A changing industrial landscape is unfolding in China’s most prosperous coastal region.
After 30 years of rapid development, the Yangtze River Delta, which is China’s most vibrant economic zone, is facing increasing pressure from the shortage of energy supplies and natural resources, as well as the environmental deterioration.
As one of the richest areas in China, the Yangtze River Delta accounts for 20 percent of the nation’s gross domestic product and is responsible for one-third of its imports and exports.
According to Shanghai Industrial Property Market, a report issued by Colliers International in May 2007, the average land-leasing price in Shanghai’s major industrial zones has risen to $112 per sq m, up 10.43 percent from the end of 2006.
Given that the overall business costs in the delta are already 30% higher than the neighboring provinces such as Anhui, the relocation of businesses to inland areas, or cities in less developed northern Jiangsu Province, is expected to provide new chances for growth while contributing to the sustainable development of the region.
Source: China Daily