.

IV. Talent Pool
Inside Hangzhou Hi-tech Industry Development Zone, there are more than 30 universities including the famous Zhejiang University and China Academy of Fine Arts, 19 scientific research institutes, 9 state-level specialized key labs and three state-level enterprise-based technical research centers, offering doctorate in 109 academic areas and master degrees in 230 areas and boasting 70% of academicians in Zhejiang province. The city has around 250,000 enrolled undergraduates and 20,000 enrolled graduates and see 500-odd technical results accomplished and pass provincial and municipal level accreditation each year. Every year there are over 30,000 university leavers in the city, most of whom go to work for and get settled in high-tech enterprises.
The city pride Zhejiang University is a comprehensive university with the most complete branches of learning, ranking third among universities and colleges in China in terms of comprehensive strength. The city is implementing its University Town Program and has constructed provincial level higher education parks in the Binjiang and Xiasha sections, which expect to enroll more than 300,000 students by 2005.

V. Industrial Advantages
In the past 13 years, Hangzhou Hi-tech Industry Development Zone marched on its way of independently innovation combining other's advanced technology, forming its own industry features and advantages.

Industrial Advantages

The modern communication manufacture
has become a promising pillar industry of Hangzhou city, with its output value accounting for one third of total Zhejiang IT industry. A complete and quick-developing modern communication industry chain has taken its shape, which constitutes of products of digital cellar mobile communication system, micro cellar wireless communication system, access network equipment, exchange equipment, optical cables, etc., with various indices ranking at the top place in the country.

Software and IC design industry
witnesses rapid development emerging a group of excellent software enterprises with independently intellectual property like Sunyard, Handsome Electronics, New & Grand, Singlee, Echo Computer, Digital Honghua, Alibaba and so on. Software development and production involving in fields of securities and finance, e-commerce, ERP, CAD, industrial automatic control maintain its leading position at home, creating influential Hangzhou software brand. Hangzhou Hi-tech Industry Development Zone has turned into one of 11 national software industry bases.

New material industry
is a black horse emerging in Hangzhou Hi-tech Industry Development Zone. With several academicians from China Academy of Engineering Institute in field of liquid diffusion barrier and experts in membrane process water treatment, Hangzhou Hi-tech Industry Development Zone keeps advanced level in terms of R&D and application of water desalting technology, high performance membrane equipment technology, membrane contactor and membrane biological reactor technology. Their related products are widely used in light industry, medicine and food industries. In addition, the technical level and output of monocrystal silicon sheet and semiconductor refrigerating components of the zone lead domestic level.

Biomedicine industry
adopts gene technology, fixed enzyme and bottom fermentation technologies to produce new-type medicine used in curing cardiovascular diseases, hepatitis and immune system diseases. The successful production of a group of new products like gene medicine rhG-CXF (commodity name Jilifen), marine medicine and hepatitis A vaccines demonstrates the strong R&D and production capability of Hangzhou Hi-tech Industry Development Zone in biomedicine fields.

Electromechanization
has reached international advanced level. A batch of well-known optical - electromechanical projects led by famous scientists from China Academy of Science and China Academy of Engineering Institute are making good progress, having successfully developed a series of industrial automatization products with independent intellectual property. Among them, JX series DCS system and JL series paper free describer developed by Zheda Supcon have reached international advanced level, becoming domestic famous brand.

High-efficient Service Organs

Hangzhou National Hi-tech Industry Development Zone is the only state-level Hi-tech Industry Development Zone in Zhejiang Province. It is jointly managed by the municipal government and provincial government with the former playing a dominant role in the administration. The Administration Commission of Hangzhou Hi-tech Industry Development Zone, as an organ sent by municipal government, exercises corresponding administrative functions and Binjiang district government is responsible for local administration.
The Commission with the district government together provides ˇ±one-stopˇ± service for enterprises, that is to say, all issues concerning establishment of companies or projects, their registration, application for land transfer, payment of tax, application for patents, personnel transfer, etc. can be done in one office hall. The service organs set in the Hi-tech Zone like hi-tech development general company, investment guarantee company, talents exchange center, logistic center offer various excellent services for startups and help enterprises with problems occurring in their production, R&D and business activities.

Contact us

Binjiang District Administration Center, Jiangnan Ave., 
	Binjiang District, Hangzhou 310051, P.R.C.
Tel: 86-571-87702451
Fax: 86-571-87702384
Contact: Zheng Li
Web site: www.hhtz.com
Email: zhengli@hhtz.gov.cn.com