Beijing-Tianjin-Hebei coordination nets results

Growing together

The upgrading of the cement industry in Shijiazhuang's Luquan district, along with the environmental improvement, can be seen as a microcosm of the achievements in the coordinated development of the Beijing-Tianjin-Hebei region.

The development of the region is a national strategy put forward by President Xi Jinping in February 2014, aiming to achieve better integration and more balanced growth in the area.

In June 2015, the Central Committee of the Communist Party of China and the State Council issued the Outline of the Plan for the Coordinated Development of the Beijing-Tianjin-Hebei Region, clearly defining Hebei's positioning including as an experimental zone for industrial transformation and upgrading, and an ecological and environmental support zone for the Beijing-Tianjin-Hebei region.

In response, Hebei has taken a series of measures to further accelerate the transformation in six major industries, including steel, coal, cement and thermal power, in the past decade. Luquan's transformation of the cement industry is just one successful example.

In the coordinated development, relieving Beijing of functions nonessential to its role as the national capital has been a key target, which has led to the relocation of many industries and sources outside of the capital.

"Beijing has played a pivotal role in driving regional development, transitioning from industrial transfer to collaborative industrial chain development, thereby expanding industrial output together with the other two," said Liu Bozheng, deputy director of the Beijing office overseeing the integration of the Beijing-Tianjin-Hebei region.

As of the end of December, enterprises in Beijing's high-tech area of Zhongguancun had established more than 10,000 branches in Tianjin and Hebei province.

Hebei has also grasped opportunities to carry out initiatives to attract companies and nurture its own distinctive industries.

"We have observed an increasingly clear trend that Beijing is leading in relocations with Tianjin and Hebei integrating, and Beijing and Tianjin are leading in development and research with Hebei doing the transformation in research outcomes," Yan Jihong, mayor of the city of Baoding in Hebei and a deputy to the National People's Congress, told Outlook Weekly news magazine.

Hebei has attracted around 43,000 companies, and the industrial structure has been upgraded in this process, according to the provincial development and reform commission, the provincial top economic planning body.

It has nurtured 12 leading industries and 107 distinctive industries at the county level, and the proportion of the value-added of high-tech industries in industrial enterprises above a designated size (those with 20 million yuan or more in annual revenue) has increased to 21.4 percent from 13.1 percent in 2014, indicating a high-quality growth trend in high-tech industries, data from the commission showed.

"We have prepared to integrate with the relocation industries from Beijing and Tianjin in various ways such as issuing preferential policies for talent and finance, and improving supplementary facilities in industrial production and living," said Wu Lijun, deputy director of the management committee of the Luquan Economic Development Zone.

"So far, at least 50 companies from Beijing and Tianjin have thrived in the zone, which has contributed to the city's economic growth and technological innovation," Wu said.

As a hub for the electronic information industry in Shijiazhuang, the Luquan Economic Development Zone is home to 1,060 electronic information enterprises, he said, adding that in 2023, total operating income surpassed 85 billion yuan, marking a year-on-year growth of 34.9 percent.

Hebei Far East Communication System Engineering, a company in the zone, has participated in the regional coordinated development by enhancing regional collaborative innovation and exploring the regional market, said Zhang Songyi, vice-president of the company.

It has collaborated with famous universities in the region such as Beihang University, the Beijing Institute of Technology and Yanshan University to jointly advance research and development in areas such as 5G, big data and artificial intelligence, Zhang said.

The company has played a major role in the construction of digital and intelligent applications for rail transit in the Beijing-Tianjin-Hebei region, he said, taking as an example its independently developed LTE broadband digital trunked radio system that was successfully applied on Beijing's Yanfang metro line in 2017.

Hebei Shenyue Soft, a high-tech internet enterprise in Luquan, is another example of how private sector companies are benefiting from regional coordinated development.

The company has benefitted from preferential policies and the promising future of regional coordination, and has relocated its headquarters from Beijing to Shijiazhuang. As a result, it has grown from a company with a dozen employees to over 1,500 with 13 branches in China, said Luo Jun, head of the Hebei Shenyue Soft's human resources department.

"With the improving transportation network in the region, it's easier to commute between Beijing and Shijiazhuang," said Luo, who travels back to Beijing from Hebei with his family every weekend.