Shandong - Weihai Torch Hi-tech Science Park

Weihai Torch Hi-tech Science Park

Facts&Figures (2007)

Source: Administration Committee of Weihai Torch Hi-tech Science Park

Introduction

Located west of Weihai, the Weihai Torch Hi-tech Science Park (Weihai THSP) was set up by the State Council in 1991. It has a total area of 111.9 km², a coastal line of 30.5 km and 150,000 residents.

Weihai THSP is 3 km away from the city’s downtown area, 4 kilometers away from Weihai Port, 10 kilometers away from Weihai Railway Station, 30 kilometers away from Weihai Airport and 80 kilometers away from Yantai Airport.

The park is also located near Weihai's major universities and institutes, which increases its capacity for research.

Investment Climate

In 2007, the value-added industrial output of Weihai THSP totaled RMB17.0 billion. Electronics and IT, new materials, biopharmaceuticals and electromechanical integration are the four pillar industries of the park, contributing 50.5%, 21.9%, 11.2% and 10.5% of the total value-added industrial output in 2007 respectively, and 94.1% in total.

Weihai is located near South Korea and Japan, both of which account for a large market segment. Many Korean and Japanese investors also invest in Weihai where it is easy to ship goods to their domestic markets.

The major investors in the four pillar industries are Samsung Digital, domestic Tuozhan Fiber Corp, Weigao Group and Huadong CNC. The amount of high-tech companies in Weihai THSP account for 60% of the city's total.

The IT sector in Weihai was one of the major industries established by Shandong Province to facilitate the development of its software industry. The Weihai Software Industrial Base set up in Weihai THSP is home to 36 software companies at present. In the first eight months of 2008, the revenue in the Software Industrial Base reached RMB 380 million, up 30% over the same period of the previous year.

In 2007, accumulated FDI in Weihai THSP totaled US$1.3 billion. The sources of investment were South Korea, Hong Kong, UK, Japan and US. In 2007, investments from the aforementioned regions accounted for 34.7%, 25.4%, 11.3%, 11.1% and 5.8% of the total foreign investment respectively, and 88.3% in total.

Within the same period, foreign trade value reached US$16.2 billion. The trade of machinery and electronics, and textiles and garments were the largest contributors, accounting for 62.1% and 20.6% of the total foreign trade value.