Shanghai held a press briefing on the third anniversary of the Lingang New Area on the morning of August 20. Chen Jinshan, Member of the Standing Committee of the CPC Shanghai Municipal Committee, Secretary of the Party Working Committee of the Lingang New Area, and Director of the Lingang New Area Administration, gave a briefing on the development achievements of the Lingang New Area in the past three years, and the overall considerations in the next phase. Hua Yuan, Deputy Secretary-General of the Shanghai Municipal Government and Director of the Shanghai Municipal Development and Reform Commission, introduced the Several Policies and Measures to Support the Lingang New Area of the China (Shanghai) Pilot Free Trade Zone to Accelerate the Construction of an Independent and Comprehensive Node Coastal City. Zhang Hongtao, Chief Engineer of the Shanghai Municipal Commission of Economy and Informatization, Yang Zhenfeng, Deputy Director of the Shanghai Municipal Education Commission, Ye Linlin, Deputy Director of the Shanghai Municipal Human Resources and Social Security Bureau, Li Junhao, Chief Engineer of the Shanghai Municipal Transportation Commission, and Wu Xiaohua, Deputy Secretary of the Party Working Committee of the Lingang New Area, attended the press conference and answered questions from reporters.

I.　

The Lingang New Area is a major national strategy planned, deployed and promoted personally by General Secretary Xi Jinping, and it is also one of the three major new tasks assigned by General Secretary Xi Jinping to Shanghai. The CPC Central Committee and the State Council attach great importance to the development of the Lingang New Area by formulating the Overall Plan for the Lingang New Area and introducing a number of policies and measures to support the development of the Lingang New Area. The CPC Shanghai Municipal Committee and the Shanghai Municipal Government have established relevant mechanisms, allocated resources, and introduced targeted policies to vigorously advance the construction of the Lingang New Area. All these have given a shot in the arm to the rapid development of the new area.

Since the establishment of the Lingang New Area three years ago, we have always kept in mind the entrustment and the “five key roles” assigned on the Lingang New Area (serving as a key base for luring talents at home and abroad to carry out international innovation and collaboration, a key hub for the overall development of onshore and offshore businesses, a key springboard for enterprises to go global and grow, a key for better utilization of both domestic and foreign markets/resources, and a key test field for participation in international economic governance), while focusing on the work priorities in aspects (build a new highland of opening-up, build a strategic growth driver, build an urban role model, build a preferred place for innovation and entrepreneurship) to forge ahead with reform measures. We have achieved remarkable results in all aspects of work, fulfilling the commitment to enabling “big changes in three years and presenting a vibrant and booming Lingang New Area. In the three years since its establishment (from 2019 to 2021), the GDP of the Lingang New Area has grown by 21.3% annually, total industrial output value generated by enterprises above the designated size has grown by 40.2% annually, total fixed-asset investment has grown by 43% annually, and total import and export value of Yangshan Special Comprehensive Bonded Zone has increased by 28% annually. In the first half of this year, despite the COVID-19 impact, rapid growth has been maintained. The total industrial output value generated by enterprises above the designated size increased by 27% year on year, total fixed-asset rose by 23% year on year, and tax revenue from January to July jumped by 28% year on year. Economic indicators were only the results. The key development achievements of Lingang in the past three years have been reflected in the following aspects:

First, we took the lead in achieving new breakthroughs in institutional innovation in several key areas as we focused on building a new highland of opening-up. We have basically completed the 78 tasks in the Overall Plan for the Lingang New Area formulated by the State Council. The central government, Shanghai government, and Lingang New Area Administration have issued more than 260 policies, and 87 typical institutional innovation cases have been formed via reform, among which 36 were first-in-class nationwide. The system of Five Freedoms and One Convenience (freedom of trade, freedom of investment, freedom of capital, freedom of transportation, freedom of employment, and convenience of communications of information) has been gradually taking shape, and institutional innovation has been continuously transformed into new advantages for development.

Second, we made new achievements in building an open industrial system with international market competitiveness as we focused on creating a strategic growth engine. We successfully held the World Laureates Forum and introduced 14 high-level sci-tech and innovation institutions including the International Science and Technology Innovation Center of Peking University and the Intelligent Manufacturing Technology Innovation Platform of Shanghai Jiao Tong University. Seven special industrial parks including Oriental Core Port and Life Science Blue Bay have gathered a large number of cutting-edge industrial projects with key core technologies. Over the past three years, we’ve signed agreements on over 300 cutting-edge industrial projects, with a total investment of over 420 billion yuan. The construction of a world-class, open, and modern industrial system has been accelerating.

Third, we opened a new chapter in the construction of a modern new city with “international style, futuristic sense, lake- and sea-side charm” as we focused on building an urban role model. The development of key functional areas such as the International Innovation Collaborative Zone and Dishui Lake Financial Bay has been accelerated. The external traffic has been faster and smoother, the internal urban functions have been more established and comprehensive, and a modern new city featuring openness and innovation, smart ecosystem, integration of industries and the city, and business-friendly and livable environment has initially taken shape.

Fourth, we demonstrated new achievements in the construction of a market-oriented, rule-by-law, and internationalized first-class business environment as we focused on building a preferred place for innovation and entrepreneurship. We launched the country’s first enterprise annuity plan for local talents and offered more preferential policies on introduction and settlement for domestic talents, residence permits for foreign talents, and relevant living and security support. We set up an integrated information management service platform for the Lingang New Area, and centrally implemented 1,215 administrative authorities at both the city and district levels. The reform of the commitment system for corporate investment projects has significantly improved the construction progress of investment projects. A good business environment has become one of the key competitive edges for the Lingang New Area.

In the past three years, we had a good start for the development of the Lingang New Area. Next, we must take advantage of the momentum to achieve more successes. In the next phase, we will follow the requirements of five key roles to advance the development of the Lingang New Area to a new level under a bigger perspective, wider vision, and larger landscape. Specifically, we should focus more on the following aspects:

First, we will focus more on institutional innovation, so that high-level opening-up will become the biggest dividend for the development of the Lingang New Area. We will focus on　Five Freedoms and One Convenience, to　implement an opening-up stress test at a higher level and take bigger steps to open up several key areas such as cross-border finance, offshore trade, and digital economy. By the end of the 14th Five-Year Plan period, a more established institutional system of　Five Freedoms and One Convenience will be　established, and more breakthrough cases will be formed in institutional opening-up. The Yangshan Special Comprehensive Bonded Zone will be initially established as a free trade zone with higher international recognition and stronger competitiveness.

Second, we will focus more on building world-class industrial clusters, in a bid to allow advanced manufacturing to play an important role to support the development of the Lingang New Area. We will focus on key frontier industries, give full play to the advantages of institutional innovation, open up more application scenarios, promote the deep integration of the industrial chain, value chain, and innovation chain, build a more established industrial ecosystem, promote industries to reach higher levels by fostering their uniqueness and cluster development, and rapidly improve the capacity for regional industrial development. By the end of the 14th Five-Year Plan period, the total industrial output value generated by enterprises above the designated size will reach 500 billion yuan, with an average annual growth rate of 25%. The three major industrial clusters of intelligent new energy vehicles, high-end equipment and integrated circuits will be formed. The area will accommodate 500 artificial intelligence enterprises, and the total industry scale will exceed 50 billion yuan.

Third, we will focus more on sci-tech research and development, so that technological innovation will become the internal driver for the development of the Lingang New Area. We will accelerate the construction of the Lingang Laboratory and　World Laureates International Joint Laboratory. We will introduce and cultivating a large number of national and municipal R&D innovation centers and new R&D institutions, and build a number of innovative and entrepreneurial entities with distinctive industrial characteristics at a high level, so that sci-tech innovation will become the prominent identity of the Lingang New Area, which will be an important driver in the construction of Shanghai Science and Technology Innovation Center. By the end of the 14th Five-Year Plan period, the Lingang New Area will strive to introduce and foster more than eight world-class laboratories, 30 new R&D institutions, and more than 1,000 high-tech enterprises.

Fourth, we will focus more on the cultivation of new business forms and new models, so that the Five Economies (innovation-driven economy, service economy, open economy, headquarters economy and flow economy) will become a special highlight of the development of the Lingang New Area. We will vigorously develop emerging bonded businesses such as bonded R&D, bonded manufacturing, and bonded maintenance, while actively developing emerging financial formats such as cross-border finance, technology finance, and financial technology. We will make every effort to develop digital economy industries such as artificial intelligence and software, and step up the construction of the Yangshan Special Comprehensive Bonded Zone, Dishui Lake Financial Bay, and Dishui Lake AI Innovation Port, so as to rapidly improve the development capacity of emerging industries in Lingang. By the end of the 14th Five-Year Plan period, the total operating income of the Yangshan Special Comprehensive Bonded Zone will reach 1 trillion yuan, and the total import and export value will reach 220 billion yuan. The number of financial institutions and investment enterprises will exceed 800, and the average annual growth rate of the added value of the financial industry will exceed 25%. The average annual growth rate of the added value of the digital economy will exceed 50%.

Fifth, we will focus more on the construction of the modern new city, and make smart, low-carbon and resilience an important path for urban development. The vehicle-road coordination infrastructure will be built on the backbone roads in the core area of Dishui Lake, and a wealth of autonomous driving scenarios will be created. Leveraging the development of the hydrogen energy industry, we will promote the use of hydrogen energy for all buses and special municipal vehicles in the main urban area.　　With the goal of building a digital twin city, we will accelerate the digitalization of infrastructure and public service facilities, digital operation management, and platform-based centralized supervision, in a bid to effectively enhance the city’s capabilities for safe operation, risk prevention and emergency response. By the end of the 14th Five-Year Plan period, a 6.5-square-kilometer international innovation coordination zone will fully realize digital twin operation and be expanded to the whole area. Vehicle-road coordination will be achieved in 100% of backbone roads, and the proportion of clean energy consumption will reach 50%.

Sixth, we will focus more on “building nests to attract phoenixes", so that talents can become the leading resources to drive the development of the Lingang New Area. We will initiate the “nest-building” project for talents in the Lingang New Area. We will strive to develop high-end industries such as artificial intelligence, integrated circuits, and emerging finance, so that all kinds of talents can share development opportunities and realize their dreams in Lingang. We will continue to improve the high-level basic education, healthcare, culture and sports and other urban public supporting functions, so that all kinds of talents can live a comfortable and happy life in Lingang. We will formulate stronger talent support policies, so that all kinds of talents can be satisfied and taken good care of in Lingang. In the next three years, the Lingang New Area will provide 180,000 jobs, making it a “city for entrepreneurs and a home for employees.”

The Lingang New Area undertakes the special mission entrusted by the state. We will work hard and take advantage of the momentum to create new miracles in the development of the Lingang New Area with passion and wisdom, in order to make new and greater contributions to building Shanghai into a socialist modern international metropolis with global influence.

II.

The construction of the Lingang New Area of the China (Shanghai) Pilot Free Trade Zone is a major task assigned by the CPC Central Committee to Shanghai. In order to fully implement the “five key roles” instructions put forward by General Secretary Xi Jinping on the construction of the Lingang New Area, on the occasion of the third anniversary of the area, the Shanghai Municipal Government formulated the Several Policies and Measures to Support the Lingang New Area of the China (Shanghai) Pilot Free Trade Zone to Accelerate the Construction of an Independent and Comprehensive Node Coastal City, to support the area to take new steps at a new starting point to reach a new level.

Since the establishment of the Lingang New Area, Shanghai has issued two municipal-level policy documents, namely Several Opinions on Implementing Special Support Policies to Promote High-quality Development of the Lingang New Area of the China (Shanghai) Pilot Free Trade Zone and Several Opinions on Supporting Independent Development, Independent Reform and Independent Innovation of the Lingang New Area of the China (Shanghai) Pilot Free Trade Zone. This year, the city has again formulated the Several Policies and Measures, with the main purpose to address the policy pain points and problems encountered in the construction of major projects in the Lingang New Area and in the process of reform, empower the Lingang New Area with more reform autonomy and pilot tasks, support the Lingang New Area to deepen the exploration of differentiated systems within the scope of municipal authority, and help the Lingang New Area play a better role as the growth pole and engine for the city’s development.

The Several Policies and Measures mainly focus on “Three Adherences and Three Highlights.” First, we will adhere to problem orientation and highlight the city’s authority. Within the scope of local authority, we will focus on the problems encountered in the function creation and project implementation of the Lingang New Area, and launch a series of targeted and highly valuable support policies. Second, we will adhere to effect orientation and highlight major projects. We will focus on industrial projects, municipal infrastructure projects, and public service projects, and plan reform measures and improve the operability of policies with the perspective on the entire chain of industrial development and the entire life cycle of project implementation. Third, we will adhere to goal orientation and highlight urban functions. We will focus on the coordinated development of “industry”, “city” and “people” in the Lingang New Area, accelerate the construction of an independent and comprehensive coastal city, and unveil a batch of support policies on comprehensive transportation system, educational resources, medical and healthcare services, talent residence and land use.

The Several Policies and Measures mainly include 23 tasks in three aspects.

1.We will enhance industrial support and further enhance the development quality of innovative industries. There are a total of 5 supporting policies, e.g. upgrading the quality of high-end manufacturing, and strengthening the construction of key industrial parks such as the International Hydrogen Energy Valley, Oriental Core Port, Life Science Blue Bay, Source of Power; building the Dishui Lake AI Innovation Port and cultivating the AI innovation ecosystem; deepening the development of the international data port, and exploring the construction of a national pilot demonstration zone for cross-border data flow; accelerating the development of emerging service industries, and expanding new business forms and models such as service trade, cross-border e-commerce, and bonded maintenance; supporting more high-quality sci-tech and innovation resources and functional platforms to settle in the Lingang New Area, and encouraging a batch of research institutes, university research institutes, industry-academia transformation platforms, and bonded R&D centers to make presence in the Lingang New Area.

2.We will enhance the foundation of urban functions and further improve the independent and comprehensive urban function system. There are a total of 8 supporting policies, e.g. building a convenient and efficient comprehensive transportation system, accelerating the construction of the collection and distribution hub in Lingang and the Nanhui branch line of the municipal railway, and accelerating the construction of projects related to the operation area on the north side of Xiaoyangshan and the east extension of the Dalu Line; improving the infrastructure of the Yangshan Special Comprehensive Bonded Zone, and promoting the planning and construction of supporting projects for the aviation industry; building the Lingang digital transformation demonstration zone, and the integrated future digital twin city; building a low-carbon city with demonstration effect, and building Lingang wind power/photovoltaic/gas storage demonstration zone; strengthening the construction of a resilient city and improving the emergency management system; promoting the high-quality and balanced development of educational resources, and building a demonstration area for the integration of industry and education in Shanghai; improving the medical and healthcare service system, and supporting the introduction of high-quality Chinese medicine resources in Shanghai to build the top-tier Chinese medicine hospital; creating a metropolitan tourism destination, and supporting the Lingang New Area to host international and domestic cultural festivals and top-level events.

3.We will enhance policy support and further optimize the supply of regional development factors. There are a total of 10 supporting policies, e.g. further optimizing the talent settlement policy, and giving the Lingang New Area the right to recommend employers that hire non-Shanghai fresh college graduates to be entitled to favorable policies; promoting the high-quality employment of skilled workers in the new area, establishing and improving the dynamic adjustment mechanism of the exclusive catalogue for the introduction of skilled talents; boosting education services for the children of the talents, and improving the relevant guarantee mechanism; improving the efficiency of government services for talent management, and expanding the scope of single-window services for foreigners’ work and residence from Category A work permit to Category B work permit; improving the convenience for foreign talents with permanent residence to work and live so that foreign talents can use their permanent resident ID cards to make appointments online with designated hospitals in the Lingang New Area; improving the service system for overseas talents and providing “green channel” entry-exit services for overseas talents urgently needed for the construction of major projects; optimizing the housing purchase policy for talents in the Lingang New Area in a targeted way; supporting the innovation of the financing mechanism for major projects in the Lingang New Area, and supporting eligible projects in the Lingang New Area to apply for and issue infrastructure REITs; further strengthening coordination of resource quotas in the Lingang New Area with an aim to reduce energy consumption intensity, and improve the flexibility of total energy consumption management; properly improving the management of industrial land transfer, and moderately increasing the direct property transfer ratio for qualified park platform companies.

Shanghai will continue to prioritize reform and innovation tasks of the Lingang New Area in the city’s overall reform, focus on the implementation of policies, conduct dynamic assessments on the progress of the policies, continue to amplify the effectiveness of the policies, and support the Lingang New Area to reform, innovate and develop at a deeper level, a wider range, and a larger scale.