On the morning of yesterday (August 27), the Information Office of Shanghai Municipality held a press briefing. Chen Jinshan, member of the Standing Committee of the CPC Shanghai Municipal Committee, Secretary of the CPC Working Committee and director of the Lin-gang Special Area of China (Shanghai) Pilot Free Trade Zone, introduced the development achievements of the Lin-gang Special Area at its fifth anniversary and the overall considerations for the next phase. Chen Yanfeng, deputy director of the Shanghai Municipal Development and Reform Commission, introduced the details of the Several Opinions on Supporting the Lin-gang Special Area of China (Shanghai) Pilot Free Trade Zone to Further Deepen High-level Reform and Opening-up and Stimulate Strong Impetus for High-quality Development. Tao Changsheng, deputy director of the Financial Commission Office of the CPC Shanghai Municipal Committee, Zhang Hongtao, deputy director of the Shanghai Municipal Commission of Economy and Informatization, Shao Jun, deputy director of the Shanghai Municipal Data Administration, and Zhang Yi, deputy chief of Shanghai Customs, attended the press briefing and answered questions from reporters.I.Over the past five years, the Lin-gang Special Area has consistently upheld the “Five Important Roles” as its guiding principle, leading to remarkable growth. The area’s GDP has increased at an average annual rate of 19.8%, industrial output from enterprises above designated size has grown by 34.6% per year, and total fixed-asset investment has risen by 33.4% annually, elevating the regional economic scale to new heights. More significantly, Lin-gang has accelerated the development of its special economic functions, driven by its core mission of opening up and innovation. Offshore trade has expanded by an average of 128.9% per year, the total import and export value of the Yangshan Special Comprehensive Bonded Zone has grown by 37.5% annually, cross-border RMB settlements have surged by 136.3% per year, and the scale of foreign currency receipts and payments by enterprises has increased by 52.5% annually.First, several key institutional innovations have been implemented. Over the past five years, the Lin-gang Special Area has concentrated on areas such as cross-border data, cross-border finance, and high-level shipping services, conducting higher-level opening-up stress tests and accumulating 70 nationally pioneering institutional innovation cases. In the past year, the area has introduced the country’s first cross-border data classification and operation guidance list, facilitated the official launch of the Shanghai International Reinsurance Registration and Trading Center, completed the nation’s first cross-border aircraft leasing transaction settled in RMB, and initiated the country’s first case of coastal shipping by a foreign-funded liner in export flows and ship-to-ship green methanol bunkering.Second, a more comprehensive industrial development system has been established. Over the past five years, the Lin-gang Special Area has prioritized strengthening scientific and technological innovation, driving the rapid clustering and growth of industries. High-level institutions and technology innovation platforms, such as Dishui Lake International Software Engineering Institute, ECNU and Hong Kong Quantum AI Lab, have been set up, leading to an increase in the number of high-tech enterprises from 254 to 1,493. The annual output value of the intelligent new energy vehicle industry has surpassed 320 billion yuan, and the combined output value of the four major industries — integrated circuits, artificial intelligence, biomedicine, and civil aviation — has grown at an average annual rate of 34.1%. Over 570 key projects in cutting-edge industries have been signed, with investments exceeding 620 billion yuan. In the first half of this year, revenue from the software and information service industry rose by 47.1% year on year, fixed asset investment in manufacturing increased by 19%, and major projects such as Tesla Megafactory were initiated, further enhancing industrial scale and ecosystem.Third, the distinct brand of “a young city for young people” has been established. Over the past five years, the Lin-gang Special Area has focused on meeting talent needs by developing a modern, future-oriented city with an international and waterfront character. Thirty-three new schools, including East Shanghai High School and Fengxian Campus of the No. 2 High School of East China Normal University, have opened. Construction has begun on Dishui Lake School and the Lin-gang Campus of Pudong Hospital. The world’s largest indoor ski resort has wrapped up construction and is set to open soon. An additional 910,000 square meters of commercial facilities have been added. Metro Line 16 has been upgraded for greater efficiency and capacity, and the metro link between Lin-gang and Pudong International Airport is nearing completion and will soon be operational, with construction on the urban rail Nanfeng Line set to begin shortly. The “Talent Nesting Project” has been vigorously implemented, attracting approximately 100,000 people, with an average annual growth rate of 97%.The Lin-gang Special Area will seize the significant opportunities presented by the nation’s comprehensively deepened reform and opening up, driving innovation and openness with a heightened sense of mission, responsibility, and urgency. We will pursue innovation, effectiveness, and speed, making substantial efforts in the following four areas.First, we will prioritize reform and opening up as our core mission, aiming to advance high-level institutional innovation. We will enhance regulations for cross-border data flow and expand the development of application scenarios. By employing “a negative list plus positive guidance” approach, we will promote a category- and class-based management system for cross-border data in key sectors, offering a “Lin-gang solution” to facilitate the safe and orderly cross-border flow of data. Starting with the construction of the Digital Economy Partnership Agreement (DEPA) cooperation zone, we will implement more scenarios such as electronic bills of lading, electronic invoices, and digital identity authentication. We will emphasize offshore cross-border finance, fostering open and innovative financial development. Aligning with the “One City, One Belt, and One Bay” strategy of the Shanghai International Financial Center (Lujiazui Financial City, Bund Financial Belt, and Dishui Lake Financial Bay), we will focus on emerging formats like cross-border finance, offshore finance, international reinsurance, and cross-border financial leasing, building the Dishui Lake Financial Bay to a high standard. We will capitalize on the digitalization and green development of shipping to advance high-level shipping services. By exploring the integration of the Global Shipping Business Network (GSBN) with the integrated shipping and trade platform, we aim to establish a national pilot for the digital application of shipping and trade and a blockchain cross-chain master node. We will develop platforms for new energy ship management, seafarer training and certification, and hydrogen-based green energy trading. Additionally, we will accelerate the growth of high-level shipping services, including maritime arbitration, shipping finance, and shipping insurance. Leveraging the unique advantages of the Yangshan Special Comprehensive Bonded Zone, we will continuously elevate the institutional framework for “freedoms” in investment, trade, capital, transportation, personnel employment, as well as data convenience. We will explore and promote integrated management of the area and port, advancing the construction of “Digital Customs” and gradually achieving intelligent and seamless supervision. Furthermore, we will accelerate the development of new formats such as international automobile distribution, bonded inspection and maintenance, bonded processing and manufacturing, and cross-border e-commerce.Second, we will prioritize the development of advanced manufacturing as a key task, striving to build a “city of innovation and entrepreneurship.” Our focus will be on key industry segments, creating industrial clusters with leading competitive advantages. We will accelerate the development of related industries in integrated circuit equipment, materials, and wide bandgap semiconductors. Leveraging the commercial delivery of the C919 aircraft, we will concentrate on developing core supporting industries for large aircraft, such as large components, aviation composites, and airborne systems. We will also strengthen the intelligent vehicle industry cluster, particularly by addressing gaps in automotive electronics and software. By fostering and attracting industrial projects, we aim to build a robust industrial ecosystem. Our focus will be on introducing major projects with strong industrial impact, extending the industrial chain, and gathering more upstream and downstream enterprises to create a comprehensive industrial ecosystem. This ecosystem will become a unique competitive advantage for Lin-gang that cannot be easily replicated elsewhere. Additionally, we will bolster scientific and technological innovation, leveraging the role of universities. We will continue to deepen cooperation with universities both within and outside the city, enhancing collaboration in talent development, training bases, and innovation centers to continually strengthen the intrinsic driving force of industrial development.Third, we will prioritize the development of digital economy industries to strengthen the momentum of Lin-gang’s rapid growth. The International Data Economy Industrial Park will be developed into a key base for national data opening-up. We will advance businesses such as “bonded data processing,” “data inside, computation outside,” and international data cloud services. Seizing opportunities presented by the pilot program for expanding value-added telecommunications, we will work to secure the first batch of pilot projects in China and accelerate the attraction of more enterprises. We will expedite the deployment of blockchain infrastructure and pioneer innovative applications in scenarios like shipping and trade, autonomous driving, and digital RMB. We will also fast-track the construction of high-performance computing centers, establish intelligent computing clusters, and convert international intelligent computing resources into tangible industrial advantages. Dishui Lake AI Innovation Hub will be developed into a vital hub for the city’s artificial intelligence sector. We will accelerate the aggregation of enterprises involved in intelligent computing chip design, software information, data services, and vertical large models. The creation of diverse application scenarios will become a unique competitive edge for Lin-gang in driving the digital economy. By leveraging Lin-gang’s strengths in autonomous driving, port shipping, finance and trade, and advanced manufacturing, we will attract a growing number of upstream and downstream enterprises in the digital economy sector.Fourth, we will continue to enhance urban functions and work towards making Lin-gang “a young city for young people.” By aligning with talent needs, we will consistently improve our talent services. We will grant key enterprises greater autonomy in managing talent settlement quotas and fully leverage the “Lin-gang Talent Card,” enabling talent to live, start businesses, and enjoy a high-quality life at a low cost in Lin-gang. Focusing on high-quality education as a core function, we will continually increase our appeal to top talent. We will accelerate the construction of the Lin-gang campus of East China Normal University and actively prepare for the establishment of the Sino-German University of Science and Technology Shanghai. We are committed to ensuring that Shanghai Dishui Lake School opens in 2025 and Yew Chung International School of Shanghai is completed by 2026, further elevating the standard of basic education in Lin-gang. In addition, we will emphasize sports and leisure to continuously enhance the city’s youthful vibe. By harnessing the strong appeal of IPs such as the indoor ski resort, Haichang Ocean Park, and Oriental Fantasy, we aim to attract more visitors and actively plan the introduction of additional cultural and sports projects and major events, establishing Lin-gang as a premier leisure and sports destination for young people in Shanghai.In the next five years, the Lin-gang Special Area will focus on four key areas: “fulfilling the mission of reform and opening up,” “enhancing functions and boosting capacity,” “cultivating industries into an ecosystem,” and “advancing economic development.” We will intensify our efforts to accelerate the transformation of Lin-gang into a special economic functional zone with greater international influence and competitiveness, contributing significantly to the development of Shanghai’s “Five Centers” and the nation’s deepening reform and opening up.II.The Lin-gang Special Area was inaugurated on August 20, 2019. Over the past five years, it has steadfastly pursued high-level opening-up, pioneering reform, and leading-edge development, resulting in a myriad of landmark institutional innovations. During this period, Shanghai has rigorously implemented General Secretary Xi Jinping’s directives on the “Five Important Roles,” consistently prioritizing the Lin-gang Special Area as a key focus and starting point for the city’s high-quality development. The city has issued annual municipal supportive policy documents to swiftly address the challenges and obstacles faced in the area’s development and construction. These measures have provided comprehensive support, significantly enhancing Lin-gang’s economic strength and growth.This year’s municipal support policy document introduces 16 measures across five key areas:First, we aim to better attract and utilize global high-end and emerging resources. This includes four main measures: enhancing the international competitiveness of the data industry, invigorating financial innovation, increasing the attraction of both domestic and international talent, and optimizing housing policies based on talent needs. These efforts are designed to support Lin-gang Special Area in boosting its ability to integrate various factors and accelerate its development as “a young city for young people.” For instance, to improve scenarios such as bank payments, we will establish and publish cross-border data operation guidelines and a negative list to facilitate the efficient flow and use of data. In the realm of reinsurance, we will promote the entry of cross-border reinsurance businesses and pioneer risk dispersion mechanisms such as insurance communities. Additionally, we will grant businesses more autonomy in recruiting talent, implement more flexible housing purchase policies, and take multiple steps to attract and retain outstanding talent.Second, we aim to build a comprehensive scientific and technological innovation system covering the full chain and process. This includes three key policy measures: gathering high-quality scientific and technological innovation resources, promoting the transformation and incubation of technological achievements, and enhancing support through scientific and technological financial services. These measures will bolster original and disruptive innovation in the Lin-gang Special Area, optimize resource allocation, and explore scientific and technological reforms aligned with its functional objectives. For instance, we will deploy new R&D institutions that undertake significant scientific and technological tasks, and the Lin-gang Special Area Administration will review and recommend new R&D institutions established by local social entities. Additionally, to address the financing needs of start-up technology companies, the area will be encouraged to lead in implementing a “loan plus external direct investment” approach, enhance the venture capital fund service system, and build a technology finance ecosystem that supports early-stage investment, small-scale investments, long-term investments, and investments in “hard technologies.”Third, we aim to establish key industries with international market competitiveness. This includes three primary policy measures: developing a world-class cutting-edge industrial cluster, accelerating the innovative application of intelligent and connected equipment, and fostering the growth of professional service industries. These measures are designed to attract leading enterprises and major projects to the Lin-gang Special Area, nurture a thriving industrial ecosystem, and expand the real economy. For instance, we will leverage the development of the large aircraft industrial park to advance high-end industrial chains in civil aviation, including engines, airframe structural components, airborne systems, and composite materials. Additionally, we will promote the full-scale demonstration and commercial operation of autonomous intelligent and connected vehicles, creating multiple super application scenarios for autonomous driving. Furthermore, we will establish a legal service cluster, support the development of platforms like the Shanghai Lin-gang International Commercial Mediation Institute, and enhance the quality of foreign-related legal services.Fourth, we aim to expand carriers and platforms for high-level opening-up. This includes two key policy measures: developing new advantages in the Yangshan Special Comprehensive Bonded Zone and enhancing the supporting functions of the modern new city. These measures will help the Lin-gang Special Area better coordinate the development of both the soft environment and hard infrastructure for openness, establishing itself as a vital hub for Shanghai to strategically link domestic and international circulations. For example, the Yangshan Special Comprehensive Bonded Zone will innovatively expand “bonded +” business scenarios, optimize the inspection and supervision of goods like food through pilot projects, and promote the growth of re-export trade formats, such as international food. Additionally, we will expedite the planning and implementation of a direct rapid rail transit line between the Lin-gang Special Area and the city center, refine the urban space strategy for the main urban area, and achieve the organic extension and enhancement of open spaces.Fifth, we aim to enhance guarantee and support mechanisms. This includes four key policy measures: strengthening financial support, optimizing the business environment, bolstering legal support, and improving operational mechanisms. We will increase support and guarantees based on the actual needs of the Lin-gang Special Area’s development and construction to provide robust backing for advancing high-level reform and opening-up. For example, we will coordinate various funding sources to ensure that municipal and district government support for the Lin-gang Special Area at least matches the level of the past five years. Additionally, we will refine the investment promotion system in alignment with the Lin-gang Special Area’s industrial development goals and layout, enhancing specialization, systematization, and standardization.Going forward, Shanghai will continue to support the Lin-gang Special Area with citywide efforts to rigorously test systems, address shortcomings, and explore new pathways for national development. We are committed to building a special economic functional zone characterized by freedom and convenience, with a spirit of perseverance. Our goal is for the Lin-gang Special Area to become a robust and dynamic growth engine for Shanghai’s economy.