Shanghai - Shanghai Yangshan Free Trade Port Area

Shanghai Yangshan Free Trade Port Area

Facts and Figures (2007)

Source: Administration Committee of Shanghai Yangshan Free Trade Port Area

Introduction

Shanghai Yangshan Free Trade Port Area (Shanghai Yangshan FTPA) was approved by the State Council to be a state-level development zone in 2005. It was the first free-port zone in China to enjoy the favorable policies of free-trade zones, export-processing zones and bonded logistics parks.

Yangshan Port is located in Yangshan Deep-water Port, south of Shanghai. Yangshan Deep-water Port, situated in Yangshan Island at the mouth of Hangzhou Bay, is the nearest deep-water port to Shanghai. After the completion of Stage III in October, 2008, Yangshan Deep-water Port now has sixteen berths with an annual container throughput of 9.3 million TEUs each, making it an important part of Shanghai Port, which is the second-largest port after Singapore in the world in terms of container throughput in 2007.   

Lianggang Avenue, with initial stages of construction completed in 2005, connects Yangshan Port and Shanghai Pudong International Airport, limiting the drive time between them to only twenty minutes. The volume of cargo throughput at Shanghai Pudong International Airport reached 2.56 million tons, ranking first among all the airports in mainland China in 2007.

Investment Climate

Yangshan FTPA, cooperatively constructed by Shanghai and Zhejiang governments, consists of Xiaoyangshan Port Operation Area, Luchao Port Supporting Area and the Donghai Bridge. The Xiaoyangshan Port Area, also the deep-water dock operation area, is located in Shengsi County, Zhejiang Province, while the Luchao Port Supporting Area is lying in Nanhui, Shanghai, which is at the intersection point of the Yangtze River and Qiantang River.

Yangshan FTPA encourages investments in the logistics and warehousing sectors. By the end of 2007, a total of fifty-one companies had set up in the area, with registered capitals accumulating to RMB 7.8 billion. There are fourteen foreign-funded enterprises in the area, including Denmark-based logistic giants Maersk and U.S.'s Prologis. The total FDI from the fourteen foreign firms added up to US$150 million by the end of 2007.

The container throughput at Yangshan FTPA has exceeded 6 million TEUs in 2007, representing an increase of 85.7% over the previous year. About US$77.6 billion worth of goods passed through the free port area in 2007.

In 2006, the leading Singaporean logistic and supply chain management, YCH, agreed to develop a 0.043-km² YCH Distribution Park in Yangshan FTPZ. The total investment into this project is expected to surpass RMB 100 million.