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Analysis on New Pattern & Trend of China’s Regional Economy Development WU Shaoping Capital University of Economics and Business, China [email protected] Abstract: The formulation of regional economic blueprint should be studied and explored on a forward-looking basis and from the perspective of strategic objectives of national macroeconomic regulation and control. The move to balance and develop regional economy, narrow inter-regional gaps and promote balanced development among all the regions, plays a positive practical role as well as an important strategic role in developing social productive forces, enhancing our country’s comprehensive power and competitive power and realizing common prosperity. We should design the overall pattern of regional coordinated development on the basis of the situation of China and in accordance with the requirements for comprehensively pushing forward modernization as well as the realistic bases and actual situation of regional development; we should comprehensively promote reform deepening and common development. The coordinated development of regional economy exists throughout the “five balanced aspects” in an all-round and multi-level way. We should promote and facilitate the healthy and sustainable development of regional economy under the guidance of the scientific outlook on development; we should attach importance to as well as speed up the construction of economic and technological development zones; we should also accelerate the synchronized propulsion of regional economy and industrial economy. Thus, the new pattern and new trend of regional economy which can be described as national overall consideration, north-south link, west-east echo, central-China rise, coordinated operation and outward radiation takes shape. Keywords: Regional economy, Pattern and trend, Sustainable development 1 Regional Economy Development in China’s Macroeconomic Control Regional economy refers to a general term for economic activities in a certain district or a region. The move to balance and develop regional economy, narrow inter-regional gaps and promote the balanced development among all the regions, plays a positive practical role in developing social productive forces, enhancing our country’s comprehensive power and competitive power and realizing common prosperity; the move is of great strategic significance for accelerating and achieving faster, better and sustainable China’s economy development. The research and exploration on the promotion of China’s regional economy development should be on a forward-looking basis and from the perspective of the strategic background of national macroeconomic regulation and control. At present, many researches are on different regions respectively; thus, macro-level and overall researches on regional economy development should be further strengthened based on those researches. From the perspective of national macroeconomic regulation and control, the key point of the coordinated development of China’s regional economy rests with coordinating and handling several principal relationships, including the relationship between eastern regions and central & western regions, the relationship between coastal regions and interior regions, the relationship between regional economy and industrial economy, and so on. Premier Wen Jiabao pointed out and stressed the following when he attended 2009 Boao Forum for Asia: it is necessary to comprehensively strengthen infrastructure construction and promote coordinated development of China’s economy. Uneven rural-urban and regional development is not only a 327 prominent contradiction of China’s economic and social development, but also an enormous potential point of economic growth. [1] We should strive to realize the optimization of regional structure, achieve scientific division of work, rational layout and advantage complementation, effectively use all kinds of economic resources and comprehensively promote reform deepening and common development in all the regions. 2 “Five Balanced Aspects” and Regional Economy Development “Decision” of the 3rd Plenum of the 16th CPC Central Committee puts forward the requirement in consideration of realizing the scientific development of China’s society and economy [2]: China should promote national economy construction in a systematic, overall and strategic way and in accordance with the “five balanced aspects”, which refers to balancing urban and rural development, balancing development among regions, balancing economic and social development, balancing development of man and nature, and balancing domestic development and opening wider to the outside world. The coordinated development of regional economy exists throughout the “five balanced aspects” in an all-round and multi-level way. We should promote and facilitate the healthy and sustainable development of regional economy under the guidance of the scientific outlook on development. Development zone could become an important mode of regional economy development, and it refers to an economic region which applies special policies and management means within a certain ranges for attracting external production factors and promoting its own economic development. Development zone is of great exemplary significance for implementing the strategic layout of the “five balanced aspects”. Since 1970s, China took economic construction as the central task and gradually nailed down the development strategy of reform and opening up, which promoted the rise of special economic zones in China’s coastal areas. After the emergence of the special economic zone, two new types of development zones appeared in China in succession: economic and technological development zone (similar to export processing zone) and hi-tech industrial development zone or science-based industrial park. The development process of China’s economic and technological development zone experiences three phases which are start-up, growth and development. Since 1990s, development zones have achieved rapid development nationwide and various types have existed. Development zones cover special economic zone, economic & technological development zone, hi-tech industrial development zone, export processing zone, bonded zone, finance & trade zone, tourist resort, economic cooperation zone, etc. from the perspective of the functions and types of development zones; development zones could be divided into the state-level, the province-level, the city & region-level, the district & county-level and the village & town-level according to their different levels. Economic and technological development zones encourage, support and guide the healthy development of various kinds of economic sectors, provide hardware and software support and a full range of services for economic operation; they have become a China’s investment hotspot for foreign businessmen as well as a fundamental mode of export trade; the industrial structure levels of most economic and technological development zones are relatively high and capital-intensive enterprises and emerging industries play a dominant role; economic and technological development zones attach great importance to the optimization of policy environment, market environment, legal environment, service environment and social environment, have promoted economic operation and development with practical and powerful measures and have achieved remarkable success in the aspect of economic and social benefits; they have played an important role in regional economy restructuring and industrial structure adjustment in particular. We should pay great attention to the moderate macroeconomic regulation and control. At present, keeping growth has become the primary task of national macro control. In my opinion, from the perspective of space and time, China should attach importance to a series of balances including industrial balance, scale balance, structural balance, suburb-city balance, regional balance, process balance and opportunity balance, and then China should take corresponding measures. 328 3 Analysis on New Pattern & Trend of China’s Regional Economy Development With continuous advancement and development of China’s society and economy, China has studied and formulated Ten Industry Restructuring and Revitalization Plan, and the industries cover iron & steel, automobiles, shipbuilding, petrochemicals, textiles, light industry, nonferrous metals, equipment manufacturing, electronic information and logistics. China has also proposed a series of strategic plans on regional economy development in succession, and the plans include [3]: “The Outline of the Plan for the Reform and Development of the Pearl River Delta”, “Some Opinions on Supporting Fujian Province to Speed up Construction of Western Shore Economic Zone”, “Development Planning on Jiangsu Coastal Areas”, “Guanzhong-Tianshui Economic Zone Development Plan”, “Hengqin Overall Development Plan”, “Liaoning Coastal Economic Belt Development Plan”, “Cooperation and Development Planning Outline of the Tumen River Area of China”, “Plan on Boosting Central China Development”, “Development Plan of an Efficient Eco-Economic Zone at Yellow River Delta”, “Wanjiang Urban Belt Planning on Undertaking Industrial Transfer Demonstration Zones” and several other plans. These plans present a new situation, new pattern and new trend of China’s regional economy development as well as depict a new blueprint on the future of China’s regional economy. “The Outline of the Plan for the Reform and Development of the Pearl River Delta” marks out Guangzhou, Shenzhen, Zhuhai, foshan, Jiangmen, Dongwan, Zhongshan, Huizhou and Zhaoqing of Guangdong province as the main areas with a radiation area which is the Pan-Pearl River Delta region, and it embodies the strategic thinking on strengthening close cooperation with Hong Kong and Macao. Its strategic positioning is as below: to explore experimental areas with scientific development modes; to actively explore development paths for the transformation of economic development mode and provide a model for national scientific development; to deepen reform going-ahead areas, continue to undertake the historic mission as an “experimental field” of national reform, and comprehensively promote the reform on economic system, political system, cultural system and social system as well as to be the first to achieve breakthroughs in important fields and key links; to expand the important international open door, enhance the international competitiveness and construct international regional cooperation mechanisms for promoting economic globalization; to speed up scientific and technological innovation, develop world’s advanced manufacturing sector and modern service industry, create well-known brands and construct high-end economic bases. “Some Opinions on Supporting Fujian Province to Speed up Construction of Western Shore Economic Zone” is of great strategic significance. To the east of Western Shore Economic Zone, it’s Taiwan Strait; to the north, it’s Yangtze River Delta while it’s Pearl River Delta to the south. This economic zone is an important area of China’s coastal economic belt and it plays an important role in the structure of national regional economy development. At present, the cross-strait relationship has taken on significant positive changes, which provides an important opportunity for Western Shore Economic Zone to accelerate development and carry out cooperation with Taiwan. The move to support Fujian province to speed up the construction of Western Shore Economic Zone, is an urgent need for bringing comparative superiority of Fujian province into play and achieving sound and rapid development; it is a significant move for improving the economic layout of coastal areas and promoting the development in other western shore areas as well as regions with relative concentration of Taiwanese investment; it is also a deployment and planning for strengthening cross-strait cooperation & exchange and pushing forward the peaceful reunification of the motherland. The issuance of “Development Planning on Jiangsu Coastal Areas” indicates that the development of Jiangsu coastal areas has formally become a national strategy. Jiangsu coastal areas are located in the conjunction area linking three main axes of productive force layout which are coastal axis, along-Yangtze axis and along-Longhai-Lanxin axis. The move to speed up the development of Jiangsu coastal areas will play an importance role in stimulating social and economic development in northern Jiangsu and even the development in western and central China, promoting the coordinated development 329 of the Yangtze River Delta region, improving the productive force layout in coastal areas, strengthening China’s economic and trade cooperation with northeast Asia and regions along the New Eurasian Continental Bridge. “Guanzhong-Tianshui Economic Zone Development Plan” indicates that Guanzhong-Tianshui Economic Zone with Xi’an city as its center, has become an important component of national development strategy, and it further embodies China’s macro-oriented policy which is to push forward in-depth implementation of Western Development Strategy and to promote regional coordinated development. The economic zone is located in the center of Eurasian Continental Bridge and it is known as a strategic location which links the east and the west as well as connects the south and the north. The economic region has nailed down the orientation which can be described as “one height area & four base areas” covering national strategic height area of inland-type economy opening up and development, coordinated scientific and technological resource reform demonstration base, national important advanced manufacturing base, national hi-tech industrial base of modern agriculture and historical & cultural base highlighting Chinese civilization. “Hengqin Overall Development Plan” is a China’s significant move for the Pearl River Delta region to further deepen reform and expand opening up. It nails down the development orientation which is to explore a new-mode demonstration area for Guangdong-Hong Kong-Macao cooperation under the “one country, two systems” policy, to develop a going-ahead area of deepening reform & opening up as well as scientific & technological innovation, and to be a new platform for promoting industrial upgrading and development in the west-bank areas of Pearl River estuary; it lays stress on four key development industries, that is, Hengqin will construct a regional business service base in Guangdong-Hong Kong-Macao regions, a international renowned tourist resort base complementary to Hong Kong and Macao, a regional science, education & research platform in the west-bank areas of Pearl River estuary and a state-level hi-tech industrial base with the integration of advantages of Hong Kong and Macao. “Liaoning Coastal Economic Belt Development Plan” has greatly promoted the development of Liaoning coastal economic region. Liaoning coastal region is the only seaport area of Northeast China, it possesses Dalian Port, Jinzhou Port, Yingkou Port, Huludao Port, Dandong Port and some other excellent ports, it is open to navigation with more than 140 countries & regions and it has become the most convenient seaport area for northeast Asia to access to the Asian-Pacific region. The construction of the economic belt plays a significant role in the formation of Bohai Bay-Rim Economic Circle. “Cooperation and Development Planning Outline of the Tumen River Area of China – Taking Changchun-Jilin-Tumen as Going-ahead Opening up & Development Area” illustrates the guiding ideology, development goal and strategy positioning of the development and opening up in the Tumen River area; it lays emphasis on the self-construction of the going-ahead areas for development and opening up in Changchun-Jilin-Tumen, the linkage between Changchun-Jilin-Tumen and other domestic regions as well as the international cooperation of the Tumen River area; it proposes various explicit key tasks on spatial layout, industrial development and infrastructure, etc. and reinforce the implementation safeguards for the cooperation and development in the Tumen River area; it is in full consideration of the actual development situation of the Tumen River area as well as the needs for future development; it is not only beneficial to the promotion of comprehensive revitalization of northeast old industrial bases, but also good for the prosperity, stability and healthy development in border minority regions. “Plan on Boosting Central China Development” is related to six provinces including Shanxi, Anhui, Jiangxi, Henan, Hubei and Hunan. In 2008, the total output value of these regions stood at 6.3188 trillion yuan and accounted for 19.3 percent of the value of China. The six provinces play an important role in China’s economic and social development pattern. The plan puts forward the overall objective on the development of central China by 2015. “Development Plan of an Efficient Eco-Economic Zone at Yellow River Delta” indicates that the development of the Yellow River Delta is included into national strategy. The Yellow River Delta is located in the south of Bohai Bay, it covers the coastal areas of the Yellow River estuary, and it enjoys an advantageous geographical location, relatively rich natural resources, good ecological conditions and 330 a relatively powerful industry development foundation. The move to accelerate the development of efficient ecological economy at the Yellow River Delta not only affects the enhancement of overall strength and the overall situation of regional coordinated development in the Bohai Bay-Rim area, but also has a bearing on the ecological environment protection in the Bohai Bay-Rim area and the lower reaches of the Yellow River. The State Council has released “Several Opinions on Promoting the Construction and Development of Hainan International Tourism Island”, which further defines the direction of Hainan development, and gives policy supports in various aspects such as investment & financing, finance & taxation, land, industrial opening-up, and so on. “Wanjiang Urban Belt Planning on Undertaking Industrial Transfer Demonstration Zones” is a regional development plan themed with industrial transfer. The Yangtze River flows through Anhui province with more than 400 km in length, and thus, that part of the river is known as “Wanjiang River” (Wan is the abbreviated name of Anhui province). The independent innovation of advanced manufacturing industry, new energy industry and new material industry in this region possesses distinctive characteristics and the economic development level is in continuous growth with bright prospects. 4 Conclusion of the Study The research and exploration on the promotion of China’s regional economy development should be on a forward-looking basis and from the perspective of the strategic background of national macroeconomic regulation and control. The move to balance and develop regional economy plays a positive practical role in developing social productive forces, enhancing our country’s comprehensive power and competitive power as well as realizing the grand goal on common prosperity. To design the overall pattern of regional coordinated development, we should strive to realize the optimization of regional structure, achieve scientific division of work, rational layout and advantage complementation, effectively use all kinds of economic resources and comprehensively promote reform deepening and common development in all the regions. The coordinated development of regional economy exists throughout the “five balanced aspects” in an all-round and multi-level way. We should promote and facilitate the healthy and sustainable development of regional economy under the guidance of the scientific outlook on development. The development and construction of economic and technological development zones plays an important functional role. At present, keeping growth has become the primary task of national macro control. Thus, from the perspective of space and time, China should attach importance to a series of balances including industrial balance, scale balance, structural balance, suburb-city balance, regional balance, process balance and opportunity balance, it should take corresponding positive measures as well, and then the new pattern and new trend of regional economy development which can be described as national overall consideration, north-south link, west-east echo, central-China rise, scientific layout, structural optimization, resource complementation, overall advancement, coordinated development and outward radiation takes shape. References [1]. Wen Jiabao. Boao Forum for Asia Annual Conference 2009[R]. Xinhua News Agency, April 18, 2009 (in Chinese) [2]. Conference Communiqué of the Third Plenum of the 16th CPC Central Committee[R]. October 14, 2003 (in Chinese) [3]. Refer to a Series of Regional Development Plans Approved by the State Council of China[R]. 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