Toast of Business Savants

An American family flying a kite in Linyi People's Square.

SUNZI'S brilliant work on military strategy, The Art of War, is generally considered a classic, most particularly within the world of commerce. Linyi in Shandong Province, where the Han Dynasty bamboo slips inscribed with Sunzi's Art of War were unearthed, has become the toast of business pundits in and outside China.

Linyi is a sub-coastal city near the dividing line between China's north and south. Since saturation of investment space in coastal cities occurred, sub-coastal cities such as Linyi are becoming more and more attractive to investors. In 2003, Linyi established the Linyi Economic Development Zone with the approval of the Shandong Provincial People's Government, with the aim of providing a better investment environment. After taking a thorough look around Linyi and weighing up its investment environment, one continental businessman remarked, "In the past I knew nothing about Linyi, but it now seems a land of opportunity for investors."

Resource and Cost Advantages

China's coastal cities are not generally noted for rich resources, particularly energy. In recent years power shortages have made power cuts in certain coastal cities unavoidable. Their economic development has consequently been restricted. There is no such problem in sub-coastal cities like Linyi.

Linyi's power industry is developing rapidly. A high-voltage, high-capacity and high-parameter modern power grid guarantees a constant power supply for production and residential needs. Coal to generate electricity is supplied locally and from Shanxi Province. Linyi's energy supply is sure and constant.

Located on the vast Lunan Plain, Linyi does not face the ocean, so development of its ample land resources is not limited by coastline. Land development spurs the overall development of the city, and is encouraged by the local government, in line with state policies.

A riverine city, Linyi's closeness to the dividing line between China's north and south means that warm and humid air currents from the south often meet cold air currents from the north, bringing plentiful rainfall. Linyi is built on the Yi River, on the upper reaches of which a rubber dam forms a lake. This ensures ample water supply for the city's production and daily life needs.

Linyi has a work force of seven million and a good standard of education. This ensures abundant high quality blue- and white-collar human resources.

Rich resources such as these guarantee the reliable operation of production and daily life infrastructure, and also cut investment costs.

Transportation and Marketing

Linyi has close coastal connections and makes effective use of coastal advantages. It is less than 100 kilometers from Rizhao Harbor, Lanshan Harbor and Lianyungang Harbor, and only 200 kilometers from Qingdao Harbor and is the largest inland port in the economic circle at the juncture of the Yellow Sea and the East China Sea.

Located at the mid-point between Beijing and Shanghai, Linyi has developed communications and convenient access to various big cities. It has long been a point on the Beijing-Guangzhou National Highway and the Beijing-Shanghai Railway, and in recent years more transport arteries, such as the Beijing-Shanghai Expressway and coastal railways, have been built, making Linyi a transportation hub. The city operates over a dozen air routes to Beijing, Shanghai, Guangzhou, Xiamen, Ningbo, Harbin and Qingdao. It is shortly to start international flights to the Republic of Korea and Japan.

The Linyi Economic Development Zone.

Developed communications facilities promote development of commerce and trade, and Linyi has a vast market for products.

Culture and Tourism

Linyi has a long history; it was one of the main places of origin of the Chinese nation. It was at the foot of Yinque Mountain in Linyi City that Han Dynasty bamboo slips inscribed with The Art of War by Sunzi and The Art of War by Sun Bin and a Han Dynasty painting on silk were unearthed. Linyi has produced numerous impressive personages. They include Xunzi, a great thinker and educator of the Warring States Period, Liu Hong, an Eastern Han Dynasty astronomer and inventor of the abacus, Zhuge Liang, a statesman and military strategist of the Three Kingdoms Period, Wang Xizhi, a calligrapher and writer of the Eastern Jin Dynasty, Yan Zhenqing and Yan Gaoqing, both calligraphers of the Tang Dynasty.

Linyi is for many an emotive place as it was a main battlefield during World War Two. Thousands sacrificed their lives to defend this piece of land. It was here that Hans Shippe, Polish-born writer and reporter from Germany, became the first Jewish volunteer to fall in battle on Chinese soil during the war against Japanese aggression.

Linyi is rich in tourism resources. Investors in the Linyi Economic Development Zone who reside in its downtown area pass by the delightful area around Yi River Bridge every day. Within Linyi are several national forest parks, such as Mengshan National Forest Park and Menglianggu National Forest Park. Other attractions include the former residence of Zhuge Liang, the former residence of Wang Xizhi, and Yinque Mountain Han Bamboo Slips Museum. Living in Linyi means chalking up profits during the week and spending relaxed colorful weekends.

Planning and Construction of the Development Zone

The Linyi Economic Development Zone is located on the banks of the Yi River, and covers 120 square kilometers. The zone's flat land is crisscrossed with rivers, and has an excellent ecological environment. It has complete facilities for production, administrative work and daily life.

The development zone carries out national and provincial policies and has support from the Linyi City government. It contains a land port, bonded area, and customs, import and export inspection and quarantine organs, all of which operate in accordance with international norms.

At present, more than 300 investors from Europe, the United States, the Republic of Korea and Japan, as well as Hong Kong SAR, Macao SAR and Taiwan have signed investment agreements with the local government, at a total contracted value of 35 billion yuan. More than 10 billion yuan of this is already in place.