Investment Environment

I. General Situations of Huadu District   
 

Huadu District locates in the north of Guangzhou with 22 kilometers far from the downtown area, meanwhile locates at the vital line from the Pearl River Delta to the whole country. At present, the permanent population, migrant population, and annual commercial and tourist population of the whole district are 750 000, 300 000, and 350,0000 respectively. Its annual average temperature, average annual rainfall, and mean relative humidity are 21.8 ℃, 1753.9mm and 76% respectively; moreover, the predominant wind direction of the whole year is southeaster, the frost-free period is 365 days, and the underground water table is about 1.2-3.5 meters.
Huadu District has established three functional sections, including the “Sports Section” oriented by sports, “Business Section” with the New Century Plaza as center, and “Administration Section” taking Huadu Plaza as a representative. Moreover, the city has obtained the titles like “Town of Flowers and Trees in China”, “City of Civilization in Guangdong Province”, “City of Health in Guangdong Province”, “City of Excellence in Integrative Management of Environment in China”, etc. In the urban area, there are many residential quarters including Yabao New Town, Green Garden of China Southern Airline, Agile Garden, Junwei Plaza, Golden-Chrysanthemum, etc., which possess complete functions, consummate facilities, and 24-hour security service. Meanwhile, the large-scale department stores like Guangzhou Grandbuy Building, Xinhua Shopping Mall, Huadu Shopping Center and so on, also available in the district.

1. Status of Medical Facilities: there are 18 hospitals in the urban area, of which 3 are AA hospitals, and 6 are A hospitals. There are 1642 beds and 2,335 technicians and advanced facilities including Siemens Spiral, fully-auto biochemical analyzer, and appliances for mini-invasive operations.

2. Restaurants and Entertainment Facilities: There are 47 comprehensive hotels in the district, which can provide more than 8,000 beds and over 30,000 eating locations. Moreover, the eight star-level hotels like the New Century Hotel can provide Chinese food, Western-style food, and Korean/Japanese food, as well as Southeast Asia style, etc. Furthermore, our district processes two golf courses, three bowling courts, over fifty sports and entertainment places like singing and dancing halls, bars, reflexology houses, saunas, tea bars, swimming halls, table-tennis gyms, badminton gyms, gymnastic centers, etc. Meanwhile, three five-star hotels under construction, and the exotic communities as Japanese Village and the European Town, etc., which have provided an excellent environment of adequate and systematic service for investment of the enterprises.

3. Public Security: The district has a good public order. Huadu Public Security Sub-Bureau governs 18 police stations, one constable battalion (4 constable squadrons), one traffic police brigade (11 traffic police squadrons), and 1 public order brigade. Hence, the satisfaction rate of the citizens on the public order ranks top in Guangzhou for two consecutive years. 


4. Huadu has 12 universities and colleges including Peizheng Business School, Guangzhou Traffic Technology College, South Trade & Economy College, Guangzhou Urban Construction College, Guangzhou Business College Huadu Branch, etc., Annually there are more than 2,000 graduates from the universities and colleges and polytechnic schools with majors in various subjects; moreover, there are several national key universities like Sun Yat-sen University, Jinan University, South China University of Technology, South China Normal University, etc., which can provide various types of high-quality talents. Meanwhile, in the district, there are also schools like School of Automobile of South China University of Technology, Tse Shui LunJewelry School, the Leather Products School, providing supporting talents for the enterprises.

5. Economy: Huadu District is situated in the north of Guangzhou, and located at the vital transportation line from the Pearl River Delta to other places in the whole country. Due to the special traffic advantages and regional advantages, excellent conditions are provided for rapid development of economy; hence, Huadu District may turn into a region with the most dynamic economy in the Pearl River Delta step by step. The GDP (Gross Domestic Product) of Huadu District for 2004 and the gross industrial output value are RMB 25.167 billion and RMB58.373 billion, increased by 12.11% and 10.68% over the last year respectively; what’s more, the amount of exports for foreign trade is US$516 million with 31.72% up, which has completed the mission beyond target set by the Municipal government; the usual local financial revenue forecast is RMB 930 million (updated data), reaching RMB 1.23 billion; the total amount of tax revenues is RMB 3.02 billion (excluding the customs duties of RMB 1.427 billion Yuan), with a rise of 8.44%, and the growth extent ranks top of the whole Guangzhou city; 1,000 projects have been introduced, and the total amount of investment and registered capital has reached RMB 4.791 billion and 2.374 billion respectively, ranking high among the whole Guangzhou city; the foreign investment introduced on contract basis is US$ 280 million, increased by 42.23%; while the actual utilization of foreign investment is US$236 million, increased by 171.95% with the growth extent ranking the first in the city.

Through years of development, the industries of Huadu District have achieved a certain scale of industrial economy. The industries of automobile, leather and leather products, and gold and silver jewelries and accessories have developed into three great pillar industries in our district gradually, and the airport logistics has also achieved great development; meanwhile, our district has a solid industrial base in such industries as electronics, building materials, garment manufacturer and textile, etc.

Climate:

The average air temperature of each month:
JanuaryFebruary March April May June July August September October November December
13.114.217.622.0 25.5 27.4 28.4 28.627.123.8 19.315.0
Minimal humidity: 7%
Maximal humidity: 100%
(Indicating the relative humidity) There are 24 days with 100% of relative humidity from 1958 to 2000.
The statistics above include 42 years from 1958 to 2000.
Xinhua Observatory: East Longitude113°13?
North Latitude23°38?

  II. Regional Advantages & Transportation Conditions
      

Huadu District lies adjacent to Conghua in the east, Sanshui and Nanhai in the west, Guangzhou in the south and Qingyuan in the north. Moreover, it takes less than 30-minute drive from Xinhua Street (the urban area of the district) to other towns around.

Land Way Traffic: Expressway: there are Guang-Qing Expressway, Jing-Zhu Expressway, the New Airport Expressway, the North Second Ring Expressway, Ring Expressway of the Pearl River Delta, totaling five expressways in the district. In detail, it takes 20-25 minutes to drive to the center of Guangzhou via Guang-Qing Expressway or the New Airport Expressway; it takes 50 minutes to drive south to Foshan via Guang-Qing Expressway, and 30 minutes to Qingyuan; 90 minutes’ to drive south to reach Zhuhai via Jing-Zhu Expressway and 60 minutes drive north to Shaoguan; Moreover, 40 minutes will be sufficient to reach Dongguan through the North Second Ring Expressway with a turn to Guang-Shen Expressway and 60 minutes to Shenzhen. National highway: there are three national highways including the No.105, No.106 and No.107. National highways pass through Huadu District in south-north direction, which makes Huadu become a main traffic artery leading to the inlands from the Pearl River Delta. As for local traffic, there are 2 six-lane highways connecting with other towns, which have formed a traffic network of the "#" shape together with the No.105, No.106, No.107 National Highways and Jing-Zhu Expressway. Generally speaking, the traffic is very convenient.

Railway Transportation: Guangzhou North Railway Station is located in Xinhua Town, Huadu District, Guangzhou, through which every railway station of the whole country can be reached. Besides, Guangzhou Railway Container Joint Center to be constructed will be situated in Shiling Town of Huadu District with annual cargo tonnage of 17 million tons, and it is also the largest logistics center project planned in South China Region.

Air Traffic: Guangzhou New Baiyun International Airport is located at the border between Baiyun District and Huadu District of Guangzhou City. Furthermore, the center of Huadu District is 6km far from Guangzhou New Baiyun International Airport, taking around 10 minutes to get there by car.

Sea Transportation: Huadu Harbor is located in the district, which can provide convenient sea transportation. Moreover, its annual throughput capacity is 100,000 standard containers and 850,000 tons of bulk cargos; meanwhile, the harbor covers a 520 meters of port line with a cargo yard of 50,000 m2. The harbor is 4 meters deep, able to park 8 cargo ships of 1,000-ton level at the same time. The wharf possesses 6 cranes of 5-45 tons, 1 truck crane of 50 tons, 11 forklifts of 2.5-7 tons, and 90 tow trucks. Over 70-ton equipment has ever been hoisted at the wharf. With 600-1000 tons of ship capacity (600 tons for the period without rainfall), 10-12 hours of voyage to Hongkong (108km) and 4-hour voyage to Huangpu Port (80km). The harbor is a national level 2 port with the government organs like Customs, Entry-Exit Inspection and Quarantine stationed there. At present, the expansion of river courses and wharf are underway, and the throughput capacity will reach 300,000 standard containers by 2007.

As for export conditions, the organs like the Customs and Bureau of Entry-Exit Inspection and Quarantine have been set up in Huadu District, and the 24-hour clearance has provided enterprises with quick and effective services; moreover, the examination field of container trucks from Hong Kong and Macao has been set up, and the main outbound transportation harbor is Huadu Harbor.

III. Supplies of Water, Power and Gas
 

Water Supply
Currently there are 3 water supply plants and 1 underground pumping station in our district, of which the daily water outputs of Bajiang Water Plant, Xiuquan Water Plant, Dongbu Water Plant and Dahua Pumping Station are 50 000, 40 000, 100 000 and 10,000 tons respectively. Currently, the daily average water consumption of our district is 130 000 tons and the capacity surplus reaches 70 000 tons. Moreover, the daily water supply capacity hits 200 000 tons, ex-plant water pressure 4.5kg, and diameter of the water pipe 800-1200mm, and the class of water quality has met the requirements of the national drinking water. As for the power supply, the power source of our district is from the Power Grid. In detail, there are fifteen 110KV transformer stations, 1 220KV transformer station, and the output transformer capacity is 1340KVA; furthermore, the power supply rate of the enterprises in our district is 100%, and the daily average power supply volume is 4 760 000 KWH; meanwhile, there is 1 thermal power plant of 173 000KW in the district. As for gas, various sizes of gas pipelines can be installed according to the requirements of users.

2. Now our district is preparing to construct a surface water plant with daily water output of 80,000-100,000 tons, and it is estimated that the water plant will be put into service in 2005. At the appointed time, the water supply capacity of our district will achieve 300,000 tons per day.
The daily water-supply capacity of the automobile city is 70 000 m3/day and the trunk pipe of water supply is 1.2m in diameter.

Power Supply:
1. Currently Huadu District possesses Huadu Tianxin Power Station (220KV), Guangzhou Guotang Station (220KV), Qingyuan Shijiao Station (110KV--used only for emergency); while the local power sources include Bajiang Booster Station and Huahui Booster Station. By the beginning of 2003, Huadu power network had consisted of one 220KV transformer station with a main transformer capacity of 2 x 150 MVA, fifteen 110KV transformer stations with twenty-seven main transformers and total capacity of 1080MVA respectively, one transformer station specially provided for users with a main transformer capacity of 6000KVA, and thirty-seven 110K+ transmission lines totaling 492km.


2. In 2004, the total power-supply volume of Huadu District reached 2 322 422 500 KVH, and the daily average power-supply volume is 6 362 800KVH.

3. The power of Huadu District is mainly supplied by the power grid of Guangdong Province, with 30% of the power from the thermal and hydraulic power stations of the district. Currently, Huadu District has one 220KV transformer station and fifteen 110KV transformer stations with main transformer capacity of 136KVA. In addition, the bulk users can connect the double-loop high-voltage dedicated line to the high-voltage switch cabinets of users as required.

Gas Supply:
The supply capacity of the auto-city is 5-8 tons per hour, and the cost is RMB 7/m3. There is a mixture reserve station of LPG covering a floor area of 15mu near Mount Fei-E around Huadu Auto-City with its tank capacity 500m3, inner diameter of gas supply pipeline 300mm, gasification supply capacity 7 500m3/hr, low combustion media 10 000 Cal, and gas supply pressure 0.15Mpa.

IV. Labor Resources
       As for labor resources, there are more than 2,000 graduates from the institutions of higher education and polytechnic schools each year, and the district possesses a talent exchange center and various labor markets; in addition, Guangzhou North Railway Station is located in Xinhua Town of Huadu District, and the migrant population in the district is over 300 thousand, so that the district can provide abundant labor resources for employment.