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6 Special Report on the State of Business in South China
4. Guangxi Zhuang Autonomous Region
Link to South Asia and Wuzhou. Pinyang produces ceramics, fans, felt caps, cop-
perware, combs, brushes and straw bonnets.
As the only province of China with both land and water
connections to Southeast Asia, Guangxi’s position was signifi- In January 2012, Sinopec opened a renovated refinery in
cantly enhanced by the inauguration of the China-ASEAN the coastal city of Beihai. The new facility can refine 100,000
Free Trade Area in early 2010. The province borders Vietnam to barrels per day, and is integrated with a 200,000 ton-per-year
the west and is connected to Hong Kong and Macau by the Xi polypropylene unit for producing plastics.
River. Cross-border, small-value trade with Vietnam accounted
for around 57 percent of Guangxi’s total exports in 2014. Spotlight on Development Zones
Guangxi is also home to new high-tech development zones
The provincial capital of Nanning in particular plays a key
role in China-ASEAN relations. The city is the permanent aimed at attracting investors in the logistics, bio-engineering,
home of the annual China-ASEAN Expo and the China- IT, electronic components and shipping industries. The Nan-
ASEAN Economic Park, a provincial-level park based in the ning-Guizhou-Kunming Economic Belt and the Beibu Gulf
Nanning Overseas Chinese Investment Zone, which aims to Economic Zone are being constructed and efforts are being
enhance cooperation between the region and the ASEAN taken to enhance the cooperation with Taiwan and other areas
countries. in and outside of Guangxi. At present, over 3,000 companies
have settled into Guangxi’s 37 industrial parks, including China
Economy Petroleum, SDIC Power Holdings, Sinar Mas Group of Indo-
nesia, Noble Group of Singapore, China National Cereals, Oils
Guangxi is home to many ethnic minority groups and its and Foodstuffs Corporation (COFCO) and Coca Cola.
economy is based on agriculture and tourism (especially the
city of Guilin, known for its proximity to the Lijiang River The High-Tech Industrial Development Zones of Nanning,
and Karst Peaks). Key agricultural products include sugarcane, Liuzhou, Qinzhou, Guilin, and Yuchai all generated an indus-
of which Guangxi is the leading producer in China, and silk- trial output value over RMB10 billion in 2011. In addition to
worm products. Major grain crops include rice, maize, wheat industrial output value, the development zones are a key source
and sweet potatoes. Leading commercial crops include peanuts, of jobs in the province. The province’s industrial zones have
sesame, ramie, tobacco, tea, cotton, and indigo. Guangxi is also been developing their industrial cluster according to the area
a major producer of fruit: most notably pomelos, tangerines, characteristics. For example, the coastal areas of Qinzhou, Bei-
mandarin oranges, lemons, lychee, pears, papayas, bananas and hai and Fangcheng are now focused on petrochemicals, power
pineapples. The region’s timber (sandalwood and cork) and plants, manganese steel, sugar, and high-tech products.
fishing industries are both important contributors to the local
economy. Efforts have been made by the local government to increase
both foreign- and domestic investment in the region. Global
The province is also known for its wide variety of minerals companies like Toyota, General Motors, NEC and IBM have all
and metals, and its aluminium processing industry. In 2011, made investments in Guangxi. Many large enterprises have estab-
Guangxi launched a new materials research and development lished regional headquarters in the city since July 2010 (when
center, investing RMB30 million in R&D for new metallic incentives were introduced to encourage doing so), including the
materials, the comprehensive utilization of low-quality iron re- brewer, Tsingtao, and household appliance maker, Haier.
sources, and laterite-nickel ore.
As part of the China-ASEAN framework, the Pan-Beibu
Food processing, auto manufacturing, petrochemicals, Gulf Economic Cooperation Zone is comprised of the Guangxi
power generation, nonferrous metals, metallurgy and machin- Zhuang autonomous region, Guangdong and Hainan provinc-
ery are the seven key industries of Guangxi. In addition, build- es, Vietnam, Malaysia, Singapore, Indonesia, the Philippines
ing materials, pharmaceutics, textiles and garments, shipbuild- and Brunei.
ing, as well as the marine equipment manufacturing industries
have grown rapidly in recent years. Pine resin is notable as an Infrastructure
export-oriented commodity produced in the city of Wuzhou.
The province’s heavy industries include iron, cement and steel Air
works in Liuzhou, as well as machinery production in Nanning Guangxi’s airports include Nanning Wuwei, Guilin Liang-
62 he, Beihai Fucheng, Liuzhou Baihe, and the much smaller Baise
Tianyang and Quzhou Cheung Chau Island.
4. Guangxi Zhuang Autonomous Region
Link to South Asia and Wuzhou. Pinyang produces ceramics, fans, felt caps, cop-
perware, combs, brushes and straw bonnets.
As the only province of China with both land and water
connections to Southeast Asia, Guangxi’s position was signifi- In January 2012, Sinopec opened a renovated refinery in
cantly enhanced by the inauguration of the China-ASEAN the coastal city of Beihai. The new facility can refine 100,000
Free Trade Area in early 2010. The province borders Vietnam to barrels per day, and is integrated with a 200,000 ton-per-year
the west and is connected to Hong Kong and Macau by the Xi polypropylene unit for producing plastics.
River. Cross-border, small-value trade with Vietnam accounted
for around 57 percent of Guangxi’s total exports in 2014. Spotlight on Development Zones
Guangxi is also home to new high-tech development zones
The provincial capital of Nanning in particular plays a key
role in China-ASEAN relations. The city is the permanent aimed at attracting investors in the logistics, bio-engineering,
home of the annual China-ASEAN Expo and the China- IT, electronic components and shipping industries. The Nan-
ASEAN Economic Park, a provincial-level park based in the ning-Guizhou-Kunming Economic Belt and the Beibu Gulf
Nanning Overseas Chinese Investment Zone, which aims to Economic Zone are being constructed and efforts are being
enhance cooperation between the region and the ASEAN taken to enhance the cooperation with Taiwan and other areas
countries. in and outside of Guangxi. At present, over 3,000 companies
have settled into Guangxi’s 37 industrial parks, including China
Economy Petroleum, SDIC Power Holdings, Sinar Mas Group of Indo-
nesia, Noble Group of Singapore, China National Cereals, Oils
Guangxi is home to many ethnic minority groups and its and Foodstuffs Corporation (COFCO) and Coca Cola.
economy is based on agriculture and tourism (especially the
city of Guilin, known for its proximity to the Lijiang River The High-Tech Industrial Development Zones of Nanning,
and Karst Peaks). Key agricultural products include sugarcane, Liuzhou, Qinzhou, Guilin, and Yuchai all generated an indus-
of which Guangxi is the leading producer in China, and silk- trial output value over RMB10 billion in 2011. In addition to
worm products. Major grain crops include rice, maize, wheat industrial output value, the development zones are a key source
and sweet potatoes. Leading commercial crops include peanuts, of jobs in the province. The province’s industrial zones have
sesame, ramie, tobacco, tea, cotton, and indigo. Guangxi is also been developing their industrial cluster according to the area
a major producer of fruit: most notably pomelos, tangerines, characteristics. For example, the coastal areas of Qinzhou, Bei-
mandarin oranges, lemons, lychee, pears, papayas, bananas and hai and Fangcheng are now focused on petrochemicals, power
pineapples. The region’s timber (sandalwood and cork) and plants, manganese steel, sugar, and high-tech products.
fishing industries are both important contributors to the local
economy. Efforts have been made by the local government to increase
both foreign- and domestic investment in the region. Global
The province is also known for its wide variety of minerals companies like Toyota, General Motors, NEC and IBM have all
and metals, and its aluminium processing industry. In 2011, made investments in Guangxi. Many large enterprises have estab-
Guangxi launched a new materials research and development lished regional headquarters in the city since July 2010 (when
center, investing RMB30 million in R&D for new metallic incentives were introduced to encourage doing so), including the
materials, the comprehensive utilization of low-quality iron re- brewer, Tsingtao, and household appliance maker, Haier.
sources, and laterite-nickel ore.
As part of the China-ASEAN framework, the Pan-Beibu
Food processing, auto manufacturing, petrochemicals, Gulf Economic Cooperation Zone is comprised of the Guangxi
power generation, nonferrous metals, metallurgy and machin- Zhuang autonomous region, Guangdong and Hainan provinc-
ery are the seven key industries of Guangxi. In addition, build- es, Vietnam, Malaysia, Singapore, Indonesia, the Philippines
ing materials, pharmaceutics, textiles and garments, shipbuild- and Brunei.
ing, as well as the marine equipment manufacturing industries
have grown rapidly in recent years. Pine resin is notable as an Infrastructure
export-oriented commodity produced in the city of Wuzhou.
The province’s heavy industries include iron, cement and steel Air
works in Liuzhou, as well as machinery production in Nanning Guangxi’s airports include Nanning Wuwei, Guilin Liang-
62 he, Beihai Fucheng, Liuzhou Baihe, and the much smaller Baise
Tianyang and Quzhou Cheung Chau Island.