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Changning to Build up Int’l Aviation Hub and Aviation Enterprise Center
03/31/2017

Shanghai Hongqiao Linkong Economic Demonstration Area was planned to cover a total area of 13.89 square kilometers, reaching the area from West Tianshan Road to Suzhou River in the north, the area from Songhong Road to the Outer Ring in the east, Huqingping Road in the south, and Qixin Road in the west, including a work zone of  Hongqiao  which covers 7.15 square kilometers .

It’s learnt yesterday that National Development and Reform Commission and Civil Aviation Administration of China approved the building of Shanghai Hongqiao Linkong Economic Demonstration Area in Changning District of Shanghai, aiming to build up an international aviation hub and a global center of aviation enterprise headquarters .  People’s Government of Changning, as the main body  of the planning, construction and management of the Area, shall promote the implementation of all relevant measures.

Shanghai Hongqiao Linkong Economic Demonstration Area was planned to cover a total area of 13.89 square kilometers, reaching the area from West Tianshan Road to Suzhou River in the north, the area from Songhong Road to the Outer Ring in the east, Huqingping Road in the south, and Qixin Road in the west, including a work zone of  Hongqiao Airport which covers 7.15 square kilometers .

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So what kind of “demonstration” will the Demonstration Area set for Shanghai and even the whole country? According to the scope  of the planning, future constructions in the Demonstration Area will put emphasis on and rely on Shanghai Hongqiao International Airport to further boost the advantageous aviation service industry in Changning.

To be specific, the Demonstration Area will implement the strictest system of environmental protection, and assume the task of gathering modern service industry and high-end manufacturing of strong directivity. In addition to building an international aviation hub and a global center of aviation enterprise headquarters, high-end service industry cluster, nationwide corporate aircraft operation base and low-carbon green development zone will also be erected to seek new paths for not only regional economic and social development and transition  but also the  upgrade of economic development pattern in Shanghai.

Hongqiao Airport occupies half of the Demonstration Area. The other important component of the Area is Shanghai Hongqiao Linkong Economic Zone, which has been established for more than two decades. Linkong Economic Zone in the west of Changning District has now gathered two major industries, information service industry and modern logistics. By now more than 1,000 enterprises have set up offices in the zone, including about 30 headquarters enterprises and 10 enterprises among Fortune Global 500.

By 2016, the passenger flow volume through Shanghai airports had outrun 100 million, and insiders of the aviation industry claimed that the gathering of aviation resources, the acceleration of aviation service industry and the promotion of the capability of allocating aviation resources are all significant foundations for Shanghai to build a shipping center and a world top aviation hub. Therefore, Changning District neighboring Hongqiao comprehensive Transportation Hub, located at the joint between Shanghai-Nanjing Development Axis and Shanghai-Hangzhou Development Axis, clearly features endowed advantages. However, to establish the state-level “Demonstration Area”, function superiority is equally important as locational advantage.

 

It’s learnt that airline companies who have their headquarters in the Demonstration Area and make Hongqiao International Airport the main operating airport take up 60% of all the airline companies based in Shanghai. Besides, Linkong Economic Zone holds more than 100 enterprises in the businesses of aviation management, such as aircraft sale, air passenger transport, airfreight, aircraft maintenance, aviation guarantee, general aviation service and air ticket distribution. In 2015, the tax revenue for aviation and logistics amounted to 6.363 billion yuan in the Zone, rising by 18.43% year on year, taking up a proportion of 18% in the total revenue. They have become another pillar industry only second to modern business.

During the 13th Five-year Plan, the aviation service industry will be listed among the three major industries of Changning and made an essential part of two strategies for regional development. It’s also reported that during this period of time, the Aviation Service Industry in the Demonstration Area will strive for an annual growth rate above 12%, with a tax revenue overtaking 20% in the total tax revenue of the district, so that a state-level demonstration area of outstanding comparative advantage, complete industrial systems, business forms and functions, and a strong driving force will come into shape ultimately.

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