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November 7, 2011

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Home » District » Fengxian

Industry upgrades with tech, branding

FENGXIAN District is shifting its economic focus from its traditional fields of chemical engineering and textiles to high tech and information industries in a new zone.

The shift is demonstrated by the opening of the recently completed Shanghai Photovoltaic and Electric Instruments Park in the Fengxian Industrial Zone.

The park is part of a cluster of related centers in Shanghai, including the Minhang Electromechanics Park, Lingang Fengxian Development Area, Jinqiao Automobile Assembling Center and Caohejing Molectron Equipment Park. They form an integrated industrial chain.

Fengxian began to develop high-tech industry as early as 2001, when the Japanese firm Pioneer relocated its factory to the district. The global Fortune 500 company produces home entertainment products.

Last year the sales value of Pioneer Shanghai reached 3.5 billion yuan (US$541 million), making it the biggest enterprise in Fengxian and putting the information industry at the top among district industry.

The output value of the information industry reached almost 4.5 billion yuan, accounting for almost 14 percent of the district's total industrial output.

The logistics and yacht-making industries are also expected to become new economic drivers in Fengxian, which is on the East China Sea, Hangzhou Bay and the Shanghai Yangshan Deep Water Shipping Center.

At the same time, upgrades are underway in the district's traditional industries such as power transmission and distribution and auto parts manufacturing and assembly.

Fengxian is home to more than 150 enterprises in power transmission and distribution, accounting for 37 percent of the city's total of such enterprises. Last year they generated a total output value of 4.5 billion yuan, around one-quarter of the value generated by all such city enterprises.

The auto parts industry has also upgraded from making simple parts to producing a broad spectrum of parts, such as engines, transmissions and brakes.

Last year Fengxian attracted NSK, a Japanese company producing brake linings, and Autoliv, a Sweden-based Fortune 500 company in the vehicle safety industry.

Full operation began this year for Shanghai HINO Engine Co Ltd that produces truck and heavy vehicle engines. Annual sales are estimated to reach 500 million yuan.

In addition, Mahle Group, a worldwide supplier of car components, this year relocated its research and development center and regional headquarter to Fengxian, with an investment of 140 million yuan.

In recent years, Fengxian's traditional industries such as food production, textiles and clothing manufacture are getting into branding.

In 2000, the district's clothing industry had just one brand, Kaituo Shirt, whose products were mostly sold to China's villages and small cities; the rest of textile factories only supplied other companies.

By the end of last year, however, large-sized fashion companies have been mushrooming. More than 70 large-sized enterprises create a total output value of 2.4 billion yuan, each making 5 million yuan annual sales volume.

At the same time, a dozen of famous fashion brands are coming out.

Sierli silk fabrics has set up its more than 1,800 boutiques in all provinces. Mercury Home Textile has been a household name; Shanghai Digao Wool Textile Co Ltd, the city's only supply center for cashmere materials, is one of the top three manufacturers of cashmere sweaters in China.

In the bags and shoes industry, enterprises used to be mostly processing. In 2003, Shanghai International Bags and Shoes City was set up in Fengcheng Town, which is becoming a major center for design, manufacturing and trading bags and shoes. Last year 45 bags and show makers generated 1.4 billion yuan output value.

The food fermentation industry is also advancing, while retaining traditional skills. The century-old ing traditning forging ahead while still keeping the traditional skills. Century-old Dingfeng fermented bean curd, an indispensable breakfast side dish for locals, is packaged in modern design bottles today but still tastes as good as the original.

Agricultural products are low in added value, but Fengxian farmers increasingly are taking an organic and low-carbon approach to growing fruits and vegetables, through high technology. Farmers are thus able to export products overseas. These include Gaorong organic vegetables, Fengke edible fungus and Hande aquatic products.




 

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