Shenzhen – A City of Innovation Nov. 2nd, 2005 London, United Kingdom Wang Xuewei Director General Shenzhen Bureau of Trade & Industry

Summary Brief Introduction of Our City Our Competitive Advantage UK Links with Shenzhen Toward the Future and Beyond

Brief Introduction of Our City Key Factors Location History & Today Population Economy High-tech Industry Living Environment

Location China in the World

Shenzhen Location Shenzhen in China

Location Pearl River Delta

History Shenzhen in 1982

Shenzhen Today

In 1979, Shenzhen was still a small frontier town with a population of less than 30, 000. In 2004, the number of permanent residents in Shenzhen was 6 million. Population

GDP & GDP per capita Economy Between 1979 and 2004, the economy of Shenzhen witnessed an extraordinarily rapid growth.

GDP Growth Rate: 28% In 2004, Per Capita GDP Reached $7100, ranked No.1 in China. Industrial Output Growth Rate: 43.4% Foreign Trade Growth Rate: 37.9% Economy

Export: USD billion in 2004 No.1 for 12 consecutive years among all major cities in China Import & Export: Annualized Increase 37.8% ( ) Economy

Foreign Direct Investment ( ) 26,881 foreign-invested projects From 80 countries and regions FDI : USD billion Up 27.4% annually ( ) Economy

High-tech Industry Developed manufacturing industry employing high technology: Electronics and Information technology Telecommunication equipment New materials, new energy Optical electromechanical integration Biological engineering

8.32 Million Hard-disk Color TV Million 9.90 Million Monitor Semi-conductor IC 2.56 Billion Outputs of Key High-tech Gear in Million PC Switching Boards Million High-tech Industry

In 2004: IT Output Value: RMB Billion 10% of the Nation’s Total Technology Patents: 15 Thousands Ranked No. 3 among Chinese Cities High-tech Industry

High-tech Enterprises in Shenzhen Huawei Technologies Huawei has been included into BT ’ s supplier short list High-tech Industry

High-tech Enterprises in Shenzhen

China High-tech Fair

One of The Most Livable Cities. Forest coverage rate is 44%. The average public green land per person is 14 square meters. Living Environment

Sound infrastructure A well-Developed financial services system Relatively low overall business cost Superior backup facilities for industries An immigrant culture Efficient Government Our Competitive Advantage Key Factors

Sound Infrastructure The only city in China that boasts international sea, land and air ports. The 4th largest container terminal in the world The largest land port of both goods and passengers The 4th largest airport in China

A Well-developed Financial Services System 102 financial institutions, over 40, 000 financial staffs 38 Foreign Banks One of the only two Stock exchanges in China 140 Venture Capital enterprises, half of the whole country’s total

Corporate income tax rate:15% Income tax exemption for the first 2 profit-making years and half reduction for the ensuing 3 years Hi-Tech firms:2 years tax holiday & 6 years half reduction Sound legal system, well-protected rights and interests for foreign investors Well-established market economy in line with international practice Relatively Low Overall Business Cost

Production base, R&D base, transaction base of hi-tech products, including: Computer & parts, Computer software, Communication equipment, Audio visual products, Biological engineering products etc. In a two-hour drive, you can secure: 90% electronic parts & components 80% machinery and moulding materials 60% auto-electronics, plastics and hardware components Superior Backup Facilities for Industries

The average age of the local residents is 30. High-caliber labor resources Favorable policies to absorb human resource Shenzhen Virtual University Park A city of innovation and entrepreneurship An Immigrant Culture

One-stop-straightforward government services E-government Simplified procedures Efficient and supportive 24-hours custom clearance, electronic inspection Power and water supply are better than others cities Efficient Government

Top 7 Investors in Shenzhen from UK Ranking the 7 th UK Links with Shenzhen

Top 7 Countries & Regions Export to Shenzhen in 2004 UK Ranking the 16th UK Links with Shenzhen

Top 7 Countries & Regions Import from Shenzhen in 2004 UK Ranking 7th UK Links with Shenzhen

Year of 2004: Import from UK USD Million Export to UKUSD 1.7 Billion Jan. - Sept., 2005: Import from UK USD Million Export to UKUSD 1.48 Billion Export Import UK Links with Shenzhen

As of 2004: FDI from UK: USD 1.17 Billion 139 UK projects in Shenzhen Jan. - Sept., 2005: FDI from UK: USD 81.3 Million FDI UK Links with Shenzhen

Up to now: Established 2 companies and organizations in UK Total investment: USD Thousand UK Links with Shenzhen FDI

Top Priority Industries Panel Display IC Front-end Working Procedure Biological Engineering New Material, New Energy Optical electromechanical integration Fine Chemicals Automobile & Spare parts Toward the Future and Beyond

Next Objective Comprehensive economic zone of national dimension Regional traffic hub Port city featuring container transport Regional central city in synergy with HK Regional manufacturing base buttressed by high-tech industry International metropolis with subtropical weather and coastal features Toward the Future and Beyond

Chief Representative: Zhang Yiping Add: Ostendstr. 100 D N ü rnberg Germany Tel: ( ) Fax: ( ) European Representative Office of Shenzhen, China : Our Presence in Europe

Welcome to Shenzhen Thank you !