City Introduction of Shandong, China: Jining

Major Economic Indicators (2007)

Source: Jining News

Introduction

Jining is situated in the southern part of Shandong Province. Lying at the intersection of Jiangsu Province and Shandong Province, the city borders Linyi, Shandong to the east, Heze, Shandong to the west, Zaozhuang, Shandong and Xuzhou, Jiangsu to the south and Tai’an, Shandong to the north. It faces Liaocheng, Shandong across the Yellow River to the northwest.

Jining is easily accessible by air, water or land. Jinan Airport is within 2.5 hours’ drive and the Jining Airport is scheduled to open for civil usage in 2009. Qingdao Port, the world’s seventh largest port by cargo traffic in 2007, and Lianyungang Port are located within 300 km of the city. Lianyungang Port is one of China's top 10 seaports by cargo traffic. In 2007, its cargo throughput rose 53.8% year on year to 85 million tons. The Beijing-Shanghai Highway, the Beijing-Fuzhou Highway, the Rizhao-Xi’an Highway, the Jinan-Heze Highway and the Jinan-Xuzhou Highway go through Jining, while the Beijing-Shanghai Railway, the Beijing-Shanghai Express Railway and the Beijing-Kowloon Railway all have stops in the city.

Jining has rich coal, electric power and freshwater resources. The proven coal reserves in Jining exceed 26 billion tons, amounting to one half of Shandong’s total. There are 46 power plants in the city, which have a total installed capacity of 9.48 million kilowatts.

Economic Features

Jining’s economy has witnessed stable growth. In 2007, the GDP of Jining rose 16.3% year on year to RMB 173.6 billion, ranking sixth among the prefecture-level cities in Shandong Province. The value-added output from the agriculture, industry and service sectors made up 12.8%, 55.2% and 32.0% of the city’s GDP, respectively.

The industrial value-added output from the enterprises with designated size and above increased by 23.9% to RMB 79 billion in 2007. Manufacturing industries contributed 56.6% to the city's total industrial value-added output. The major industries in Jining are coal chemicals, machinery, pharmaceuticals, food processing, bio-technologies and textiles. The total industrial value-added output from these major industries rose 41.0% to RMB 34.1 billion and contributed 43% to the city’s total.

Jining Mining Industrial Group and Yankuang Group are the two leading mining groups in Jining. Jining Mining Industrial Group is a state-owned enterprise specializing in coal mining, energy production and supply, metallurgy and construction materials. In 2007, it produced 3.43 million tons of raw coal, and its sales revenue reached RMB 1.8 billion.

Yankuang Group was set up in 1976 and became a state-owned firm in 1996. It owns two coal fields in Jining, and its proven coal reserves hit 3.7 billion tons in 2007. By the end of 2007, it had 37 subsidiaries. In 2007, the sales revenue of the group stood at RMB 36.1 billion, and the gross profit amounted to RMB 8.6 billion.

Jining has a large consumer market. In 2007, the sales of consumer goods in the city exceeded RMB 59.1 billion, with a strong growth of 18.5% from the previous year. The sales of consumer goods constituted 7% Shandong Province’s total.

The city’s foreign trade value amounted to US$2.8 billion in 2007, representing a growth of 20% from the previous year. The export value was US$1.8 billion, with a rise of 20% year on year. Mechanical and electronic products are the major export products of Jining. The U.S., Europe, Japan and South Korea remain the largest foreign trade partners of the city.

In 2007, Jining approved 70 foreign-funded projects, with total utilized FDI soaring 81.7% year on year to US$416 million. By the end of 2008, twenty-five Fortune 500 enterprises had launched investments in the city. Komatsu and AEON from Japan, Sime Darby Group from Malaysia and Perelli from Italy have set up businesses in the city.