I. Briefing about TBNA

Tianjin Binhai New Area, located in the eastern coast, consists of such three administrative regions as Tanggu District, Hangu District and Dagang districts and the eight industry functional zones under construction and Sino-Singapore Tianjin Eco-city, with a planning area of 2,270 km², coastline of 153 km and a population of 1.72million. With many comparative advantages, it has become the most potential and dynamic modern new area in China.

Obvious geographic advantages.  TBNA has a vast hinterland, embracing 12 provinces, autonomous regions and cities in Northwest China, North China and Northeast China, and is the nearest eastern starting point of Asia-Europe continent bridge. In 2007, Tianjin Port handled 310 million tons of cargo, ranking 6th in the world's ports, and 7 million TEUs, ranking 17th in the world's ports. On August 1st this year, the Beijing-Tianjin Express Train started operation and extended to TBNA, it takes only 30 minutes from Beijing to Tianjin and only 50 minutes from Beijing to TBNA, and the effect of the urban circle of Beijing-Tianjin emerging further.

Strong industrial foundations.  TBNA have formed seven major dominant industries: Electronic & IT, Automobile and Equipment manufacturing, Oil and Marine Cchemical Industry, Modern Metallurgy, GreenFood, Bio-pharmaceuticals, New Materials and New Energy, etc.. The emerging dominant industries of Aerospace, Financial Services, Modern Logistics, Service Outsourcing are rapidly increased. In 2007, TBNA registered Industrial Output value of 628.3 billion yuan, with share of high-tech industrial output value reaching 47%.

A high degree of opening-up.  TBNA consists of economic-technological development area with best comprehensive investment environment in China, Free Trade zone and the multi-functional zones such as the domestic largest Dongjiang Bonded Port Area as well as high-tech zone, free trade logistics park, export processing zone and integrated free trade zone. The total actually utilized foreign capital reached to 26.8 billon U.S. dollars, and more than 15,000 foreign-funded enterprises were registered in, including Airbus, Motorola, Samsung, Toyota and other 85 Fotrune 500 enterprises. TBNA has estabilshed a United Investment Service Center, with a service hot line of 96667, providing domestic and foreign investors with 24 hours advice and services.

Intensive Science and Technolgy resources.  Beijing-Tianjin-Hebei region where TBNA is located, accounts for about 27% of the country's science and technology talents and has trained a large number of high-skilled workers. There are 50 state-level, provincial and ministerial-level engineering centers, 83 corporate Technology R&D Centers, 41 foreign-invested R&D centers, 52 post-doctoral workstations and 32 Science and Technology incubators and services institutions.

Highlighted policy advantages.  As the national comprehensive reform pilot area approved by the central government, TBNA is authorized to try and execute the major reform and opening-up measures in advance, in this regard, the National Development and Reform Commission, Ministry of Finance, State Administration of Taxation, the General Administration of Customs, and State Administration of Foreign Exchange worked out special supporting policies respectively, in order to create good conditions to speed up the development and opening-up of the TBNA. A few days ago, based on the many years of successful experiences, the TBNA introduced the Guidelines on Supporting Enterprise Development, forming s set of complete policy system in eight aspects of financial support, tax incentives, financing facilitation.

Rich natural resources. TBNA has 1214 km² of saline-alkali land to be developed and utilized. In the Bohai Sea, there are total 10 billion tons of proven oil resources, 193.7 billion m³ of natural gas reserves, 20 million m³ of geothermy which can be exploited a year and annual crude salt output of more than 2.4 million tons.

II. TBNA Functional Orientation and Development Plan

Accelerating the TBNA development and opening-up is the important strategy worked out by the CPC Central Committee and State Council from the point of the overall situation of China's economic and social development at the new stage in the new century. The Fifth Plenary Session of the 16th CPC Central Committee held in October 2005 stated: "continue to put the special economic zone and Pudong New Area of Shanghai into play, promote the development of opening-up of the better areas such as Tianjin Binhai New Area, stimulating the development of the regional economy ." the TBNA development and opening-up was listed into country "11th Five-Year" Plan by the 4th Session of the 10th National People's Congress held in March 2006, pointing out that "continue to put the special economic zone and Pudong New Area of Shanghai into play, and promote the development and opening-up of Tianjin Binhai New Area." Suggestion of the State Council of the People's Republic of China on the Related Issues of Promoting the Development and Opening-up of TBNA (National Doc. (2006)No.20) issued in May 2006 defined the guiding ideology, basic principles, function orientation and main tasks in respect of development and construction of the TBNA. The 17th CPC National Congress further pointed out that the important role of the economic zones, the Shanghai Pudong New Area and Tianjin Binhai New Area in the reform and opening-up and independent innovation should be played. On December 31 last year, General Secretary Hu Jintao visited Tianjin, and required Tianjin to bring "two aspects of striding in the forefront of the country" into realization, hoping that TBNA becomes the vanguard to implement the scientific concept of development nationwide. So far this year, members of Standing Committee of Political Bureau, the CPC Central Committee, Wu Bangguo, Wen Jiabao, Jia Qinglin, Xi Jinping, Li Keqiang, He Guoqiang, Zhou Yongkang visited TBNA respectively, gave guidance and made clear demand in respect of accelerating its development and construction. On September 27, during his stay in Tianjin, Premier Wen Jiabao heard the special report about TBNA development and gave important instructions in regard to its development next stage, a great responsibility and glorious mission falls on us.

Since the Ninth Party Congress of Tianjin Municipality, Tianjin Municipal Party Committee and Government has put the task of accelerating the development and opening-up of the TBNA as the key work of the municipal most important tasks. A leading group, led by Secretary Zhang Gaoli and the Mayor Huang Xingguo, was set up so as to accelerate the development and construction of TBNA with the municipal strength as a whole. A municipal mobilization meeting and six leading group meetings were held consecutively, to make study and preparations on major issues such as the development of functional areas, infrastructure construction, enhancing of independent innovation capability, comprehensive supportive reforms, environmental improvement and the Summer Davos forum, giving a strong impetus to the work of TBNA.

TBNA seriously implements the development plans of the central government and the municipal party committee, carrying out the requirement of scientific development throughout the whole process and to every work of development and opening-up. We put forward to adhere to being driven by the reform and opening-up , led by the scientific and technological innovation, supported by high-end industry, raised by service capabilities and guaranteed by the development environmental, and we make all efforts to attract the projects into the area, to realize industry cluster development, to make intensive use of resources and to achieve the construction of functional integration. Combined with the space strategic layout of the city adjustments, the overall city planning was further deepened, and the development planning of one "axis", one "belt", "three urban areas" and eight "industrial function zones" were identified, including:a high-tech industry development axis along Beijing-Tianjin-Tanggu expressway and the lower reaches of the Haihe River, one marine economic development belt along the coastline, three ecological urban areas of Tanggu, Hangu and Dagang District, eight industrial function zones and the Sino-Singapore Tianjin eco-city, shall be constructed.

The Advanced Manufacturing Industry Area with a planning area of 185 km², shall focus on the development of electronic and IT, machinery manufacturing, modern metallurgy, biological medicine, new materials and new energy. The Airport Industrial Area with a planning area of 102 km², shall focus on the development of aviation manufacturing, air port logistics, civil aviation science and technology, trade exhibition. The Binhai High-tech Industry Park with a planning area of 25 km², shall focus on the high-tech R&D and industrialization.  The Port Industrial Area with a planning area of 200 km², shall focus on the development of equipment manufacturing, port logistics and other industries, combined with port construction and land reclaiming from the sea. The Gulin Industrial Zone with a planning area of 120 km², shall focus on the development of petrochemical industry, marine chemicals, fine chemicals and modern metallurgy. The Central Business District with a planning area of 10 km², shall focus on the development of headquarters economy, finance and insurance, business and commerce. The Harbor logistics Area with a planning area of 100 km², shall focus on the development of marine transport, international trade, bonded warehousing, distribution and allocation and its related intermediary services. The Binhai Tourism Area with a Planning land area of 45 km²  by covering 75 km² of sea area, shall focus on the development of coastal tourism, leisure and wetland eco-tourism. In addition, the Sino-Singapore Tianjin Eco-city with an area of 30 km² shall be constructed jointly by Chinese and Singapore governments in TBNA, shall focus on the development of high-end service industries such as energy saving and environmental protection, service outsourcing, cultural innovation, education and training.

Unremitting efforts shall be made to develop TBNA into a gateway of opening-up to the outside world, a high level modern manufacturing and R&D transformation base in North China ,a northern international shipping center and an international logistics center, and let it gradually become a new livable eco-city with economic prosperity, social harmony and beautiful environment.

III. Accelerating TBNA development and Opening-up

At present, TBNA has entered a new comprehensive development stage, from points to structure, from partial plan to overall implementation. By the end of 2008, TBNA registered total output value of 310.22 billion yuan, increasing 23.1% comparing with last year, total industrial output value of 761.68 billion yuan, an increase of 29.4%, achieved financial revenue of 56.97 billion yuan, an increase of 29.7%, registered fixed asset investment of 142.51 billion yuan ,an increase of 43.7%, the actually utilized foreign capital of 4.66 billion U.S. dollars, an increase of 29.6%, port cargo throughput of 272 million tons and 6.22 million TEUs, and the development and opening-up has achieved new progress.

1. "Three major batches of key projects" have come into being. Airbus A320 series aircraft, Vestas Wind Power, 1.5 million tons of cold-rolled thin plate, PetroChina Bohai Sea oil drilling projects with over 100 million yuan investment, have been completed and put into operation. Some key projects construction have been accelerated, such as 1 million tons of ethylene refining integration project, 3 million tons shipbuilding project, ZTE northern base, Binhai service outsourcing industry park. A batch of projects consisting of U.S. Prologis logistics headquarters, COFCO 3 mil tons oil and grains and Japan AEON shopping center have been settled down. There are over 360 projects under construction with investment over 50 million yuan, and the total investment amount being up to 700 billion yuan.

2. The development of the functional areas is in full operation 40 km² land Reclamation from sea in Port Industrial Zone shall be completed at the end of this year, 35 major projects with investment over 1 billion yuan are under construction, to form the 4 major parks of petrochemical industry, equipment manufacturing, ports and logistics, public utilities. The first phase work of Dongjiang Bonded Port Area has been completed and put into operation as the Pacific International Port with an annual handling capacity of 4 million TEUs. The comprehensive infrastructure construction of Binhai High-tech Industry Park has been started, to bring together a group of high-tech industrialization projects. The construction work of 23 high business premises in Xiangluo Bay CBD started up. The early stage planning and removal work in Yujia Pu Financial Business Area were stepped up. Index system. The general plan and detailed first-phase plan of Sino-Singapore Tianjin Eco-City was completed and have formally begun its construction. The functional development has speeded up in the Airport Industrial Park and TEDA West, in order to create favorable conditions for project access.

3. Speeding up of infrastructure construction. A number of key projects have been completed, such as Binhai International Airport expansion, the Tianjin Port 250,000-ton deep-water lane, the 300,000-ton crude oil terminal. A three-year infrastructure construction plan has been launched, focusing on four system projects of road traffic, water resources, energy and environmental improvement, with expected total investment of 320 billion yuan, with great efforts to build a modern scientific three-dimensional traffic network and perfect public Supporting service system in three years. In 2008, there are 66 newly constructed and extended key infrastructure projects, including Haibin Avenue, Central Avenue, Jishugang Road, Tianjin Airport's second runway project, the annual investment in infrastructure will exceed 45 billion yuan, an increase of 68% than last year.

4. Gradual establishment of independent innovation system. The scientific development layout of "One area and three parks" has been formed, with emphasis on Binhai high-tech area, joint  such three high-tech innovation parks as TEDA, Airport Industrial Park and Marine Hi-tech Development Area. Others being constructed are the 12 state-level scientific and technological innovation platforms such as Civil Aviation science and technology industry base and national biomedical international innovation park, 20 provincial and ministerial level R&D and transformation centers such as artificial cell project and electric vehicles, 10 industrial technology R&D centers such as steel pipe and chemical industries, and 56 key high-tech industries projects as well. A 2-billion Venture Capital Investment Guidance Fund of Binhai was set up and a number of internationally well-known venture capital organizations were brought in.

5. Active promotion of the comprehensive reform package. A "three-year reform plan" was prepared to determine ten TBNA key reforms and their concrete implementation are being carried out. In regard to financial reform with emphasis on innovative financial environment, a large number of domestic and overseas financial institutions, foreign-funded banks, financial leasing companies and over 100 equity investment funds were settled in TBNA. In regard to foreign-related economy, Dongjiang Free Trade Port Area has been authorized by 200 administrative applications and examination & approval. Function expansion is being actively promoted and the trial program of offshore financial center is being improved. In regard to land management, TBNA special land reform program has been prepared and approved in principle by the special reform leading group of the Ministry of Land and Resources. The reform in other aspects is carried out actively.

6. Initial success of Eco-city building was achieved. "Welcome the Olympic Games, welcome the Davos Forum and welcome eco-city start-up" was used as an opportunity to carry out a large-scale comprehensive environmental improvement. Total removal work over 1.7 million m² was completed, 2.7 million m² of road were rebuilt and widened, new greening coverage area of 8.25 m² was set up, an increase of 2.46 million m² of greening area, and 3.5 million shrubs were planted. Indicators of environmental protection and energy consumption are ranked in the forefront of the country, and the number of days that air quality better than second grade air quality exceeds more than 300 days.