《Tianjin Economic-Technological Development Area’s
Master Plan on Electronic Information Industry》
(General Outline)
Foreword
Entering the new century, the electronic information industry is in the ascendant within the
scope of the whole globe; the scientific and technological development in the developed countries
and the speed of industrialization of their achievements are accelerated with each passing day; in
the forthcoming ten years, it will remain as the major dynamic force in the world economic
development. China’s electronic information industry is developing rapidly. At present, the three
major electronic information products manufacturing bases of the Pearl River Delta, the Yangtze
River Delta and the Circum-Bohai Sea Region have already taken shape. At the present situation,
the domestic electronic information industrial development basically relies on both introduction
from abroad and self innovation, like a man walking on two legs. However, the foreign-oriented
economic areas obviously pay more attention to the former. Especially with the tendency that
China is likely to be the world center of manufacturing industries, this opportunity can not be lost.
The electronic information industry of Tianjin Economic-Technological Development Area
(TEDA), on one hand, wants to pull forward the development of Tianjin, while being pushed and
extruded by Beijing, which is situated in the same Circum-Bohai Sea Region; on the other hand,
as the manufacturing base in the Circum-Bohai Sea Region, it faces the competition of the two
major bases of the Pearl River Delta and the Yangtze River Delta. Since China’s entry into WTO,
the competition has become still more white-heated.
Confronted with the fierce competition, TEDA must adjust her development strategies. As the
electronic information industry in a region, it is impossible to launch a whole frontal attack. One
should be practical and realistic and act according to his capabilities. Choices must be made as to
what to do and what not to do. Anyhow, one can not be short sighted and fails to see the general
tendency of development in the future. Therefore, TEDA set forth this Plan. The Plan is divided
into the near-future program and the long term program. The near-future spans from 2002〜2005
while the long term goes from 2006〜2010. The contents of the Plan focus on the seven major
development sectors of wireless communications, displays, basic components and parts, optical
communications (devices), integrated circuits, automotive electronic and software.
This Plan is based on the Tenth Five-Year Plan of China’s Information Industry, the specific
plans of various sectors and the Tenth Five-Year Plan of Tianjin Electronic Information Industry,
takes development as its theme, lays stress on attracting investment and uses scientific and
technological innovation and structural innovation as its driving power so as to enhance TEDA’s
core competitiveness constantly and in an all-round way and realize an overall, sustained and
speedy development of TEDA.
The general concepts of this Plan are: it is imperative to consolidate the existing pillar
industries, to cultivate new guiding industries and go forward along with the rising sun
industries of strategic importance so as to retain the powerful development momentum in
front of the new situation; it is imperative to adhere to the principle of standing under the
current circumstances, designing for the future, solving problems and seeking development,
a principle of combining the future development planning and the workable measures to
start with; the principle of doing well the inner work, employing fully the outside force,
developing together the whole-set products manufacturing industry and the parts and
auxiliaries manufacturing industries which are to complement the production of whole-set
products as well as the hard supporting industry and the soft supporting industry, a
principle of making full use all the resources available; and the principle of giving display to
the strong points and avoiding the weak points, comparing the advantages and taking in
advance the advantageous position, a principle of collecting and gathering all the advantages
so as to develop with a high starting position and a potential energy. Based on the scientific
analyses and relying on her industrial advantages, TEDA is oriented as a “world class
manufacturing base of high end information products”.
The Project Team of TEDA’s Master plan on Electronic Information Industry
26th August, 2002
Contents
Chapter One A Global Vision: the Status Quo of the Electronic Information Industry and Its
Development Tendency
One The Status Quo of the Global Electronic Information Industry and Its Development
Tendency in the Future
1. The Status Quo of the Global Electronic Information Industry
2. The Tendency of OEM Outsourcing
3. The Trend of EMS Businessmen’s Investment in China
Two The Status Quo of China’s Electronic Information Industry and Analyses on the Impacts of
China’s Entry to
WTO
1.
General Survey on the Whole Industry
2. The Impacts of China’s Entry to WTO on Her Electronic Information Industry
3. The Movements of China’s Major Electronic Information Industry after Her Entry to WTO
Three The Position of Tianjin’s Electronic Information Industry in the Country
1.
Major Products in the Lead in the National Ranking
2.
Ten Enterprises of Tianjin and TEDA in the Top One Hundred Foreign-funded
Enterprises
Chapter Two The Status Quo of TEDA’s Electronic Information Industry
One The Manufacturing Base of High End Information Products Retaining a High Growth
Rate in China
Two
The Return on Investment Maintaining the First Place in the Country
Three Improved Industrial Supply Environment for Electronic Industry
Chapter Three The Strategic Position, Development Strategy and Goal of TEDA’s Electronic
Information Industry
One Strategic Orientation: Building A “World Class Manufacturing Base of High End
Information Products”
Two Development Strategy: One Foundation, Two Flagship Sectors, Three Growth Points and
Four Major Bases
1. One Foundation: Electronic Components and Devices Manufacturing Industry
2. Two Flagship Sectors: Wireless Communication and Display Manufactures
3. Three Growth Points: Optical-communication, Automotive Electronics and Software
4.
Four Major Bases: Mobile Phones, Displays, Electronic Components & Devices and
Automotive Electronics
Three Development Goal
1. The Development Goal for 2005: Sales Income Exceeding 126 Billion Yuan
2. The Development Goal for 2010: Sales Income Exceeding 280 Billion Yuan
Chapter Four The Major Development Sectors of TEDA’s Electronic Information Industry
One Appraisal and Selection of Major Development Sectors
Two Major Development Sectors
1. Wireless Communications
2. Displays
3. Basic Components and Devises
4. Integrated Circuits
5. Automotive Electronics
6. Optical Communications
7. Software
Chapter
Five
Major Points on Implementation of Tianjin Economic-Technological
Development Area Master Plan on Electronic Information Industry
One Earnestly Transforming the Governmental Functions, Improving the Working Style of the
Administrative Departments and Building An Excellent Investment Soft Environment
Two Implementing the Strategy of Prospering TEDA with Science and Education and
Constructing A New System of Technical Innovation
Three Establishing Investment and Financing Structure with Multi- Investors, Multi-Levels and
Multi-Channels and Ensuring the Input of Funds
Four Building Supporting Industrial Bases and Creating the Best Chains of Supplies to the
Electronic Information Industry of the Country
Five Strengthening the Development of Human Resources and Ensuring the Supply of Talents
Chapter Six
Addenda
Addendum 1: IT industrials among the top 5oo ranked by U.S magazine “Fortune” that have
invested in TEDA
Addendum 2: TEDA policies on industrial promotion
Addendum 3: The Provisions of Tianjin Economic-Technological Development Area on
Encouraging Development of New and High Technology Industries
Addendum 4: The Interim Provisions of Tianjin Economic-Technological Development Area on
Encouraging Investment and Development of Manufacturing Industries
TABLES:
Table 1 Production Scales of Electronic Information Industry of Major Countries and
Regions in the Globe for 2000—2001
Table 2 Top Ten Global Manufacturers of Information Products
Table 2 World Production and Sales of Major Electronic Information Products
Table 3 Outsourcing Status of the Global Major OEM
Table 4 Market Prospect for Global EMS Industry
Table 5 Global Major EMS Production Location in China for 2001
Table 6 Major Products & Their Outputs in Tianjin’s Electronic Information Industry
Ranking in China（2001）
Table 7 Distribution of Top One Hundred Foreign–Funded Enterprises in the Electronic
Information Industry of China for 2000
Table 8 Position of TEDA Major Electronic Sectors in the Country for 2001
Table 9 Proportion of the electronic information industry in the total industrial output of
TEDA
Table 10 Contribution rate of the electronic information industry in the industrial growth of
TEDA
Table 11 Comparison of Major Economic Indicators of the electronic information industry
between TEDA and Other Key Provinces and Municipalities
Table 12 3 Prospective targets of the development of TEDA’s electronic information
industry for 2005
Table 14 Prospective targets of the development of TEDA’s electronic information
industry for 2010
Table 13 5 Norms to determine key industries and corresponding criterion and indicators
Table 16 Lists of IT Enterprises of TEDA with Investment of Top 500 Ranked by US “ Fortune”
for 2001
Chapter One A Global Vision: the Status Quo of the Electronic Information Industry and Its
Development Tendency
One The Status Quo of the Global Electronic Information Industry and Its Development
Tendency in the Future
The popularization of computers and the exploding expansion of internet application have
brought about the growth of relevant equipment such as communication equipment and computer
hardware. The global production of computers and communication products shall be the pillar of
the whole industry. The growth of electronic equipment brings the further development of
components and devices; in the near-future, the industry of components and devices will retain a
stable growth. Along with the development of digital products, new products will come forth
constantly and consumers will demand even new products. The production of consumptive
electronic products appears to shrink but their added value tends to grow. The global division of
work presents the features of shifting from the developed countries to the developing countries.
1. The Status Quo of the Global Electronic Information Industry
The electronics and information industry is the focus of the international scientific,
technological and economic competitions. It plays a role of holding the balance in the economic
development and adjustment of industrial structure of various countries. At present, 65 % of the
world GNP is related with the micro-electronic technology.
The world electronic information industry in 2000, on the whole, continued to have a stable
growth. According to the incomplete data of “ Yearbook of World Electronics Data 2001”, among
the global 32 countries and regions (not including China’s mainland but including China’s Hong
Kong and Taiwan province), the production output of electronic information products for 2000
reached 1,197.3 billion USD, a rise of 12.3 % over the previous year; the output for 2001 was
estimated to be 1,281.9 billion USD, with an annual growth rate of 7.1%.
Table 14 Production Scales of Electronic Information Industry of Major Countries and
Regions
in the Globe for 2000—2001 （Unit：one hundred million USD）
2000
Country
2001
Output
Proportion
Output
Proportion
USA
3821
31.9%
3985
31.0%
Japan
2504
20.9%
2676
20.0%
3085
25.7%
3456
27.0%
Western
Europe
2562
21.5%
2701
21.0%
Total
11973
100.0%
12819
100.0%
Asia
Pacific
Regions*
and
Notes：*Not including USA and Japan；estimates for 2001.
Sources:：《Yearbook Of World Electronics Data 2001》
In the global market of information products, the United States and Japan are in the dominating
position. The movement of their information industry has a deep-going impact on the whole globe;
however, the Asian countries’ growth is strong. The production of the United States and Japan
constitutes about half of the global production. And the production of the Western Europe makes
up 21.5 %, with their sales accounting for 26.4 %. The production of other countries and regions
in Asia and the Pacific Region, with exception of the United States and Japan, constitutes 25.7 %,
with their sales accounting for 27 %. Their production output for 2000 was 250.3 billion USD, a
rise of 10.3 % over the previous year; the output for 2001 was estimated to have a growth of
6.8 %.
Despite the severe hit suffered in the financial crisis, the speed for the Asian electronic
information industry to walk out of its shadow was quicker than estimated. The electronic
information products manufacturing industry develops rapidly. One may see from the following
table: among the ten major electronic information industrial countries and regions, six are in Asia,
and the countries with a double-digit rate of growth are in Asia too. The market share of Asia, with
the exception of Japan and China’s mainland, for electronic products for 2000 was 117.6 billion
USD; and 126.8 billion USD for 2001, with an increase of 7.8 %, while the Republic of Korea and
China’ Taiwan were in the first two places. The market share of Asia for electronic products for
2002 will reach 134.2 billion USD with an increase of 6 %. If Japan is not included, the export of
Asian electronic information products would exceed the import. Singapore, the Republic of Korea,
China’ Taiwan and Malaysia are important Asian exporters; they take important positions too in
the world market of electronic information products. The major export products are electronic
components and devices as well as computers.
Table 2 Top Ten Global Manufacturers of Information Products
（Unit：one hundred million USD）
Rank
Countries
Regions
1
and
2000
2001
Growth
USA
3,821
3,985
4.2%
2
Japan
2,503
2,675
6.8%
3
China*
817
—
—
4
R.O .Korea
673
739
9.8%
5
Germany
548
576
5.1%
6
U.K.
514
542
5.4%
7
Singapore
508
587
15.5%
8
Malaysia
493
580
17.6%
9
China’s Taiwan
467
511
9.4%
10
France
388
403
3.8%
Notes：·China’s gross output of electronic industry calculated at the current prices。
Sources：2001Yearbook of China’s Electronic Industry.
In 2000, in the world production of electronic information products, the proportion of the
investment sort, the consumptive sort and the components and devices was 63.6 : 5.6 : 30.9. The
development tendency of the global information industry is the constant increase of the proportion
of the investment sort, the gradual fall of the proportion of the maturing consumptive products and
the stable proportion in the production of components and devices. The following table shows that
among the production of electronic products of various sorts for 2001, the annual growth rate of
the production of components and devices was the highest, reaching double-digit figure; the next
was that of wireless telecommunication and radar products; those two sorts of products grew at a
rate exceeding 7 % while the annual growth rates for other sorts of products were below 6 %.
Table 15 World Production and Sales of Major Electronic Information Products
（Unit：one hundred million USD）
2000
2001
produ
ction
Sales
Produc
tion
Growth
sales
Growth
Computer
3,348
3,482
3,517
5.0%
3,638
4.5%
Office
equipment
154
154
151
-1.7%
153
-0.5%
Control
&
instruments
843
784
869
3.2%
806
2.9%
Medical
&
Industrial
393
365
408
3.7%
382
4.6%
Wireless
communicatio
n & radar
1,666
1,464
1,789
8.6%
1,546
5.7%
Telecommunic
ation
1,207
1,098
1255
4.0%
1,118
1.8%
Consumptive
Electronics
669
821
708
5.9%
857
4.4%
Electronic
Components &
Devices
3,692
3,244
4,120
11.6%
3,563
9.8%
Total
11,97
3
11,412
12,819
7.0%
12,066
5.7%
Investm
ent sort
Sources：The same as Table1.
2. The Tendency of OEM Outsourcing
Along with the rapid advance of scientific and technological innovation, the rising of the ever
changing demand of customers and the shortening of the products’ life circle, the global electronic
information industry is confronted with an increasingly fierce market competition. In order to
make their products come into the market as soon as possible and take more market shares and at
the same time to reduce the productive costs as they can. OEM (Original Equipment
Manufacturers) in the electronic information industry raise their outsourcing proportions one after
another, and carry out a still more closer strategic cooperation with EMS (Electronic
Manufacturing Service).
According to a survey on outsourcing business published by the US Wall Street in early 2001,
through investigation on 200 major original equipment manufacturers in the industrial sectors such
as computer and peripheral equipment, electronic communication, industrial purpose and
instrument manufacture, medical equipment, aviation and aerospace, consumptive electronics and
industrial automation as well as 240 industry experts and specialists, they came to the conclusion
that the specific features of the current global outsourcing and professional outside processing
were as follows:
---- 77 % of the major original equipment manufacturers plan to place large outsourcing orders in
the years to come; the proportion of this kind of orders to the sales is estimated to rise from 30 %
for 1998 to 54 % for 2002 (while a rise from 36 % to 63 % for the electronic communication
industry);
---- With the fierce competition in the global market, the Japanese major original equipment
manufacturers who used to produce mainly by themselves and have a share of one third in the
global production of electronic products, are seeking the strategic cooperation with major EMS
suppliers; their outsourcing proportion would rise to 11 % for 2002 from 6 % for 1998;
----56 % of the major original equipment manufacturers plan to sell part of their factories and cut
down the size of their employees in the forthcoming one or two years, which would facilitate the
major EMS suppliers with great strength to expand the gap with their rivals by way of continuos
merger and acquisition;
----With respect to the mode of outsourcing, the proportion of Full System Assembly would
advance from 19 % for 2000 to 30 % for 2002, while that of Direct Order Fulfillment would go up
from 11 % to 24 % (a rise from 12 % to 34 % for the electronic communication industry);
---- The criterion for the major original equipment manufacturers to choose their cooperative
partners has obviously changed: before 2000, they preferred the local EMS for cooperation, only
38 % of them cooperated with the EMS that provided the global manufacturing and service work;
however, starting from the year of 2000 on, OEM started to require the EMS that cooperated with
them to have the capabilities of the global manufacture, delivery and allocation; the outsourcing
proportion in the global manufacture and service would rise from 50 % for 2000 to 56 % for 2002.
Table 16 Outsourcing Status of the Global Major OEM
OEM
Outsourcing item
Outsourcing
proportion
Ericsson
Mobile phone manufacture
100%（outside of China）
Motorola
Mobile phone & semiconductor
manufacture
40% for mobile phone,38% for
semiconductor
Nokia
Mobile
phone
&
network
equipment manufacture
20% for mobile phone,60% for
network equipment
Philips
Mobile phone manufacture & R&D
100%
Lucent
Technologies
Communication
manufacture
equipment
45% of the sales
Cisco
Products
assemble
&
Kodak
Digital camera manufacture
100%
Compaq
High grade server manufacture
90%
Hewlett
Packard
Printer, computer and low grade
server manufacture
100%
assemble
parts
100% for parts assemble,42%
for products assemble
Sources：http://www.ebnchina.com/， http://www.ebnchina.com/
http://www.chinabyte.com/，http://news.sohu.com/
Table 17 Market Prospect for Global EMS Industry
（Unit：one hundred million USD）
2001
2002（estimated）
2006（estimated）
Industry
Revenue
Growth
Industry
Revenue
Growth
Industry
Revenue
Growth
950
-5%
960
1%
1880
18.3%
Sources：based on the relevant data from 《World Electronic Components & Devices》,
Issue 7, 2002.
3. The Trend of EMS Businessmen’s Investment in China
When more and more giant OEMs in the electronic information industry are focusing their
operation on China, the global major EMS also raise an upsurge to vie for China’s market (as the
following table shows); therefore, China takes still longer strides toward the largest manufacturing
base of the electronic information industry in the world. This is because that on one hand, EMS
must be closer to their customers so as to get professional service orders, and on the other hand,
the environment for purchasing components and devices in China is greatly improved than before;
and even there are certain price advantages compared with other regions.
Table 18 Global Major EMS Production Location in China for 2001
Rank
EMS
Major Production Base
1
Solectron
Suzhou, Shanghai, Shenzhen
2
Flextronics
Zhuhai, Shenzhen, Shanghai
3
Sanmina SCI
Dongguan, Kunshan,Qingdao
4
Celestica
Dongguan, Suzhou
5
Jabil Circuit
Danshui,Panyu
6
Hon Hai Precision
Beijing,Shenzhen, Suzhou
7
Elcoteq Network
Dongguan, Beijing,
8
Viasystems
Beijing,
Guangzhou,
Nantong,Shanghai, Zhongshan
9
Venture
Shanghai
10
Pemstar
Tianjin
11
Kimball
Dongguan, Kunshan
12
Nam Tai
Shenzhen
13
Delta
Dongguan, Wujiang
Sources：http://www.ebnchina.com/，http://ctnews.yam.com.tw
At present, the global top five EMSs: Solectron, Flextronics, Sanmina SCI, Celestica, Jabil
Circuit all have entered China, and their business growth rate in China is obviously higher than in
other regions of the globe. At present China’s tariff and non-tariff barriers hinder their
development to a certain extent, however, these major EMSs generally think China a good market.
Two The Status Quo of China’s Electronic Information Industry and Analyses on the Impacts of
China’s Entry to
WTO
1.
General Survey on the Whole Industry
In the past ten years, China’s information industry grew rapidly at an average annual rate three
times that of GDP growth rate of China; China has become one of the ten large information
industrial countries in the world. In 2001, the world economy turned down and China’s export
slowed down, however, China’s information industry continued to have a healthy and rapid
development and it became an important impetus to push the national economy to grow. It realized
a sales income of 823.7 billion yuan in the year, grew by 20 % and took the lead among all
industrial sectors. Its realized profits reached 48.9 billion yuan, an increase of 4.9 %; the average
profits per capita was 27 thousand yuan, ten times the national average profits industrial per capita.
The export of electronic products in the year amounted to 65 billion USD, a rise of 17.9 % and
11.1 percentage point higher than the national export growth. It accounted for 24.4 % of the
national foreign export and realized a trade surplus of 5.95 billion USD, accounting for 26.4 % of
the national total of foreign trade surplus, a record high in history.
While China develops to be the global manufacturing base of the electronic products, the
global electronic manufacturers also think that the market of semiconductor, other electronic
components and parts in the mainland of China looks to further increase. In 2001, the electronic
products market of China amounted to 157.4 billion USD, an increase of 30 % over the year of
2000. And the products of the investment sort were the main, with a market share of 50 %, while
the consumption electronic sort was 30 %, and 20 % for the basic sort. In 2002, China would
become a market of electronic products with the investment sort as the main. It is estimated that in
2003, the total amount of the electronic sector market of China’s mainland will constitute 8.6 % of
the total sales of the world, and the mainland of China tends to be the second largest
semiconductor market in the world only next to the United States by 2010.
In 2001, the foreign-funded enterprises in the electronic industry played a further stronger
pulling role in the development of the electronic information industry, their production growth rate
reached 37.3 %, 11 percentage point higher than the average of the total industry; their completed
sales of products reached 465.7 billion yuan, a comparable rise of 19.6 %; their total profits
realized amounted to 26.35 billion yuan, a comparable fall of 3.4 %; and their completed industrial
increment reached 79.9 billion yuan, a comparable rise of 19.4 %. Their sales income, total profits
and tax and industrial increment were respectively 56. 5 %, 48.9 % and 45 % of the totals of the
whole industry; their rates of contribution to the corresponding indicators of the industry were
respectively 56.2 %, 16.2 % and 53.7 %; they were in the lead among enterprises of various
economic types.
2. The Impacts of China’s Entry to WTO on Her Electronic Information Industry
The year of 2002 is the first year after China’ entry into WTO. For the information industry, on
one side, her entry into WTO would facilitate the introduction of advanced technology and
management from abroad and direct financing, on the other side, as gaps exist between our
management mode and the international management mode, once the telecommunication market
is opened, whether we could retain our share in the market would depend on our efforts.
Opportunity One: ACCELERATING THE DEVELOPMENT OF CHINA INTO THE GLOBAL OEM
BASE In the situation that the growth of the global electronic information industry is slowing
down, the global large IT companies are accelerating their shift of production into China so as to
further enhance their products and market competitiveness. China is gradually growing into a
global OEM base. According to the experts’ estimates, after China’s access to WTO, one third of
the global OEM business would shift to China; by the year of 2005, the inland of China would
obtain business amounting to 1,000-3,000 billion USD from the global
OEM
market;
therefore, it would create more opportunities for the domestic electronic market to develop.
Opportunity Two:
FACILITATING THE DEEPER COOPERATION ON THE ADVANCED
TECHNOLOGY ABROAD Because of the immense attraction of China’s market and in order to
seek their development in China’s market, oversea manufacturers would change their former
gestures in the exchange and cooperation with China’s domestic enterprises, that would help the
domestic enterprises to gain initiative and advantage and obtain progresses in the core technology
cooperation.
Impact One: Subject to the impact, would be the products which were long under the
protection of tariff and license administration such as displays, video tape recorders, colored TV
tubes; the products which are week in technological innovation and lack of autonomous
intellectual property such as integrated circuits, software, network products; and the industries
which are in the starting or growing stages such as digitized products, telecommunication products
and new type components and parts.
Impact Two: The global purchase of components and parts would end the mission of “using
the domestically produced”, increase the import of low price products and it will be more difficult
for the domestic enterprises to operate.
Impact Three: The custom tariff is abolished and the import will grow, which will bring about
deficits in the trade in the short term ( as the export of electronic products by China is mainly in
the mode of processing with imported materials or with materials supplied, the surplus in the trade
of the electronic information products for 2000 was only 1.2 billion USD).
3. The Movements of China’s Major Electronic Information Industry after Her Entry to WTO
Communication products: as China opened her communication equipment market to foreign
businessmen early in 1990s of the 20th century, the most of the world top ten communication
equipment manufacturers have already entered China. They have had their production localized
and enjoyed the “national treatment” or even “super national treatment”. And the domestic
communication equipment manufacturing enterprises in China have gained development through
mutual competition with foreign manufacturers, made a breakthrough for the whole group and
started to enter into the world market. Therefore, the impact of her entry into WTO on the
communication industry would focus on the communication operation business; it is a favorable
news to her communication equipment manufacturing business and it would facilitate the growth
of her domestic enterprises.
Optical communication equipment: After entry into WTO, the strengths of the domestic
optical communication equipment manufacturers in China will be further enhanced. Its expression
is that following the going down of the custom tariff, the costs of the imported parts to be
needed by the domestic optical communication equipment manufacturers will go down too; at the
same time, the domestic manufacturers who are already competitive in the world market may
enjoy the favorable treatment for over 130 WTO member countries, effectively avoid the sanction
with antidumping law of other countries and therefore, acquire a wider space to develop. After
access to WTO, it would be impossible for other WTO members to restrict, under various
non-economic excuses, the transfer of advanced technology to China and therefore, it provides an
even better environment than before to the domestic optical communication equipment
manufacturers to introduce advanced technology from abroad. And the technical gap between the
domestic optical communication equipment manufacturers and their international counterparts
would be narrowed.
Displays: After entry into WTO, the manufacturing advantage of the domestic- made display
industry would be brought into full play. When the tariff barrier is broken, the production costs of
the domestic- made displays would be further reduced. By 2005, China will become the world
largest production base of displays.
Integrated circuits: First of all, the entry into WTO would provide a fine market environment
to China’s integrated circuit industry to develop. Secondly, it would facilitate China to import high
grade technology and products. Lastly, patent protection would facilitate China’s integrated circuit
industry to raise their technical level in the long run. However, coming challenges and difficulties
are also inevitable:
Electronic components and devices: After participation in ITA, it would facilitate the
traditional fine products such as micro and special motors, electroacoustical devices and printed
circuits to participate the international competition; however, with respect to the new types of
components and parts such as the film components, the introduction of production lines will
continuously be the main way. Thus, in a long time to run, the main export will be low grade
products and the main import will be medium and high grade products.
Software: After participating ITA, the production and export of China’s software industry are
undoubtedly quickened. China’s software industry will improve the traditional software
development and management ways and raise its own capabilities of software research and
development. And it will facilitate the internal and external cooperation in the software industry.
Three The Position of Tianjin’s Electronic Information Industry in the Country
In 2000, the gross product of the electronic information industry of Tianjin reached 65.45
billion yuan (ranked as the fourth among the provinces and municipalities in the country), an
increase of 32.6 % over the previous year; its average annual growth rate during the period of the
Ninth Five-Year Plan exceeded 30 % and its profit rate exceeded 10 % for several years in
succession, and took the first place in China. Tianjin becomes the region with high investment
return and fast growth of the electronic information industry in China.
In Tianjin, six manufacturing bases of electronic information products with comparably
distinct special features and relatively concentrated production have taken shape. They are the
information industry with micro and small computers, displays and network products as the core;
the communication industry with digit program controlled exchanges, optoelectronic terminals,
fax machines, mobile phones and navigation equipment as the main; the electronic components
and parts industry with the chip components, glass shell and colored TV tubes, display tubes,
electronic tuning units, magnet heads in video-tape recorders and speakers as the core; the
instruments and meters industry with automation instruments and electronic meters as the key
products; and the office automation industry with duplicating machines, drawing machines and
image equipment as the key products.
1.
Major Products in the Lead in the National Ranking
According to the statistics of the Ministry of Information Industry of China concerning the
production of electronic information products in various regions of the country, in 2001, there
were 14 broad categories in the investment sort of end products made in China. Four products
made in Tianjin were ranked as in the first three places. They were the mobile phone in the third
place, fax machine in the third place, communication and navigation equipment in the third place
and the medium and small sized transmitter and receiver in the third place.
There were 6 broad categories in the consumptive sort of end products made in China. Two
products made in Tianjin were ranked as in the first three places. They were video tape recorder
and player in the first place and the radio receiver and cassette recorder & player in the third place.
There were 22 broad categories in the basic components and parts products made in China.
Eleven products made in Tianjin were ranked as in the first three places. Eight of them were
ranked as the first place, they were black and white picture tube shell, electronic tuning unit, chip
ceramic capacitor, tantalum electrolytic capacitor, aluminum electrolytic capacitor, high tension
(high frequency) silicon pile, capacitor (not including capacitor network), resistor (not including
resistor network); there were two products ranked in the second place, they were semiconductor
discrete parts and line output transformer; there were three products ranked in the third place, they
were integrated circuit, display tube and chip resister. All that shows that Tianjin has
comparatively greater advantage than other regions in the sector of basic components and parts.
Table 19 Major Products & Their Outputs in Tianjin’s Electronic
Information Industry Ranking in China（2001）
Products
Sort
Investment
Comsumptiv
e sort
Products
Unit
Output of
Tianjin
Ranking
In China
Communication
navigation
equipment
Program controlled exchange
（not including the mobile）
Set
456
3
Line
1,542,617
7
Bureau exchange
medium
and
small
sized
transmitter and receiver
Optical communication equipment
Line
1,519,018
7
Set
3,436
3
Set
1,333
6
Optical cable terminal
Set
1,333
4
Large & medium computers
Set
86
8
fax machine
Set
217,565
3
Mobile phone
Set
14,994,979
3
Pager
Set
14,673
5
Telephone
Set
373,939
8
Personal computer
Set
6,099
18
Display
Set
4,296,046
4
Printer
Set
27,216
8
Video camera
Set
0
—
Video recorder & player
Set
3,085,547
1
TV set
radio receiver and
recorder & player
Set
705,818
12
Set
331,579
3
cassette
Products
Sort
Components
& parts
Products
Unit
Output of
Tianjin
Ranking
In China
Hi-fi stereo component system
and CD player
Set
0
—
Digit, laser visual disc player
Set
518,625
6
Defection yoke
Ten
thousand
Pieces
245
4
Line output transformer
Ten
thousand
set
1,331
2
Printed circuit board
Sq.m
100,306
9
Semiconductor discrete part
One
hundred
million
pieces
73.4
2
Silicon rectifier diode
Ten
thousand
Pieces
8948
9
Color picture tube shell
Ten
thousand
Pieces
135
6
Black & white picture tube shell
Ten
thousand
Pieces
581
1
Color picture tube（not including
display tube）
Ten
thousand
Pieces
137
7
Black & white picture tube
Ten
thousand
Pieces
16
6
Integrated circuit
Ten
thousand
Pieces
17710
3
Including：Large scale integration
Ten
thousand
Pieces
17337
1
Magnet material,
transformer
Ten
thousand
Sets
14560
10
Electroacoustical devices
Ten
thousand
Pieces
2110
8
Speaker
Ten
thousand
Pieces
2089
5
inductance,
Products
Sort
Products
Unit
Output of
Tianjin
Ranking
In China
Electronic tuning unit
Ten
thousand
Pieces
2767
1
Display tube
Ten
thousand
Pieces
308
3
Chipceramic capacitor
One
hundred
million
pieces
166.47
1
tantalum electrolytic capacitor
One
hundred
million
pieces
5.76
1
Point resistor (not
resistor network)
One
hundred
million
pieces
185.23
1
Chipresistor
One
hundred
million
pieces
111.2
3
High tension（high frequency）
silicon pile
One
hundred
million
pieces
17，548
1
Capacitor（not including capacitor
network）
One
hundred
million
pieces
217.83
1
Aluminum electrolytic capacitor
One
hundred
million
pieces
36.84
1
including
Sources：《Annual Report on Electronic Information Industry（2001）》
2.
Ten Enterprises of Tianjin and TEDA in the Top One Hundred Foreign-funded
Enterprises
According to the statistics of China Society of Electronic Statistics, there were ten enterprises
from Tianjin included in the Top One Hundred Foreign–Funded Enterprises in the Electronic
Information Industry of China for 2000( please refer to Appendix 2). They are Motorola ( the first
place), Samsung Electro-Mechanics Co (the 22nd place), Samsung Electronic Tube Co (the 27th
place), Samsung Electronics Display Co (the 39th place), Samsung Electronics Co (the 41st place),
Yamaha Music Instrument Co (the 46th place), Tong Guang Samsung Electronics Co (the 64th
place), Nippon Electric-Electronics Co (the 74th place), Matsushita Electronics Co (the 82nd place)
and Epson Co (the 93rd place). Except Nippon Electric-Electronics Co and Epson Co, the rest are
all enterprises in TEDA.
Judging from the number of the included enterprises ( please refer to the following table),
Tianjin and TEDA were in the fifth place among the country, only next to Guangdong, Shanghai,
Fujian, and Beijing. Judging from the total sales income of the included enterprises, Tianjin and
TEDA were in the second place among the country, only next to Guangdong. The realized sales
income of the included foreign-funded electronic enterprises of Tianjin for 2000 totaled 34.535
billion yuan, accounting for 18.73 % of those (184.351 billion yuan) of the Top One Hundred
Foreign–Funded Enterprises in the Electronic Information Industry of China; while the realized
sales income of the included foreign-funded electronic enterprises of TEDA totaled 33.717 billion
yuan, accounting for 18.29 % of those (184.351 billion yuan) of the Top One Hundred
Foreign–Funded Enterprises in the Electronic Information Industry of China.
Table 20 Distribution of Top One Hundred Foreign–Funded Enterprises
in the Electronic Information Industry of China for 2000
Sales income
Region
Number of
included
enterprises
Guangdong
26
408.39
Shanghai
15
296.62
Fujian
14
217.38
Beijing
13
289.53
Tianjin
（Including：TEDA）
10
（8）
345.35
（337.17）
Jiangsu
7
150.43
Shandong
4
31.05
Henan
2
25.69
Hubei
2
15.21
Zhejiang
2
14.31
Hunan
1
19.00
Liaoning
1
10.55
Heilongjiang
1
10.50
Shaanxi
1
6.18
（ one
yuan）
hundred
million
Sales income
Region
Number of
included
enterprises
Anhui
1
3.32
Total
100
1,843.51
（ one
yuan）
hundred
million
Sources：sorted internet information.
According to informed sources from the relevant department, there were 12 enterprises from
Tianjin included in the Top One Hundred Foreign–Funded Enterprises in the Electronic
Information Industry of China for 2001. They are Motorola ( the first place), LG Electronics Co
(the 17th place), Samsung Display Co (the 21st place), Samsung Electro-Mechanics Co (the 31st
place), Samsung Electronic SDI Co (the 41st place), Samsung Electronics Co (the 47th place),
Tianjin Mitsumi Electric Co (the 69th place), Tong Guang Samsung Electronics Co (the 72nd
place), Hyundai Multimedia Co (the 84th place), Yamaha Music Instrument Co (the 86th place), GP
Smart Card Co (the 87th place), Samsung High Tech Electro-Mechanics Co (the 88th place) and
Gemplus (the 90th place). Except LG Electronics Co, Tianjin Mitsumi Electric Co, GP Smart Card
Co and Gemplus Co, the rest eight enterprises are all enterprises in TEDA. All that shows that the
electronic information industry of TEDA takes a very important place in Tianjin as well as in the
whole country.
Chapter Two The Status Quo of TEDA’s Electronic Information Industry
One The Manufacturing Base of High End Information Products Retaining a High Growth Rate
in China
In 2001, TEDA electronic information industry completed a sales income of 59.433 billion
yuan, a comparable increase of 24.1 % over the previous year, accounting for 68.8 % of the total
industrial output value of TEDA, 90.86 % of the sales income (65.413 billion yuan) of the
electronic information industry of the municipality and 7.22 % of the sales income (823.7 billion
yuan) of the electronic information industry of the whole country.
Table 21 Position of TEDA Major Electronic Sectors in the Country for 2001
（Unit：one hundred million yuan）
Sector
TEDA
income
TEDA
TEDA
sales Tianjin sales National
proportion in
proportion in
income
sales income
the country
Tianjin
Wireless
364.2
Communication
364.2
2,260.0
100%
16.1%
Display
44.5
614.5
100%
7.2%
3,406.6
78.5%
3.2%
104.5
100%
22.1%
44.5
Components
parts
&
110.0
Integrated
Circuit
23.0
140.08
23.0
Optical
0.039
communication
6.56
187.4
0.6%
0.02%
Automotive
Electronics
20.71
31.3
172.0
66.2%
12.0%
Software
2.12
26.1
285.0
8.1%
0.7%
Total of the
Electronic
Information
industry
594.33
654.13
8,237.0
90.86%
7.22%
Sources：TEDA Bureau of Development & Planning, CCID
Among the Top 500 ranked by “ Fortune”, with the exception of the Chinese funded
enterprises, 28 multinationals among them have invested 48 projects in TEDA, including
Motorola, Samsung Display, Samsung Electro-Mechanics, Samsung SDI, Samsung Electronics,
Tong Guang Samsung, Hyundai Electronics Multimedia, Yamaha, Samsung High Tech
Electro-Mechanics, CTS, Matsushita Electronic Components, Pem-Star, Lucent and Fujitsu Ten.
In the 33 sq. km area of TEDA, so many multinationals converge in the electronic information
industry and their proportion in the sales income of the national electronic information industry
exceeds 7 %. All this indicate that TEDA has become a manufacturing base of high end
information products of China.
In the past five years (1997-2001), TEDA’s electronic information industry developed with
extraordinarily swift momentum; its proportion in the total industrial output of TEDA rose
gradually from 57% in 1997 to 68.7 % in 2001, and more on that, the absolute value was more
than doubled in five years. The electronic information industry already constitutes the major
power source of the industrial growth in TEDA; its rate of contribution to TEDA’s annual
industrial growth all exceeded 60% and its contribution rate in 2001 reached 75.3 %. Therefore, it
has become the absolute main force in economic development.
Table 22 Proportion of the electronic information industry
in the total industrial output of TEDA
（Unit：one hundred million yuan）
1997
1998
1999
2000
2001
Output proportion
Output proportion Output Proportion Output Proportion Output proportion
267.9
333.7
57.0%
61.8%
392.4
64.5%
493.8
67.5%
594.3
Sources：TEDA Bureau of Development & Planning.
Table 23 Contribution rate of the electronic information industry
in the industrial growth of TEDA
1998
1999
2000
2001
68.7%
Proportio Rate of Proportio Rate of Proportio Rate of Proportio Rate of
n
contribut
n
contribut
n
contribut
n
contribut
In the
ion
In the
ion
In the
ion
In the
ion
total
to
total
to
total
to
total
to
Industria industria industria industria industria industria industria industria
l
l
l
l
l
l
l
l
output
growth
output
growth
output
growth
output
growth
61.8%
94.0%
64.5%
85.9%
67.5%
82.2%
68.7%
75.3%
Sources：TEDA Bureau of Development & Planning.
Two
The Return on Investment Retaining the First Place in the Country
According to the statistics of the Ministry of Information Industry, the profits of the electronic
information industry of TEDA accounted for 14 % of the national profits of the electronic
information industry in 2001; its rate of profits was the first in the country, more than one time
higher than the national average.
From January to June of 2002, the electronic information industry of TEDA have realized a
sales income of 32.474 billion yuan, which is equal to the sales income of the electronic
information industry of Beijing; the rate of profits is 14.7 % and the realized profits is 4.78 billion
yuan, much higher than the profits of the electronic information industry of Beijing, Shanghai,
Jiangsu, Shenzhen and other provinces and municipalities; it accounts for 23.9 % of the national
profits of the electronic information industry. TEDA has retained the first place in the profits rate
among the whole country for three years in succession.
Table 24 Comparison of Major Economic Indicators of the electronic information
industry between TEDA and Other Key Provinces and Municipalities
（Unit：one hundred million yuan）
TEDA
Tianjin
Beijing
Shangha
i
Shenzhe
n
Jiangsu
The whole
country
324.74
391.93
323.71
493.62
861.37
671.17
4,412.55
Profits
47.80
50.38
7.27
20.21
22.48
28.86
199.59
Profits
rate
14.7%
12.8%
2.2%
4.1%
2.6%
4.2%
4.5%
Sales
income
Sources：the Ministry of Information Industry
Three
Improved Industrial Supply Environment
for the Electronic Industry
Through many years of construction and development, Tianjin has primarily obtained the
industrial supply capabilities of the electronic information industry. Now there are over 200
multinationals having come to invest or cooperate with Tianjin enterprises. The contracted foreign
investment has reached 5.5 billion USD and 90 % are used to reorganize the old State-owned
enterprises. In 2001, the purchase of Motorola from China reached 13.3 billion yuan; it was the
largest local purchase by multinationals and 50 % of the purchase was from Tianjin. There are 176
direct suppliers of Motorola in the country and over 80 auxiliary items suppliers are from Tianjin.
At present, there are already over 300 enterprises in Tianjin to process and provide more than 400
auxiliary items to the electronic whole set products manufacturers such as Motorola and Samsung.
Their output reached near 20 billion yuan in 2001. It has gradually become an important industry
in Tianjin to provide necessary accessories and corollary equipment for the whole set products. In
fact, with respect to the wireless communication sector, the most optimal supply chain has formed
in TEDA and its surrounding region. With respect to the display sector, there are 67 suppliers to
Samsung Display and 57 of them are in Tianjin, which shows that Tianjin has a very powerful
ability to provide necessary accessories and corollary equipment to the display sector. What
particularly deserves to be mentioned is that Tianjin municipality and TEDA have the superior
advantage in circuit board processing (automatic plug-ins or film processing), many local
enterprises are able to provide the processing service for the electronic whole set products
manufacturers.
Chapter Three
The Strategic Orientation, Development Strategy and Goal of TEDA’s
Electronic Information Industry
One Strategic Orientation: Building A “World Class Manufacturing Base of High End Electronic
Information Products”
The development of TEDA’s electronic information industry must stick to the following
principles:
1. ADHERING TO CHOOSING WHAT TO DO AND WHAT NOT TO DO. It is imperative to select
limited objectives as the key objectives and make breakthroughs, to rely on one’s own
advantage and strengths, to choose the electronic products with good market prospects and
development potentials to enhance the extent of industrial aggregation and bring into play
the effect of industrial aggregation.
2. ADHERING TO OPENONG TO THE OUTSIDE WORLD AND STRENGTHENING
INTENATIONAL COOPERATION. It is imperative to seize the opportunity of China’s entry
into WTO, to expand foreign economic and technological cooperation, to take an active
part in the competition in the world market, to utilize fully foreign funds, technology and
market so as to promote the structure adjustment and industrial upgrading of TEDA’s
electronic information industry.
3. ADHERING TO PROPERING TEDA WITH SCIENCE AND TECHNOLGY AND INTESIFYING THE
INNOVATIVE CAPABILITIES. It is imperative to combine together introduction, digestion,
absorption, development, innovation and industrialization, to take innovation as the soul, to
carry out open and cooperative development, to concentrate strengths to bring in and
support a number of research and development centers to develop a number of key
products and key projects, to cultivate a number of competitive flagship enterprise
groups and raise the proportion of autonomous intellectual property so as to ensure a
sustained, stable and fast growth of TEDA’s electronic information industry.
Therefore, for the period from 2002 to 2010, the strategic orientation for TEDA’s electronic
information industry is: to consolidate the three existing advantageous industrial sectors of
wireless communication, display and basic components and parts, to cultivate the two new
leading industrial sectors of integrated circuits and automotive electronics and to follow and
advance the two rising industrial sectors of optical communication and software so as to
build a world class manufacturing base of high end electronic information products.
Two Development Strategy: One Foundation, Two Flagship Sectors, Three Growth Points and
Four Major Bases
The development strategy during the period from 2002 to 2010 for TEDA’s electronic
information industry is: with the global market as the objective and the modern logistics as the
support, to take the construction of the industrial base of electronic components and parts as the
development foundation, to use the industrial sectors of wireless communication and display as
the flagship sectors in the development of TEDA’s electronic information industry, to advance
closely with the three growth points of optical communication, automotive electronics and
software and to build the four manufacturing bases of handset, display, electronic components &
parts and automotive electronics.
softw
are
wireless
handset
components
optica
l
display
automotive
electronic
s 车电子
基地
Logistics
global market
Figure 1. Sketch map of development strategy
for TEDA’s electronic information industry
1. One Foundation: Electronic Components and Parts Manufacturing Industry
The sector of electronic components and parts is the foundation of the electronic information
industry; it is of great significance in the improvement of the regional environment of industrial
auxiliary items production and the extension of industrial supply chains. The production of the
electronic components and parts (including electronic components, elements and parts, optical
components and parts, integrated circuits, semiconductors and etc.) in Tianjin and TEDA is at a
considerable scale. There are over 300 enterprises in Tianjin and TEDA to process and supply for
the whole-set products manufacturers such as Motorola, Samsung, Otis and etc, the auxiliary
products total over 400 kinds. The output of auxiliary items in 2001 was close to 20 billion yuan.
They have powerful abilities to provide auxiliary items to the electronic information whole set
products; the production of auxiliary items has grown into an important industry; and the
industrial chain has taken shape.
TEDA will expand its input in the linking sections of R&D research institutions, product
testing, enterprise incubator and etc. With the global market of auxiliary items as the objective,
TEDA will construct the manufacturing base of electronic components and parts and build the
optimal electronic information industrial supply chain in the country so as to make the electronic
auxiliary items production and the electronic whole set products production run neck and neck,
and bring about the integrated advantage of mutual promotion and joint development. Thus, the
construction of the manufacturing base of electronic components and parts is the foundation and
key link for a sustained, stable and fast growth of TEDA’s electronic information industry.
2. Two Flagship Sectors: Wireless Communication and Display Manufactures
In 2001, the proportion of the wireless communication sector accounted for 61 % of TEDA’s
electronic information industry, its industrial output accounted for 61 % of TEDA ‘s total and its
proportion accounted for 16.1 % of the national wireless communication sector. The proportion of
the display sector accounted for 7.5 % of TEDA’s electronic information industry, its industrial
output accounted for 5.1 % of TEDA ‘s total and its proportion accounted for 7.2 % of the national
display sector. Therefore, the above two sectors not only play the flagship sector role in the
industrial development of TEDA but also take the leading position in the same sectors of the
country. They are competitive and their developing momentum will directly affect the
development level of the whole electronic information industry of TEDA. Accordingly, TEDA
will give major support to the two flagship industrial sectors of wireless communication and
display so as to bring forward the common development of the whole electronic information
industry of TEDA.
3. Three Growth Points: Optical-communication, Automotive Electronics and Software
The industrial sectors of optical communication, automotive electronics and software in China
are in the early growing phase, with immense space to develop and swift developing momentum;
therefore, it is the natural choice for TEDA to take the three sectors as the growth points in the
future. Actually, the three sectors of TEDA already have foundation to a certain extent and they
have more opportunities to develop; hence, TEDA will take effective measures to follow and
advance the development in the three sectors and ensure to gain its place in their swift
development.
4. Four Major Bases: Handsets, Displays, Electronic Components & Parts and Automotive
Electronic Products
The “Handset Capital” has come into being: In TEDA, there are already five handset
manufacturers. They are Motorola, Samsung Communication, Sanyo Communication, DBTEL
Electronics and Kyocera, thus the largest and most complete industrial cluster of the handset and
its spare parts and components has primarily formed. As the global manufacturing center of
Motorola handsets, over 90 % of the Motorola handsets are made in TEDA; by the end of April,
Motorola handset with its market share of 26.7 %, a superiority of 8 percentage points higher than
the second one, remains the leader in China’s market of handsets. Samsung Communication Co. is
a handset production enterprise established in TEDA by Samsung Electronics, the third largest
handset manufacturer in the globe; its current monthly output may reach 500 thousand; and by
2005, the annual capacity will reach 15 million sets. What’s more, Sanyo and Kyocera are in the
domestic leading position of development and production of CDMA handsets and have great
potentials. Therefore, in TEDA, the domestic highly dense cluster of mobile communication
industry has come into being, so it is worth the title of “Handset Capital”.
The production base of display production has primarily taken shape: there are three
enterprises producing displays in TEDA. They are Samsung Electronic Display, Hyundai
Multimedia and Zhong Huan Sanjin; In 2001, the display output of TEDA reached 4.45 million
sets. The Samsung Display of them is the number one brand in the country. Samsung Electronic
Display came to invest in China in 1997;and within a short period of three years, it came to take
the leading place in the sales of the domestic brands; up to 2001, Samsung Electronic Display won
for three years in succession the champion of the domestic brand sale in China’s market, with a
market share of 30 %, almost equal to the total sum of those of the runner-up and the third one.
Furthermore, the development potentials of Hyundai Electronic Multimedia and Zhong Huan
Sanjin can not be ignored.
The production base of electronic components and parts is taking shape. As the result of the
swift development of the electronic information industry in Tianjin region, TEDA and Tianjin
region, where TEDA is situated, have attracted a group of overseas enterprises producing
electronic components and parts; the well known enterprises are Matsushita Electronics Co, CTS,
General Semiconductor Co, Samsung Co, Mitsumi Electric Co, Pemstar Co and Everwell
Technology Co. In 2001, the output of electronic components and parts exceeded 10 billion yuan.
The production scale is considerable. A number of electronic components and parts are holding
important positions in the country; for instance, among the 22 broad categories of basic
components and parts in the statistics of the Ministry of Information Industry, there are 11
categories the first three places of which are held by Tianjin, and among them, there are 8
categories of products holding the first place.
The production base of automotive electronic products has a bright prospect: in TEDA,
there are a number of key enterprises such as Yazaki Automotive Parts, Denso Electronics, Fujitsu
Ten, Hyundai Electronics, Jin Zhu Wiring System Components and Saehan Precision Co, with
auto audio appliance and automotive wiring system as representative products. In 2001, TEDA’s
output of automotive electronic products exceeded 2 billion yuan; and its proportion in the country
reached 12 %. As the second phase construction of Toyota Motor starts in TEDA, a group of
automotive electronic auxiliary items suppliers would follow; thus, the position of TEDA as the
production base of automotive electronic products will be strengthened.
Three Development Goal
1. The Development Goal for 2005: Sales Income Exceeding 126 Billion Yuan
From 1997 to 2001, the sales income of the electronic information industry in TEDA grew
from 26.8 billion yuan to 59.43 billion yuan; the annual average growth for the four years was
22.1 %. By 2005, the sales income of the electronic information industry in TEDA is estimated to
reach 126.93 billion yuan, with an annual average of absolute sales income of 16.88 billion yuan;
the sales income for 2005 will double that of 2001, with an annual growth average of 20.9 %
(while the national annual growth average for the same period is estimated to be 16.5 % ); its
proportion in the national sales income of the electronic information industry will rise to 8.46 %,
1.24 percentage point higher than that of 2001. With respect to the specific planned figures, please
refer to the following table:
Table 25 3 Prospective targets of the development of TEDA’s electronic information
industry for 2005
（unit：one hundred million yuan）
Sector
2001 TEDA
sale
income
2005 TEDA
planned
sale
income
TEDA
Annual
Average
Growth
2005 TEDA’s
2005
2001
proportion national prospectiv
in
e
sale
the
national
income
country
sale
income
16.1%
2,260.0
5,300.0
Mobile
communication
364.2
854.1
23.7%
Display
44.5
76.2
14.4%
7.2%
614.5
1,052.5
Basic
components
& parts
Integrated
Circuits
Optical
communication
Automotive
electronics
110.0
192.4
15.0%
3.2%
3,406.6
5,957.0
23.0
35.0
11.1%
5.0%
104.0
700.0
0.04
0.2
41.4%
0.02%
187.4
750.0
20.7
60.2
30.6%
12.0%
172.0
500.0
2.1
5.6
27.7%
0.7%
285.0
758.0
594.3
1,269.3
20.9%
8.46%
8,237.0
15,000.0
Software
Total electronic
information
industry
Sources：TEDA Bureau of Development and Planning, CCID
2. The Development Goal for 2010: Sales Income Exceeding 280 Billion Yuan
In the period from 2005 to 2010, TEDA’s electronic information industry is estimated to
maintain an annual growth average of 18.9 % (while the national annual growth average for the
same period is estimated to 12.5 %); the sales income of the electronic information industry for
2010 will reach 283.05 billion yuan, with an annual absolute growth average of 31.22 billion yuan;
the sales income of 2010 will be 4.76 times that of 2001, 2.23 times that of 2005; its proportion in
the total national output of the electronic information industry will rise to 10.48 %, 3.26
percentage points higher than that of 2001 and 2 percentage points higher than that of 2005. With
respect to the specific planned figures, please refer to the following table.
Table 14 Prospective targets of the development of TEDA’s electronic information
industry for 2010
（unit：one hundred million yuan）
Planned sale income
for 2010
Prospective annual
Growth average
Mobile communication
1933.8
20.4%
Displays
161.3
15.4%
339.0
13.3%
147.5
22.9%
0.5
31.5%
Basic components
& parts
Integrated
Circuits
Optical communication
Automotive electronics
180.5
27.2%
Software
15.1
24.5%
Total electronic information
industry
2830.5
18.9%
Sources：TEDA Bureau of Development and Planning, CCID
Chapter Four The Major Development Sectors of TEDA’s Electronic Information Industry
One Appraisal and Selection of Major Development Sectors
The aggregate appraisal and selection of major development sectors of TEDA’s electronic
information industry are mainly based on the following aspects (please refer to the following
table):
1. confines of natural conditions;
2. existing industrial foundation;
3. scientific and technological research and development foundation;
4. industrial driving coefficients;
5. growth of industry;
6. regional comparative advantage;
7. degree of governmental support; and
8. mutual complementation and competition between Beijing and Tianjin.
Table 26 5 Norms to determine key industries andcorresponding criterion and indicators
Norm
Dependence
resources
Basic criterion
on
Dependence
resources
on
local
natural
Corresponding
indicators
Weighted
proporti
on
Resource
confines
Coefficient
12.0%
Industrial
Foundation
Proportion in the output of the
electronic information industry
Output
structure
Coefficient
15.4%
S.T.R&D
Basic
Advantage
Scientific
&
technical
R&D
strengths of institutes of higher
learning and Scientific & technical
R&D, and R&D facilities
R&D foundation
Coefficient
10.0%
Industrial
driving
Coefficient
Association degree, industrial
scale aggregate factors among this
sub-sector and other sub-sectors
and other sectors
Industrial
driving
Coefficient
10.0%
Growth of
industry
Substitute by its future market
growth
Industry
growth
coefficient
12.8%
Regional
Its proportion in the national
Comparative
15.6%
comparative
advantage
output
of
the
information industry
electronic
Degree of
governmental
support
Whether it is the industry or
planned base supported by the local,
central government ?
Mutual
complementatio
n and
competition
between
Beijing and
Tianjin
Looking at TEDA’s future
development from the angles of
regional division of work, city
orientation, competitive advantage
etc.; analyzing and determining
mainly based on industrial chains of
Beijing and Tianjin area
advantage
Coefficient
Coefficient of
Governmental
support
Coefficient of
association
between Beijing
and Tianjin
11.0%
13.2%
After scoring and weighted calculation of the above indicators by experts and specialists, they
come to the conclusion that the major development sectors of TEDA’s electronic information
industry are wireless communication, software, basic components and parts, displays, automotive
electronic products, optical communication and integrated circuits.
Two Major Development Sectors
1.
Wireless Communication
The development status quo of the global mobile communication is the co-existence of the
three networks of GSM, GPRS and CDMA, while GSM is the mainstream, GPRS is the transition
and CDMA is the orientation for the future. As the result of the blind extolment of the concept of
3G before its maturity in the developed countries in Europe and America, their governments
carried out public sale of 3G operating licenses at a high price; thus the business operators got
heavy burdens on them, which affected the development of 3G to a certain extent and the process
of the world mobile communication manufacturing industry as well. Different from Europe and
America, the Asian communication market is swiftly developing, particularly in China, although
the Chinese mobile communication subscribers are increasing at a high speed in number, the
mobile phone popularity rate in 2001 was only 11.2 sets/per hundred persons; there is still a wide
gap from the popularity rate of over 50 sets/per hundred persons in the developed countries;
therefore, there is an immense room in China for the mobile communication to develop and that
brings excellent development opportunities for the mobile communication manufacturing industry
of China. The huge market space spurs the shift of all major mobile communication equipment
manufacturers to China and it makes China gradually become the world mobile communication
manufacturing base.
Looking at the distribution of China’s wireless communication manufacturing industry, the
Circum-Bohai Sea region with Beijing and Tianjin as the core is the flagship of the wireless
communication manufacturing industry of the country. Its production capacities in mobile phone
and mobile equipment are much greater than those in the Yangtze River Delta and the Pearl River
Delta; in the Circum-Bohai Sea Region, the most improved wireless communication industrial
chain has already formed.
6000
4000
万部
2000
0
output capacity
export
Figure2
Bohai
Yangtse
Pearl
4081
2843
2602
269
2041
105
Handset output and export comparison
Among the three major bases for 2001 (unit: ten thousand sets)
100
%
50
0
Bohai
Yangtse
Pearl
GSM base station
71.3
17.4
11.5
Exchange
equipment
42.7
36.5
20.8
Figure 3
Output capacity distribution of three major bases
of GSM network equipment for 2001
TEDA is in the leading position with respect to the sector of wireless communication
system. At present, international well known mobile communication manufacturers such as
Motorola, Samsung Communication, Sanyo Communication, DBTEL Electronics and Kyocera
have already gathered in TEDA, its industrial concentration is unique in the country, and TEDA
together with its surrounding areas have constructed the most improved chain of supply.
In the sector of mobile communication equipment, Motorola which is located in TEDA is
the leader of the same trade in the country; up to the end of 2001, Motorola already took over
15 % of the market shares of GSM base stations on the average in the country; particularly in the
newly rising sector of CDMA network equipment, Motorola even took one fourths of the market
shares of GSM base stations.
In the sector of mobile phone, Motorola has retained the first place in the domestic
market-sharing rate for successive years. In addition, Motorola is the only foreign manufacturer
who has directly obtained the production license of CDMA handsets; it offers to Motorola the
predominance of CDMA handsets production and direct sales access to the market. It will
facilitate Motorola continuously to maintain its leading position in the domestic handset market.
What’s more, the coming in of Samsung Mobile Communication System Co, who is only next to
Nokia and Motorola in the world ranking order, will greatly push the multi development of the
mobile communication industrial sector in TEDA. The introduction of Sanyo and Kyocera into
TEDA will put new vitality in the multi development of the mobile communication industrial
sector and ensure the leading position of TEDA in the national CDMA handsets production.
In the period from 2002 to 2010, TEDA will further aggregate the industrial resources
of wireless communication, actively support the mobile communication enterprises in TEDA
in the development and production of 3G handsets and equipment, lay emphasis on
supporting the development of the sectors of key elements and parts relevant to the mobile
communication network equipment and mobile communication handsets and continue to
improve the supply chain of wireless communication sector.
2.
Displays
From the global view of the display sector, its market in Europe and America is basically
saturated and the competition is very fierce. Therefore, display manufacturers are intensifying
their steps to get reorganized so as to obtain competitiveness. For instance, from 1999 on, LG and
Philips, NEC and Mitsubishi, as well as EMC, MAG and CTX in the Chinese region of Taiwan
merged in succession. These merges would further speed up the steps of internal reorganization of
the display sector.
All the global major display manufacturers have basically entered into the inland market of
China, and conducted production and operation activities; the display manufacturing industry in
China has laid the foundation for its status as the global major display manufacturing base. At
present, the annual display output is already the first in the globe, with three fourths of it for
export. The domestic market is mainly monopolized by seven manufacturers; their market shares
account for 95.7 %. And the first three enterprises in ranking occupy 66 % of the market shares
( please refer to the following table). In terms of local parts supply, the key parts such as the
common CDT and the plane CDT have basically localized in the country; however, in the LCD
production, there is hardly production capability of upstream core materials domestically. For
instance, the TFT-LCD faceplates used in the displays are seldom produced or supplied in the
country. They are mainly supplied from the production bases in R.O. Korea, Japan and China’s
province of Taiwan.
Figure 4 Comparison of market shares of major display
manufacturers in China for 2001
15.55%
9.27%
9.14%
8.43%
3.73%
4.03%
3
4
5
6
8
7
份额
WESCOM
4%
AOC
BENQ
SAMSUNG 8%
PHILIPS
LG
EMC 9%
LG
BENQ EMC
9%
WESCOM
OTHER
PHILIPS
16%
OTHER
4%
AOC
34%
SAMSUNG
16%
The Samsung Monitor made in TEDA is one of the best known brands in the world. The
Samsung Monitor takes all along the absolute predominant position in the market of China.
Hyundai Electronic Multimedia Co, another display manufacturer also has the leading
technological predominance in CRT display production in the world, most of his products are
exported to the market of in Europe and America. In local production, the rate of China-made
parts used in the production of the common CRT displays already reaches 85 %; among 94 parts
suppliers, 65 are from areas around TEDA. One can see that TEDA has one in a thousand
advantage of supply of auxiliary items for the development of the display sector.
In the period from 2002 to 2010, TEDA will give emphasized support to the development
of sectors of high end products of CRT (large screen, perfect flat screen and 16:9 wide screen
displays), TFT-LCD, high grade STN-LCD, PDP products and relevant new type of display
parts (including high division display tube, large & full screen color TV picture tube, new
type of projector and flat panel display parts and etc.).
3. Basic Components and Devices
Viewing from the global angle, the United States and Japan are still the countries with the
most matured technology and products of electronic components and devices in the world. Along
with the rapid growth of Asian economy in the recent ten years, multinationals sought lower costs
and looked for new market, the whole industrial sector of electronic components and devices
underwent a development road from Europe, America and Japan to R.O. Korea, Taiwan region,
and then further to China’s mainland. At present, the major countries and regions in electronic
components and devices production are the United States, Japan, Germany, R.O. Korea, China’s
Taiwan, Singapore, Philippines and China’ mainland.
At present, China’s output of electronic components and devices is lower than those of the
United States and Japan, but higher than that of Germany, and in the third place, with her output
accounting for 10.4 % of the whole globe. In 2001, in China, 209.8 billion pieces of electronic
components were sold, with a market size of 230 billion yuan. However, the current products of
China are the traditional lead products, miniaturized products and film products, a coexistence of
three generations of products. And most of the domestic funded enterprises produce the first and
second generations of products, the market demand is not secured, it is confronted with shortages
and a large quantity of imports are required. The domestic market satisfaction rate for China’s
electronic components is 45 %; the domestic market satisfaction rate for semiconductor discrete
parts is 20 %; and the domestic market satisfaction rate for electric vacuum parts is 70 %.
However, the difference among the domestic market satisfaction rates for different components
and parts is quite much. Certain market satisfaction rates are less than 10 %. Especially for some
new types of components and parts, the market satisfaction rate is almost zero.
The famous large enterprises in the sector of electronic components and devices are
Matsushita Electronic Components Co, CTS, Samsung High Tech Electro-Mechanics Co, Rohm
Semiconductor Co, AVX Electronics, Samsung SDI, General Semiconductor, Mitsumi Electric Co
Pem-Star, Everwell Technology Co, and so on. In TEDA, a comparatively complete electronic
components and devices and auxiliary items supply chain with the two electronic whole set
production enterprises of Motorola and Samsung Display as the flagship and simultaneously
including the consumptive electronic products such as automotive audio appliance, DVD and
colored TV sets has taken shape. It effectively brings along the development of the electronic
components and devices business of TEDA and the surrounding regions of Tianjin. Among the
ranking order lists of top companies in 12 categories of electronic products for 2000, the output of
capacitors made by Samsung Electro-Mechanics Co took the first place and its chip ceramic
capacitor, MLCC also took the first place in terms of output; the resistors and capacitors made by
Matsushita Electronic Components Co, took the first and ninth places respectively and its output
of the chip tantalum electrolytic capacitors accounted for 97 % of the country.
In the period from 2002 to 2010, TEDA will give emphasized support to the
development of sectors and products including: (1) surface-mount components and devices,
with emphases on the development of metal electrode film ceramic capacitors, film resistors,
film inductance, film tantalum capacitors and film diode and triode; (2) sense components
and devices and sensors with emphases on the development of voltage-sensitive, thermal
sensitive and gas sensitive products; (3) new types of power supply, with emphases on the
development of nickel-hydrogen cells, lithium ion cells and poly-compound cells; (4) HF
frequency devices, with emphases on the development of high frequency surface acoustic
wave devices, microwave dielectric devices and etc,; (5) printed circuit boards, with
emphases on the development of multi-layer boards and flexible boards.
3.
Integrated Circuits
The output of the sector of integrated circuits increased in exponential growth all the time in
the past 40 years or more, however, the annual growth rates rose and fell along with the changes in
the relationship between market demand and production capability periodically. The periodical
attenuation of the sector of integrated circuits was mainly caused by supply and demand. Last year,
as a result of overestimation of the development of network economy and mobile communication,
the products were overstocked a great deal. But that situation would not last long. It is estimated
that in 2005, the sales of the world market of integrated circuits will rise at a rate of near 17 %;
while from 2003 to 2004, the global sector of integrated circuits will rise again and in 2004, there
will be the state that production capability does not meet demand, the growth from 2005 to 2006
will reach 30 % to 40 % and the output will break through 300 billion USD. In 2010, the total
sales of the sector of integrated circuits will reach one thousand billion USD.
The production scale of China’s integrated circuits is still quite small; The research and
development abilities are poor; the scientific and technological research and development input is
obviously insufficient; the sales accounts for only 1% of the international market; the rate for
China-made integrated circuits to satisfy the domestic demand is less than 20 %; a great part,
especially the key integrated circuits rely on import; there is a gap of one to two generations in
comparison with the world advanced level.
The Motorola Chip Factory in TEDA applies the world top chip technology to produce
intelligent MOS of large scale integration, CMOS of super large scale integration and integrated
circuits of microcontroller BiCMOS; all the products are single chip system; they may be widely
applied in communication and new generation of consumptive products, automotive electronic
system and the peripheral equipment of personal computers. In 2001, the sales income of
Motorola Chip Factory reached 2.977 billion yuan, approximately accounting for more than one
thirds of the national total sales income of integrated circuits.
In addition, in 2001, Motorola Co, put in technological and human resources worth 40 million
yuan in cooperation with Tianjin Qiangxin Semiconductor Chip Design Co, Ltd. to set up the first
semiconductor chip research and development institute in Tianjin, indicating an important
breakthrough from the post packaging to core designing of the sector of integrated circuits in
TEDA.
In the period from 2002 to 2010, TEDA will actively develop chip designing industry, strive
to establish the 0.18 micrometer IC designing platform and IC Designing Open Laboratory,
to attract the whole set production enterprises to design and develop special IC and system
as well as chips and construct a group of IC designing companies that carry weight in the
country, with emphases on encouraging and developing IC products and ceramic base for
thick film HIC for the whole set products of investment sort such as communication
products, automotive electronics and etc.
5. Automotive Electronics
As there are ever growing social concerns on environmental protection and energy crisis and
people’s ever increasing demand of automotive safety and comfort, the automotive electronic
technology and products have developed rapidly. In 2000, the average electronic equipment cost
for automobiles abroad reached 2,000 USD, its proportion in the manufacturing costs of the whole
car exceeding 23 %. It is estimated that in the future, the cost proportion of the automotive
electronic products in the whole car will reach 30 % to 50 %; the global total sales of automotive
electronic information products will become larger and larger; thus, the sector of automotive
electronics will be a high growth sector to win attention from the business circles. According to
the estimation of US automobile industry, in 2003, the global total sales of automotive electronic
information products will reach 80 billion USD.
The automotive electronic enterprises of China are just starting their development. The gap
between them and the advanced multinationals becomes larger and larger. At present, in China,
only a number of electronic products with comparably low technical content were produced and
applied. However, the “Standard on Light Automotive Emission of Pollutants” which was already
promulgated and implemented and the forthcoming compulsory automotive safety regulations
would greatly push forward the development of China’s automotive electronic industry.
The auto wiring and auto audio appliance in the sector of automotive electronics in TEDA
are in the leading position in the country. The multinationals who have investment in TEDA
include Lear Co. from USA, Yazaki Group, Sumitomo Co., Fujitsu Ten Co., Tokairika, Denso Co.,
from Japan, Seahan Precision Co., Hyundai Electronics Co. and Daihee Electronics Co. from R.O.
Korea. And Motorola Co., the number one automotive electronic products supplier, produces
products such as automotive electronic ignition devices in TEDA.
In the period from 2002 to 2010, TEDA will give emphasized support to the
development of emphasized sectors and products including: automotive engine electronic
control system, automotive safety and fault diagnosing system, automotive information
system, automotive products of comfort and pastime and their relevant auxiliary items.
6. Optical Communications
As one of the most active sector in the global information industry, in the coming years, the
world optical communication sector will retain its momentum with brisk market and rapid growth.
The forecast by the Comprehensive Planning Department of the State Ministry of Information
Industry shows: up to 2005, the world market of optical communication products will reach 85
billion USD, the global consumption of optical fiber cables for the year will exceed 180 million
kilometers. The Asian Pacific region was the only market with growth in 2001; in the situation
that the telecommunication construction in the North America is saturating, China will be the
place for various major international manufacturers to contend for.
The optical communication sector in China has maintained a comparably high growth rate of
30 % to 40 % in the recent years; it has become one of the sectors with the highest growth in
China. At present, in China, a comparably complete optical communication industrial system
including the sectors such as optical fiber cable, optical transmission equipment, light source and
photo-detecting devices and photoelectric devices; over 80 % of the optical communication
products required by the domestic market are made in China. However, on the whole, its industrial
level is low; the production scale is small; most of the key technique and auxiliary items rely on
import; and there is a relative wide gap between it and the world advanced level.
In the period from 2002 to 2010, TEDA will give emphasized support to the development
of the optical communication sector and products including: optical fiber preform, optical
fiber network connecting equipment, SDH fiber transmission equipment, dense wave
division multiplexing equipment and relevant key photoelectric devices.
7. Software
The software industry in China is still small in scale and short of strength to compete with
overseas big enterprises; its sales for 2001 reached only 28.5 billion yuan, accounting for 1.85 %
of the total sales of the global software industry of 85 billion USD. It is estimated that in the
forthcoming 4 years, the software industry in China will continuously retain an annual average
growth rate of 27.6 %; by 2005, its sales will reach 75.8 billion yuan, accounting for 3 % of the
total sales of the world software industry.
The intermediate software and built-in software will be the highlight in the development of
software market of China. At present, the intermediate software, which starts to be widely used in
the finance and telecommunication departments, also finds its rapid start-up in the fields of traffic,
energy and government work. It is estimated that in the forthcoming 4 years, the intermediate
software will maintain a growth rate of 55 %; and by 2005, it will occupy 12.3 % of the total sales
income of the software industry. In addition, the revolution of digitalization and networking will
put software widely into various equipment; the information home appliance software platform,
mobile equipment built-in software platform, industrial real time control system software platform
and the built-in network route operating system will be the immense application fields for the
built-in software and create vast business opportunities for built-in software products.
In the period from 2002 to 2010, TEDA will actively develop the software service, push
forward the industrialization of software production with components as the basis, focus on
the development and industrialization of LINUX based software, intermediate software,
built-in software, supporting software and application software so as to form a streamline of
development, production and technical service.
Chapter
Five
Major Points on Implementation of Tianjin Economic-Technological
Development Area Master Plan on Electronic Information Industry
One Earnestly Transforming the Governmental Functions, Improving the Working Style of the
Administrative Departments and Building An Excellent Investment Soft Environment
It is imperative to intensify the transform of governmental functions, to bring into full play the
functions of market, trade associations and intermediary organizations, reduce the governmental
direct intervention in economic activities, reduce in a wide range the items for examination and
approval proceedings and simplify the examination and approval formalities. It is imperative to
administer according to law, build fair market environment and maintain normal economic order.
Further working in line with the standard and requirements of ISO9001, it is imperative to
optimize and reform the work flow of government departments, set up a system of open
government affairs, harmonized operation, efficient work, standardized conduct and just and clean
administration, pay high attention to the internal collaboration among departments and the service
attitude, quality and results, to practice the system of internal service to be done within prescribed
time and enhance the service awareness and efficiency.
It is imperative to establish the supervisory and restrictive mechanism, including internal
superintendence and external supervision mechanism, bring into active play the role of the
supervisory and restrictive mechanism and ensure the implementation of various rules and
regulations.
Two Implementing the Strategy of Prospering TEDA with Science and Education and
Constructing A New System of Technical Innovation
It is imperative to speed up the construction of the enterprise engineering research centers,
technological development centers and postdoctoral work stations. It is imperative to strive to
bring in national or provincial or ministry-level research and development engineering centers,
encourage and support large enterprises in TEDA to set up engineering research centers and
technical development centers and help actively the enterprises with necessary qualifications
apply for the setting up of postdoctoral work stations. TEDA strives to bring in 10 to 15 research
and development engineering centers of the provincial and ministry-level or above, and complete
the construction of 30 to 40 new “ one station and two centers” by 2010 so as to enhance the
technological strengths of enterprises and raise their own abilities of research and development.
It is imperative to support the development of higher education in TEDA ( including higher
professional education), establish a mechanism of transforming high and new technological
advancement into productivity with combination of production, education and research, support
the institutes of higher learning in TEDA in their cooperation with enterprises to set up research
and development institutions and carry out cooperative projects of production, education and
research, actively construct the two-way exchange channels to have students in schools of higher
learning to practice in enterprises, and staff and workers of enterprises to be trained in schools of
higher learning so that a long term cooperative and strategic partner relationship will come into
being between schools of higher learning and enterprises.
TEDA International Incubator Center and the Scientific and Technological Park of Tianjin
University should, with respect to the sectors of wireless communication, integrated circuits,
optical communication and etc., carry out the construction of fundamental scientific and
technological facilities such as open laboratories, designing centers and testing institutions,
shorten the periods of research, development and production of new products and reduce the costs
of medium and small enterprises in their development and production of new products.
TEDA Science and Technology Development Fund should guide the social funds into the
research and development, lead enterprises to expand their proportion of research and
development expenses and put in more in the research of key technology and its industrialization.
Three Establishing An Investment and Financing Structure with Multi- Investors, Multi-Levels
and Multi-Channels and Ensuring the Input of Funds
The total sales income of the electronic information industry during the Tenth Five Year Plan
is planned to have a net increment of 67.5 billion yuan; the total input requires 5.6 billion USD,
60 % of the amount is by way of utilization of foreign investment, the rest 40 % is to be raised by
enterprises themselves or through loan arrangement from banks.
It is imperative to guide and support qualified enterprises to go public (including the second
board market and the stock market out of the boundary), through the listed companies or by
purchase of small listed companies, attract the listed companies from other business lines to join,
or issue enterprises’ bonds so as to support enterprises to raise social free funds to carry out
project construction.
Teda Scientific and Technological Venture Capital Stock Company should actively help the
electronic information enterprises in TEDA find channels to utilize the internal and external
venture capital funds and promote quick sound development of the electronic information industry
in TEDA, help the municipal venture capital funds put in the key projects of the electronic
information industry and promote the development of new and high tech enterprises.
It is imperative to strive for input of various funds such as the State policy oriented loans
with favorable terms and fiscal bonds, give full display to the great potentials of
non-governmental funds and attract these funds for the development of the electronic information
enterprises in TEDA.
It is imperative to guide enterprises to allocate fully and use well the Expenses on Technical
Development, to strengthen the capabilities of self accumulation and self development of
enterprises. It is imperative to encourage enterprises to absorb advanced equipment and
technology, liquidize remnant assets and optimize the allocation of productive elements by way of
lease, merger, acquisition and joint stock system and etc.
Four Building Supporting Industrial Bases and Creating the Best Chain of Supplies to the
Electronic Information Industry in the Country
It is imperative to make the whole-set products industry strong so as to increase the attraction
to the enterprises of components and devices. On one hand, it is imperative to take effective
measures to promote the existing key enterprises such as Motorola and Samsung to further
develop in TEDA, which would play an important role in laying the foundation for the electronic
products production base of TEDA and even that of Tianjin. On the other hand, it is imperative to
attract other internal and external well known whole-set products enterprises to settle in TEDA,
which would effectively stimulate and bring about the demand for components and devices and
the improvement of the two way driving force between whole-set products enterprises and
enterprises of components and devices.
It is imperative to improve the industrial chain and enhance the rate of local supply
complementary to the whole-set products. Aiming at the existing problems in local supplies
complementary to the whole-set products of TEDA and Tianjin, it is imperative to work out the
subject catalogue for investment attraction and hold the investment attraction seminars on supply
complementary to the whole-set products of the electronic information industry. It is imperative to
establish the market of supply of electronic components and devices to the whole-set products in
the combined form of tangible exhibitions and supporting electronic websites, collect widely the
information on supplies to the electronic information industry and publish it regularly to the
enterprises in TEDA. It is imperative to give full display to the role of medium and small
enterprises parks, encourage medium and small enterprises of the electronic information industry
to develop supporting products through technical renovation or attraction of investment.
It is imperative to set up logistics centers of high efficiency and enhance the soft supporting
facilities. It is imperative to speed up the construction of public bonded warehouses, attract well
known international logistic enterprises to come to TEDA to operate, improve E-commerce
environment, ensure the realization of E-custom entry and greatly raise the logistic efficiency so
as to heighten the soft facilities to support the electronic information industry of TEDA and push
forward the electronic information industry of TEDA to develop soundly.
It is imperative to set up research and development institutions and organize quality testing
centers. It is imperative to make full use of the local educational and technical research and
development strengths, strive to establish in TEDA the national-level research and development
centers of electronic products and the quality testing centers of electronic components and devices,
enhance the scientific and technical research and development capabilities of TEDA and its
authority in the realm of electronic products so as to turn TEDA a genuine electronic components
and devices base with integration of research and development, manufacture and trade.
Five Strengthening the Development of Human Resources and Ensuring the Supply of Talents
It is imperative to improve constantly the preferential policies to attract senior talents to work
in TEDA, to help enterprises attract and retain a group of professional managers and leading
persons in the technological fields and specialties who have acclimatized themselves to market
principles, international practice and requirements of new and high tech industrial development.
It is imperative to develop human resources, quicken the construction of higher education
(including higher professional education) of TEDA and train independently various types of
engineering and technical personnel to be required by the electronic information industry.
Chapter Six
Addenda
Addendum 1: IT Industrials among the Top 5oo for 2001 Ranked by U.S Magazine “Fortune”
That Have Invested in TEDA
Table 16 List of IT Enterprises of TEDA with Investment of
Top 500 for 2001 Ranked by US “ Fortune”
Natio
nalit
y
Company
Rank
in 500
Sumitomo
18
Matsushita Electric Industrial
26
Japan
Enterprise in TEDA
TIANJIN JIN ZHU WIRING SYSTEM
COMPONENTS CO., LTD
TIANJIN
MATSUSHITA
ELECTRONIC COMPONENTS CO.,
LTD
Natio
nalit
y
Company
Rank
in 500
Sanyo Electric
238
Toyota Tsusho
250
Denso
271
Canon
171
Nomura Securities
443
Motorola
95
Emerson Electric
323
EMERSON ELCTRIC (TIANJIN) CO.,
LTD
Honeywell
180
HONEYWELL (TIANJIN) LIMITED
USA
Enterprise in TEDA
TIANJIN
SANYOO
TELECOM.
EQUIPMENT CO., LTD
TIANJIN
FUJITSU
TEN
ELECTRONICS CO., LTD
TIANJINTOKAILIKAAUTOMOTIVE
PARTS CO., LTD
TIANJINDENSO
ELECTRONICS
CO., LTD
TIANJIN CANON CO., LTD
TIANJIN STANLEY ELECTRIC CO.,
LTD
MOTOROLA (CHINA)
ELECTRONICS LIMITED
TIANJIN SAMSUNG ELECTRONICS
DISPLAY CO., LTD.
TIANJIN SAMSUNG TELECOM
TECHNOLOGE CO., LTD
TIANJIN SAMSUNG ELECTRONICS
CO., LTD.
TIANJIN TONG GUANG SAMSUNG
ELECTRONICS CO., LTD
Samsung Electronics
92
R.O.
Korea
Hyundai
103
Singap
ore
Flextronics International
425
France
Alcatel
146
AST COMPUTER（CHINS）LIMITED
TIANJIN SAMSUNG
OPTO-ELECTRONICS CO., LTD.
TIANJIN
SAMSUNG
ELECTRO-MECHANICS CO., LTD
SAMSUNG
HIGH
TECH
ELECTRO-MECHANICS （TIANJIN）
CO., LTD
HYUNDAI ELECTRONICS (TIANJIN)
CO., LTD.
HYUNDAI ELECTRONICS (TIANJIN)
MULTIMEDIA CO., LTD
FLEXTRONICS
INDUSTRIAL
(TIANJIN) CO., LTD
NEXANS TIANJINMAGNET WIRES
AND CABLES CO., LTD
Addendum 1: TEDA System of Industrial Promotion Policy
TEDA System of Industrial Promotion Policy
New and High Tech Industrial Promotion Policy
Policy on Rewards for Recommendation of Projects
Other Industrial Promotion Policy
1.
2.
3.
4.
5.
6.
Provisions of Tianjin Economic-Technological Development Area on Promoting the Development of
High and New Technology Industries
Interim Provisions of Tianjin Economic Technological Development Area on Encouraging
Venture (Start-up) Investment
Interim Provisions of Tianjin Economic Technological Development Area on Encouraging
Enterprise Incubators
Provisions of Tianjin Economic Technological Development Area on Encouraging Senior
Talents to Move in
Interim Measures of Tianjin Economic Technological Development Area on Special Bounties
to Encourage Senior Managerial and Technical Personnel of TEDA to Purchase Commodity
Houses
Measures of Tianjin Economic Technological Development Area Concerning the Rewards for
7.
8.
9.
10.
11.
12.
13.
14.
15.
Recommendation of Projects
Interim Provisions of Tianjin Economic Technological Development Area on Encouraging
Social Investor Entities to Invest in Operational Infrastructure Projects
Measures of Tianjin Economic Technological Development Area on Encouraging Investment
in Construction of Standard Factory Buildings by Enterprises
Interim Provisions of Tianjin Economic Technological Development Area on Encouraging
Investment and Development of Manufacturing Industries
Interim Provisions of Tianjin Economic Technological Development Area on Encouraging
Investment and Development of Tertiary Industries
Detailed Rules for Implementation of the Provisions of Tianjin Economic-Technological
Development Area on Promoting Development of High and New Technology Industries
Measures of Tianjin Economic Technological Development Area on Administration of Senior
Talented Personnel Authentication
Measures of Tianjin Economic Technological Development Area on Administration of
Enterprise Postdoctoral Workstations
Detailed Rules for Implementation of Preferential Treatment Clauses Concerning Land for
Industrial Use and Standard Factory Buildings of the Policy System on Promoting Industries
of Tianjin Economic Technological Development Area
Detailed Rules for Implementation of Clauses Concerning Fiscal Support of Tianjin
Economic Technological Development Area