Integration needs more than relocation of enterprises

The integrated development of Beijing, Tianjin and Hebei is by no means a simple moving of polluting enterprises out of Beijing, but a more balanced distribution of production factors, says an article in China Business News. Excerpts:

It has been reported that the first group of enterprises to be moved out of Beijing consists of 207 companies in the chemical, construction material and casting industries, and the neighboring Tianjin and Hebei governments are selecting the enterprises they would like to receive.

Because most of the enterprises consume huge amounts of energy, cause serious pollution and yield limited revenue, none has yet found their final fate.

After the central authority recognized the importance and necessity of Beijing-Tianjin-Hebei integrated development, all three places and even neighboring provinces are eager to strive for their own benefit.

Beijing wants to ease its population pressure and get rid of polluting industries. Tianjin looks forward to becoming a logistics center and attracting more research and development resources from Beijing. Hebei is eager to take the opportunity to boost its economic growth, without further contaminating its smoggy air.

Integrated development does not mean Beijing is superior to the other two locations. Moving polluting factories to neighboring areas cannot reduce the pollution of Beijing effectively, as the haze affecting all of North China shows.

All three places are on an equal footing in the cooperation. Regional integrated development is not only to solve Beijing’s problems, but also to improve Hebei and Tianjin’s industrial structures and technological level.

Tianjin and Hebei should also have the right to tell Beijing what kinds of industries they need, for the reference of entrepreneurs and the government in Beijing.

The enterprises to move from Beijing should also not regard Hebei and Tianjin as places where they can enjoy preferential policies on land, tax and discharging pollutants.