City Introduction of Zhejiang, China: Taizhou

Major Economic indicators (2007)

Source: Taizhou Economic and Social Development Report 2007

Introduction

Taizhou is situated in the coastal area of central Zhejiang Province. It borders Wenzhou in the south, Jinhua and Lishui in the west, Ningbo and Shaoxing in the west and the East China Sea in the east. Covering an area of 9,411 sq km, the city governs 3 districts, 2 county-level cities and 4 counties. It enjoys a subtropical monsoon climate.

Taizhou has well-established highway network. The Ningbo-Taizhou-Wenzhou Highway, The Shangyu-Sanmen Highway and State Highway 104 run through the city. The Taizhou Luqiao Airport (formerly Huangyan Airport) offers regular flights to Shanghaid, Beijing, Guangzhou, Xi’an and other domestic cities. Taizou Port, a major port in Zhejiang Province, has annual cargo throughput of over 35 million tons.

The city is rich in power resources. Taizhou Power Plant is a thermal power plant with installed capacity of over 2 million kilowatts. Jiangxia Tidal Power Plant is the largest tidal power plant in China.

Economic Features

Taizhou is the fifth largest economy in Zhejiang Province in terms of GDP in 2007. The city realized GDP of RMB 172.2 billion in 2007, representing a growth of 14.5% from the previous year and comprising 9.2% of Zhajiang Province’s GDP. The industry sector contributed 53.9% to the city’s GDP.

Heavy industry generated a gross industrial output of RMB 174.6 billion, up 31.4% year on year, while light industry achieved a gross industrial output of RMB 104.6 billion in 2007, up 22.5% year on year. Heavy industry and light industry made up 60.4% and 39.6% of Taizhou’s total gross industrial output, respectively. Transportation equipment manufacturing, machinery, plastic products, metallurgy, and electric power supply and production are the major industries in the city.

China New Century Group was set up in 1997 in Taizhou. The group has 16 wholly-owned enterprises, with business covering manufacturing, logistics, foreign trade and business, property development and trust services. In 2007, its sales revenue exceeded RMB 10 billion. Xingxing Group, established in 1988, is a private firm specializing in home appliances and other electronic products. Its sales revenue reached RMB 5.9 billion in 2007.

The service sector, the second largest contributor to Taizhou’s economy, produced value-added output of RMB 67.8 billion in 2007, representing a growth of 14.6% year on year. It contributed 39.4% to the city’s GDP. The sales of consumer goods rose 16.5% to RMB 59.6 billion, accounting for 9.6% of Zhejiang Province’s total.

The foreign trade value in the city grew 31.6% year on year to RMB 11.1 billion, comprising 6.3% of Zhejiang Province’s total. The export value jumped up 33.1% to US$9.4 billion, making up 7.3% of Zhejiang’s total. Suitcases, garments, and mechanical and electronic products are the city’s major export products.

A total of 95 foreign-funded projects were approved in 2007, with investments amounting to US$1.4 billion. The utilized FDI in the city was US$312 million, the same level as in 2006. SK from South Korea decided to invest in the 1-million-ton heavy oil refining project in Taizhou in 2005.