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Advantages of the Business Environment in Guangzhou

Release time: Sep 11, 2018

1.Complete Infrastructure

Guangzhou is the south gate of China and a global hub network is taking shape. Guangzhou Baiyun International Airport has more than 1,200 flights per day, with nearly 180,000 people and5,000 tons of cargo going in and out. Port of Guangzhou is the sixth largest port in the world that has seaborne trade with more than 400 ports in more than100 countries and regions.

Setting off from Guangzhou, the high-speedrail can reach most of the major cities in the country within one day, and were having more trains connecting China to Europe and South Asia under the Beltand Road Initiative. In terms of seaports, in 2017, the Port of Guangzhou had acargo throughput of 590 million tons and a container throughput of 20.37million TEUs, ranking the fifth and the seventh respectively in the world. Speaking of airports, Baiyun International Airport is the national hub for the promotion of jointly building the Belt and Road Initiative. In 2017, the passenger throughput was 65.83 million, ranking the third in the country. In terms of railways, Guangzhou railway hub is one of the four major railway hubs in China. As for highways, Guangzhou is one of the major highway hubs in the country and one of the cities that connect with the largest number of highways in the national network. With regard to information ports, Guangzhou is one of the three communication hubs in China and the Internet exchange point as well as having China’s top three international export bandwidth.

 2.Strong Industrial Base

The manufacturing and service sectors in Guangzhou are the most advanced and complete in South China. The proportion of the three industries in Guangzhou is 1.09:27.97:70.94, and the financial deposit and loan balances in Guangzhou are RMB 5.14 trillion and RMB 3.41trillion respectively. According to the plan, Guangzhou will implement high-quality development requirements, promote the coordinated development of the real economy, scientific and technological innovation, modern finance and human resources, and vigorously develop emerging industries such as new generation information technology, artificial intelligence, bio-pharmaceuticals, new energy and new materials to build the new pillars of the industrial system. By March in 2018,297 Fortune Global 500 companies have invested in 921.

3.Strong Innovation and Entrepreneurship Support

Guangzhou is the education center in South China. Two-thirds of the universities of Guangdong Province are located here. 97% of all state key disciplines, and state key laboratories in Guangdong Province are in Guangzhou. By 2017,Guangzhou already had 3.26 million college-educated talents. Six Nobel laureates, 79 academicians of the two academies, and 281 experts of the Thousand Talents Program are working in Guangzhou. Prof. Tang Benzhong, an academician of the Chinese Academy of Sciences recruited by the South China University of Technology, is the first one to propose the concept of aggregation-induced emission in the world and won the first prize of the 2017National Award for Natural Science. Guangzhou was approved as the national independent innovation demonstration zone and the core area for the comprehensive innovation and reform. The 261 incubators and the hatched area of9.09 million square meters in Guangzhou have given birth to 8,700 high-techenterprisesand a total number of 169,000 technological innovation enterprises. Guangzhou Science City was listed as one of the first regional demonstrationbases for innovation and entrepreneurship in China. With institutions and carriers such as the Guangzhou Intellectual Property Court, Guangzhou Intellectual Property Exchange Center, the National Brand Innovation and Venture (Guangzhou)Base, and the Trademark Examination Cooperation Guangzhou Center of the State Administration for Industry and Commerce of China, strong support and protection for enterprises and individuals in innovation and entrepreneurship can be provided in Guangzhou.

 4.Rich Institutional Innovations

The construction of a national innovation central city is vigorously promoted in Guangzhou and the related policy support is continuously strengthened. The “1+9”scientific and technological innovation policy and other relevant policies have been introduced, covering the transformation of scientific and technological achievements, the recruitment of and incentives for talents, the science and technology finance, and other aspects, to form a comprehensive policy system supporting innovation and entrepreneurship. Among them, R&D investment grants for enterprises, support for the construction of new R&D institutions, support given to the enterprises for the establishment of R&D institutions, subsidies for science and technology finance, and support for the high-tech companies and maker space are taking the lead in China.

Guangzhou has strong innovative research capabilities. The city currently has 19 state key laboratories and 213 provincial key laboratories, accounting for 70% and69% of the total number in the province respectively. In 2017, the number of patent applications in Guangzhou exceeded 100,000 for the first time, and a number of growth indicators led the country, including the number of invention applications, invention authorizations, PCT international patent applications, and effective invention patents led the country.

The status of the enterprise as an innovation subject further improves. In 2017,there were 40,000 new technological innovation companies in Guangzhou, contributing to the total number of 169,000, of which the net increase of high-techcompanies was nearly 4,000, making the total number about 8,700.

In the Nansha Free Trade Zone, a total number of 376 reform and innovation achievements have been made, among which 67 are original in the country, 19have been replicated and promoted nationwide, 90 have been replicated and promoted in the province, and 140 have been implemented in the city.

5.Convenient Government Services

Guangzhou strives to streamline administration, delegate more powers to lower-level government and society, improve regulation and optimize services to stimulate the vitality of the market. In order to reduce the number of pre-approval items for industrial and commercial registration, the city's industrial and commercial registrationpre-approval items have been continuously reduced to 11 items from 127 before the reform of the commercial system.

Guangzhou implemented the reform of “Multiple in One and One Code for One License” so that the applicant only needs to submit one set of materials to a window, and then can receive a license. The time required to start a company reduces to three working days under the current one license policy from the previous 20 working days. The classification of commercial registration and record approval deadlines shall be subject to the reduction of the time. A mechanism that permits a company to register without submitting all required documents on the registration day which shall be provided before an agreed due date shall be implemented on trial basis. All registration and approval procedures shall be completed within three working days. The establishment of registration and approval shall be completed within eight working days. Eight simple registration items such as changing licenses and taking records shall be completed on the spot. In this way, the speed of the approval procedure has increased by 88%.

The Single Window for international trade and customs integration is put into full implementation. International trade “Single Window” version 2.0 is exempted from customs declaration fees. Border inspections, maritime affairs and port administration declarations are all reported through the “Single Window”, realizing “one platform, one submission, one standard” for enterprise’s customs declaration and “one single access, one declaration, one settlement” for multi-department operations at ports.

 6.Livable Environment

Guangzhou has provided its citizens with convenient living services which are greatly improved by successfully creating a clean, safe and orderly urban environment. The air quality of Guangzhou is the best among the five central cities in China. The annual average concentration of PM2.5in 2017 is 35 micrograms/cubic meter. It has become the first national centrality and the first provincial capital with a GDP exceeding RMB one trillion and permanent population of over ten million that has achieved PM2.5 compliance. The urban greening rate is 41.5% and the forest coverage rate is 42%. Cantonese cuisine is one of the eight major cuisines in China. “Food in Guangzhou” is well known both at home and abroad. There are 10 international schools and large number of international medical institutions, catering companies and places of worship in Guangzhou. 52 museums and memorial halls such as Guangdong Museum and the Archaeological Site Museum of Nanyue Palace are located in Guangzhou with another 19 public libraries, providing investors with convenient living environment