Trade & Investment

Total industrial output of Tong'an district hits RMB22b in H1

Updated: 2014-09-18
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Tong'an has made remarkable progress in industrial upgrading and brand building in recent years
Relying on high-quality investment, high technology and high value-added industries, Tong'an, the largest district in Xiamen, a city in coastal Fujian province, has made remarkable progress in industrial upgrading and brand building in recent years.

The Tong'an district government is also making great efforts to develop high-end, green and high value-added industries, while encouraging enterprises in traditional industries to upgrade.

The aim is to make the district both prosperous and beautiful.

In the first half of this year, the total industrial output of 290 major companies in Tong'an reached 22 billion yuan ($3.58 billion), an increase of 14.8 percent over last year.

Among them, the output of the 45 largest reached 14.4 billion yuan, with the output of all of them exceeding 100 million yuan.

The four leading industries in the district, including food and pharmaceuticals, and machinery manufacturing, have performed well in the first half of the year.

For instance, the output of the food and drug companies in the district reached 7.8 billion yuan, an increase of 10.4 percent over last year, and the output of machinery manufacturing reached 2.4 billion yuan, an increase of 14.4 percent.
Tech breakthrough
Tong'an district government has made development of high-end and green industries a priority in recent years.

According to the district's commerce bureau, a signing ceremony introducing new energy automobile technology will be held between Fugong Co in Tong'an and several overseas companies including Aradex in Germany during the 18th China International Fair for Investment and Trade, to be held in Xiamen between Sept 8 and 11.

A China-Europe forum on technological innovation for new energy automobiles is also being held on Sept 9.

The forum, a major part of the China International Fair for Investment and Trade, will focus on the development of new energy vehicles and the participating parties will conduct intensive discussions on how to break the technological restraints on the industry.

This will be the first time an enterprise from Tong'an district plays a leading role in the national fair, according to the district's commerce bureau.

As a company focusing on the development of drive systems for new energy vehicles, Fugong Co has won many national and provincial awards for its technological innovations in recent years. 

A technician checks products at Fugong Co, a local manufacturer of drive systems for new energy vehicles.
It has been recognized by the China Urban Public Transport Association as a model company in adopting new energy technologies.

The company's domestic market share has exceeded 13 percent in the past two years, and it ranks No 2 in the industry in China.

The favorable business environment in Tong'an has also attracted many other high-tech companies.

Lotcomm, a US-invested company which focuses on the research and development of telecommunications, intelligent control technology and technology for the Internet of Things, has made Tong'an the location for its regional headquarters.

The company owns more than 90 patents and more than 20 software property rights, and its products are praised worldwide.

As the top supplier of intelligent control systems for outdoor lighting, the company's products can be found in more than 20 countries, including the United States, Germany, Egypt, Saudi Arabia and Turkey.
Pillar industries

In recent years the food industry in Tong'an has witnessed rapid development and has become one of the district's pillar industries.

The district is now home to 56 major food processing companies, which account for 36 percent of the district's total industrial output.

Two companies in the district are recognized as national famous brands, and 16 as provincial ones.

The efforts of the local government and enterprises to upgrade traditional industries and improve their products are the foundations for the district's achievements.

For example, a starch sugar project, which is an investment by Guangzhou Shuangqiao Company, one of the largest starch sugar producing companies in China, is expected to have an annual output of 500,000 metric tons of starch sugar, a healthier substitute for cane sugar, after it begins operations, which will cover 80 percent of the high-end market in Fujian province. 

Workers at the construction site of a new plant for Guangzhou Shuangqiao Company, a leading Chinese starch sugar producer.
Anderson, a leading domestic bakery company, is also building a new factory in Tong'an, encouraged by the district government's efforts in streamlining business approval procedures and improving services.

"We got the construction permit in February and the project can be finished before the end of October," said Wang Tianhua, deputy CEO of the project, attributing it to the favorable policies and smooth coordination provided by the local government.

Attracting global firms

To further improve the investment environment and speed up construction of key projects, the Tong'an government has priority measures for investment approvals. This has benefited a number of projects, including the Shuangqiao starch sugar project and Anderson' s new factory project.

The number of global companies has also grown rapidly in Tong'an over the past few years.

One company that has put down roots is Ecco, which has been in the district for 10 years. 

Ecco workers make shoes at an assembly line in Tong'an. The US-based company has four production lines in the district.
A global leader in shoe manufacturing, Ecco has four manufacturing lines in Tong'an that are expected to produce 3.74 million pairs of shoes this year, up from 2.86 million last year, almost eight times as many as when it started to operate in Tong'an in 2005. More production lines are planned in the future.

Aiming to make "the world's most comfortable shoes", the company has 4,000 employees in its factories in the district, and 76 percent are Tong'an natives. 
China Daily
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