Natural Condition, History, Environmental Protection and Economy

NATURAL CONDITIONS

Zhejiang province lies on China's southeastern coast line between 27¡ã12'-31¡ã31' north latitude and 118¡ã-123¡ãeast longitude. It is on the south side of the Yangtze river delta and is close to Shanghai, China's largest city. Zhejiang is a fertile region and has the apt name "home of fish and rice". It is also known as the "silk capital"and contains numerous sites of historical and cultural importance of interest to the scholar and tourist alike. The Qiangtang river is the longest in the province and is also known as "Zhejiang" (this means winding river in the Chinese language). Thus, the river has given its name to the province, which is abridged to "Zhe".

The east-west and north-south straight line distances are both approximately 450 km. The province contains a total land area of 1.018 million square km composed of 23.2% plain and basin, 6.4% rivers and lakes with hilly and mountainous area making up the remaining 70%. Zhejiang has a continental coastline of 1,840.7 km but this is enlarged to over 6,632.89km by the over 3,061 offshore hslands each more than 500 square meters. Zhejiang has the fifth longest coastline in China. The total cultivated area is 1.635 million hectares and the forested area covers 6.1569 million hectares.

The province is administrtively divided into the following areas: Hangzhou, Ningpo, Wenzhou, Jiaxing, Huzhou, Shaoxing, Jinhua, Quzhou, Zhoushan, Taizhou(the ten administrative cities) and Lishui(an administrative area). These contain 41 counties, 23 cities and 23 towns administered at the county level. The total population is over 43.64 million. More than 200 thousand people , belonging to 47 ethnic minorities, make up 0.5% of the population. The "She" and "Hui" nationalities are the two largest minorities.

HISTORICAL EVOLUTION

Zhejiang is one of the cradles of ancient Chinese civilization and is a land rich in cultural and historic relics and sites. Archaeological studies show that 50,000 years ago, human beings were active in agriculture and left a clear record of their presence. More than a hundred archaeological sites from the Neolithic Age have been discovered belonging to the Hemudu culture(6000-7000 years ago), Majiabang Culture(5000-6000 years ago) and Liangzhu Culture(4000-5000 years ago). Among the Hemudu historic relics discovered in Yuyao County, there are various toolsand utensils made of bone, stone, pottery and wood as well as plenty of preserved grain and unhusked rice. Highlights include component parts made with mortise and tenon joints, lacquerwarebowls, and the whistles made of bone that still sound good. These show that, seven thousand years ago, a surprising prehistoric civilization existed; and futhermore suggest that the basinsof the Yangtze River and Yellow River are both birthplaces of the Chinese people.

Zhejiang had an early economic development. As early as the Eastern Han Dynasty(A.D. 25-184) Zhejiang had water conservation projects and irrigation works on a large scale. Salt making and porcelain were the main industries. After 300 A.D., it experienced a further boom, with commerce and trade becoming more active. During the Sui and Tang Dynasties(A.D. 581-907), Zhejiang's economy deveoped rapidly. With a large rise in agricultural production, the area of Hangzhou and Jiaxing developed into the leading grain-producing area in China. Manual industries such as silk, porcelain and paper making were further developed along with tertiary industries such as merchandising and finance that became quite active. Mingzhou (ancient name of Ningbo) developedinto an important trade harbour on the southeast China coast. After the tenth century, Zhejiang experienced a prosperous period of feudal economy, becoming one of the richest areas in China.

The production of grain was greatly increased and the varieties of cash crops and their planted areas increased as well. In silk, porcelain, paper making, printing and shipbuilding, Zhejiang took the leading position in China. Many commercial towns emerged. Overseas trade expanded with silk, tea and porcelain as the chief exports. Ningbo and Wenzhou were the most important commercial trading ports in southeast China. Sea trade reached Japan, Korea and Southeast Asian countries.

Many talented people in cultural fields have been noted in Zhejiang's long history. Since the Eastern Han Dynasty(A.D. 25-184) more than one thousand famous writers of Zhejiang origin have been recorded. They take up one sixth of the total Chinese literati. One fifth of the 528 academicians in the present day China Academy of Sciences are Zhejiang natives.

ENVIRONMENTAL PROTECTION

Zhejiang has a good natural environment. The China Academy of Sciences Ecological and Environmental Research Center's 1992 comprehensive environmental quality evaluation showed that Zhejiang Province ranked first of the 27 provinces and autonomous regions for its comprehensive ecological improvement and remarkable results. According to the environmental monitoring conpleted in 1993, the atmospheric quality of the whole province is up to the national standard II level. The water quality of rivers and lakes is good. Of the 324.5 km section evaluated along the Qiantang River, 87.2% of water is of the Second Class and 12.8% of the Third Class. The three tributary rivers, Xin'anjiang, Jinhuajiang and Puyangjiang are all second and third class water. Water in the near sea and bays is in good condition. Notably the percentage of forest coverage is 54.7%, ranking first in all provinces and autonomous regions in China. There are 22 nature preserves, of which four are national reserves. There are more than 100 ecological villages and agricultural experimental units. Among them, Shanyi Village in Xiaoshan, Shanglijia Village in Yinxian, and Tengtou Village in Fenghua have been honoured with the title of "the Best of Global 500" by the United Nations Environmental Programme.

Since 1984, 11,000 pollution control items have been finished. Sewage treatment and discharge are rapidly rising to the required standard. The discharge rates of effluent, exhaust gas and other waste materials are decreasing. The urban smoke and dust controlling area is now 500 square km. The area meeting the noise criteria for cities has increased to 70 square km. The comprehensive water environmental treatment project in the West Lake and the city of Shaoxing was praised by the United Nations Environmental Programme. The environmental science and technology and environmental protection industry are expanding. Hundreds of scientific research achievements and industrial production with a value of 500 million yuan are produced each year.

THE PLAN AND GOAL OF ZHEJIANG'S ECONOMIC AND SOCIAL DEVELOPMENT

Zhejiang's economic and social development target is to reach the level of mid-advanced countries by the end of the year 2000. Zhejiang is striving to be one of the first provinces that are essentially modernized. The main goals are as follows: ---GDP will be eight times of 1980's level: Improvements in quality, better management systems and raised efficiency will help ensure that the average real GDP increases by more than 10% per year. Accordingly in 1990 prices, the GDP in the year 2000 will be over 230 billion yuan. (5,000 yuan per capita). ---The socialist market economy mechanism will be refined: The establishment of modern systems of enterprise, distribution, social insurance, and macro-economic control to match the needs of the socialist market economy requires that the function for the government be adjusted. The government will then be better able to manage the new control levers to carry out social policy. Direct distribution and production of goods and services will be the function of the market economy. ---Establishing a solid foundation for an export-oriented economic system: This involves gathering capital, exchanging technology and labour services, setting up trans-national enterprises, and establishing a whole set of management systems to meet the needs of international regulations and practices. By the year 2000, the annual export volume is targeted to exceed $10 bilion(a 16% increase per annum), which will be 25% of the GDP of the province. Reaching this goal will require considerable investment, therefore, forengn capital will play an important part in Zhejiang's construction fund. ---Improving the economic structure: The non-agricultural labour force will comprise over 55% of the total labour force with tertiary industry making up about 35%. More industrial and service sectors job opportunities will exist in the cities and towns. The natural population growth rate will be controlled within 0.8%. ---Developing science and technology to match the economic development: By the end of the "Eighth Five-year Plan " period, the province will have essentially implemented the Nine-year Compulsory Education Programme and eliminated illiteracy among young and mature people. Senior niddle school Education is available to those living in the cities and towns. Vacational training offers another opportunity for those not studying in middle school. There will be as many as 100 thousand students in various universities and colleges and 115 people out of 10,000 will be scientific and technical personnel. The development of technology will lead to 40%-50% of the economic expansion, therefore, further steps will be taken to enhance education. ---A better civic environment will be formed: To agree with the development of the socialist market economy and the development of society, the people in the province will be taught to be good citizens with great ideals, morality, and higher education. The province will then enjoy a high degree of civilization, democracy, law, social decurity, ethics, cultural activities and a clean environment. ---People will enjoy a fairly comfortble life: The people in most areas will be well off by the end of the "Eighth Five-year Plan." The people in poorer areas will reach that level by the end of the "Ninth Five-year Plan." The average real income of residents both in cities and rural areas will be at least two times as much as that of 1990.

Situated at the lower reaches of Qiantang River in southeast China, Hangzhou is only 180 km from Shanghai, enjoying favorable geographical location and natural condition. The City covers a total area of 16,596 square meters, 683 square meters of which are urban ares. It has a population of 5.79 million, of which 1.63 million are city inhabitants. Under its jurisdiction are six districts (Shangcheng, Xiacheng, West Lake, Gongsu, Jianggan and Bingjiang), five cities at county level (Xiaoshan, Yuhang, Fuyang, Jiande and Lin'an) and 2 counties (Tonglu and Chun'an).

One of the 16 cities at vice provincial level, Hangzhou, the capital of Zhejiang Province, is the provincial center of politics, economy and culture and a key economic city at the south wing of the Yangtze Delta. In 1996, it achieved a total output value of 91,000 million yuan RMB, 13% up from 1995, ranking the second place among the provincial capitals in this country.

Being one of the birthplaces of China's ancient culture, Hangzhou has a long history. The well-known Liangzhu Culture was born 5,000 years ago in the suburb of Hangzhou. As early as 4700 years ago, there were human beings multiplied on this land. Once as the capital of a county during the reign of the First Emperor of the Qin Dynasty, it has a history of more than 2,200 years. During the 10th and 13th Century, Hangzhou was the capital of the Wuyue Kingdom and the Southern Song Dynasty, being one of the seven ancient capitals in China and a famous historical and cultural city.

Hangzhou has long been reputed as the Heaven on Earth. Covering a total area of over 60 square meters, the West Lake Scenic area where culture melts in water, mountains with the West Lake as the center, is one of the key tourist scenic spots of the country. Inside the prvince is the Qiantang River - Fuchun River - Thousand Island Lake Scenic Area at national level. It neighbors near to the famous Yellow Mountains and such famous scenic spots as Qiantang Tide and the national natural preservation area Tianmushan Mountains.

Since the founding of the People's Republic of China, Hangzhou has formed a considerable good economic foundation through 40 years' efforts. Since China's reform and its opening to the outside world, Hangzhou's national economy has been growing by an annual average ratio of 14.9% with its principal economic indexes ranking among the first ten large and medium-scale cities nationwide. It has developed economic relation with more than 100 countries and regions in the world. There have been over 50 countries invested in Hangzhou. At present, Hangzhou is working hard toward the realization of the Ninth Five-Year Plan and the goals for the year of 2010. Hangzhou is sure to have a better and more brilliant tomorrow.

Ningbo, bordering on the East China Sea and in the center of china's coastline,is one of the 14 open port cities and also a bigger city enjoying economic status on a par with the province and entitled to make local ordinances. It has under its jurisdiction five districts, three counties and three county-level cities, which cover 9,365 square kilometres, 1,033 square kilometres of which are urban areas. It has a population of 5.3 million, with 1.16 million living in the urban districts. It has a subtropical maritime monsoon climate which is mild, warm and humid, with plenty of rainfall. The average annual temperature is 16.5 degrees C. Ningbo, a time-honoured city, is the birthplace of the 70-century-old Hemudu culture. It was part of Yue State during the Spring and Autumn Period (770-476BC). Its present name dates back to the year 1381. During the Tang Dynasty (618-907) it became one of the country's trading ports, comparable to Guangdong's Guangzhou and Jiangsu's Yangzhou. During the Northern Song Dynasty (960-1127) it became one of the country's major port cities, comparable to Guangzhou and Fujian's Quanzhou. After the Opium War (1840-42), Ningbo was declared one of the five trade ports open to the West. The founding of New China wiped out the disgrace of foreign invasion and rejuvenated Ningbo. The 40-odd-year reconstruction, especially the reform and open policy, has put Ningbo on the fast track of economic development. In 1996, Ningbo realized GDP of 80 billion yuan, an increase of 19 percent over the previous year, its total industrial output value soared to 167.8 billion yuan, a rise of 32 percent on the previous year. The living standard of the people has been improved remarkably. The per capita income of urban residents amounted to 7,797 yuan and that of farmers 4,267 yuan.

Large Deep-Water Harbour

Ningbo Harbour, made up of Beilun Harbour Zone, Zhenhai Harbour Zone and Ningbo Harbour Zone, is a multi-functioanal and multi-level port which integrates inland river port, estuary port and strait port, with berths in large, medium and small scales. It has 59 berths which handle cargoes weighing from 500 tons to 250,000 tons. In 1996, Ninbo Harbour's cargo handling capacity was 76.38 million tons, ranked the third nationwide, its international container handling capacity more than 20,200 standard containers and its passenger transport number 4.55 million. It has opened shipping routes to 493 harbours in 83 countries and regions, regular container shipping routes to harbours to the east of the United States, Kobe and Yokohama, Japan, Australia, Republic of Korea, New Zealand, and Hong Kong and cargo liners to Singapore. In addition, Ningbo has opened routes to the major ports in the rest of China. Beilun Harbour Zone, a " Large Eastern Harbour ", is listed as one of China's four large international deep-water transfer ports which have been among the internationally advanced ones. With the natural protection of Zhoushan Archipelago in the front, its port region is deep, ice-free and silt-free. Most of its main channels are more than 50 meters deep and 300,000-ton-class ships can enter and leave at high tide. Now 16 wharfs have been built in the harbour to handle cargoes ranging from 25,000 to 250,000 tons. They include the 100,000-ton-class and 200,000-ton-class special ore wharfs, the 250,000-ton-class crude oil wharfs and 80,000-ton-class special wharfs for the fifth generation of international containers. And the 200,000-ton-class wharfs can berth 300,000-ton-class vessels on sea tides. Ningbo Harbour is listed as one of the 10 world's fine deep-water ports which can berth 300,000-ton-class vessels. Its handling capacity will reach 100 million tons and freight volume, 1,000,000 standard containers, by the year 2000.

Transportation and Telecommunications

Ningbo, the hub of communications in the coastal Zhejiang Province, has basically completed the construction of the port-centred water, land, and air transport networks. It has built the port railway which runs through Beilun Harbour and Zhenghai Harbour and connects the state's arterial railway. And the double-track Xiaoshan-Ningbo Railway is under construction. The Hangzhou-Ningbo Expressway is open to traffic. The Ningbo section of the state's coastal arterial expressway is also under construction. The Dongshe International Airport has opened 26 air routes within national boundary, includindg the routes to such well-known metropolises as Beijing, Shanghai, Guangzhou as well as Hong Kong. Ningbo is equipped with advanced telecommunications facilities. It has installed 950,000 programme-controlled telephones and optic cables, offering movable phone service to 90,000 people. Its ATSN can provide direct-dial access to over 200 countries and regions, EMS to 198 countries and regions, and telex service to customers from over 200 countries and regions throughout the world.

Foreign Trade and Economic Co-operation

Ningbo's export-oriented economy has been riding on the fast track. In 1996, its imports and exports totalled US$ 4.35 billion, a 25.1 percent increase over the previous year, including US$ 2.67 billion of exports, a 12.7 percent increase over the previous year. And its 700-odd-kind commodities sold in over 130 countries and regions throughout the world. 1996 witnessed Ningbo's new progress on foreign investment. In 1996, the city approved 322 foreign-funded enterprises with a total investment of US$ 1.622 billion and a contract investment of US$ 880 million. By the end of 1996, Ningbo had approved a total of 3,583 foreign-funded enterprises with a total investment of US$ 9.3 billion and a contracted investment of US$ 5.88 billion, including 187 large projects of US$ 10 million to billions which have been either put into operation or under construction or in preparation for constructio. Ningbo also has129 enterprises located and distributed in more than 30 countries and regions.

The Development Zones

The Ningbo Municipal Government, in line with the development strategy of " a city on the harbour and for the harbour ", has conducted an unprecedented development of 100-odd square kilometers of land area along the harbour. It is paying special attention to the construction of the Ningbo Economic and Technological Development Zone, the Ningbo Bunded Zone and the Daxie Island Development Zone, hoping to build them into new economic growth points for the whole city. The Ningbo Economic and Technological Development Zone has a total area of 29.6 square kilometers, and was set up in 1984 as a state-level one. It is the largest one in Zhejiang. Its investment environment has been improved completely. Six functional sub-zones have been formed, including an industrial zone, trade zone, docks zone, living zone, hotels and a foreign businessmen' villa zone. By the end of 1996, 407 foreign-invested enterprises had been established in this area, with a total investment of US$ 3.64 billion, and an agreement to use US$ 2.93 billion in foreign capital. Last year, its total industrial output value soared to 9.42 billion yuan. The Ningbo Bunded Zone was set up in November, 1992, with the approval of the State Council. It is a free trade zone in line with international norms, with an area of 2.3 square kilometers. It can make the most of Beilun Harbour's and Ningbo Development Zone's advantages and develop export-oriented economic services. The projects are well-developed, with 1890 enterprises set up in this area by the end of 1996, 294 of which are foreign-funded ones, with a total investment of US$ 1.359 million, which ranks the first among the state's 14 bonded zones. The Daxie Island Development Zone, set up in March, 1993, it is approved by the State Council and its development is carried out by the CITIC. It was granted preferential policies of the state-level development zones. Situated to the east of Ningbo, it covers an area of 30.84 square kilometers, just 600 meters away from the land. With a 15-km-long coastline, it is feasible for the construction of 200,000-ton-class deep-water wharfs, as the waters in this area is 40 to 60 meters deep. Some basic infrastructure has been constructed to lay a solid foundation for further development of the island. The pontoon bridge, which spans the bay, is open to traffic and the double-deck bridge spanning the bay is under construction. The construction of the start-up area is in full swing, which occupies 3 square kilometers and has a total investment of 1.7 billion yuan. By the end of 1996, 1889 enterprises had registered there, with registered fund of 5.3 billion yuan.

Relations with Foreign Countries

Ningbo's friendly relations with other countries have developed further ever since it began opening up further to the outside world. The city has hosted foreigners and overseas Chinese from more than 100 countries and regions and tied up in friendly relations with Naganoken of Japan, Aachen of Germany, Wilmington of the US and Rouen of France. Ningbo is the hometown of over 300,000 Ningbonese who are living in 64 countries and regions, many of whom are business titans, scientists, society heads and social celebraties. It has hosted more than 320,000 overseas Ningbonese who came back home for visiting relatives, sightseeing, investment and business. They are very concerned about the city's development and have given financial support with a total amount of 418 million yuan for the development of the city's education, health and other public utilities. The resulting prosperity will help the city further expand its relations with the rest of the world.

New Achievements In Social Undertakings

Ningbo has traditionally devoted major efforts to developing science, culture and education. Many outstanding people from Ningbo made a great contribution to the development of culture, science and technology of China. Now the city is concentrating on setting up a complete system of science, education, culture and all other social undertakings. It has 167,000 professionals in terms of science and technology. It has recorded gratifying progress in the field , with 396 projects listed as the national patents prizes and 72 projects the prizes of scientific and technological progress at provincial and municipal levels respectively. It has 5 institutions of higher learning and 4126 full-time schools. The student population totals 926,000. Its broadcasting industry has developed rapidly with the growth of the municipal economy. It has set up 2 radio stations and 5 TV stations. As a result, 97.6 percent of Ningbo's people can receive radio programmes, while 96.5 percent of them can watch TV. Its hospitals provide 13,000 beds to patients, with a staff of 19,800 professionals.. Its athletes have scored good results year by year. !996 saw Ningbo's athletes winning 352 prize medals from the games at the international, national and provincial levels, thus they adding glory to their hometown.

Natural And Human Scenes

Ningbo is the state's key cultural and historical spot. Here, the unique environment endowed by nature and human cultural accumulation of thousands of years have moulded a dozen of natural and human scenes that are well-known at home and abroad. Replete with majestic mountains and exotic seas, the spot is stepping up the development of its tourism resources and construction of travel facilities. The city has 225 key relics spots ,7 of which are protected by the state. The remains of Hermudu, such as production tools, black pottery with simple designs and carbonated rice show that farming was an important economic activity during that time. It was even more amazing to find 7,000-year-old bone flute which can still play pleasant tunes. Tianyige Library, built in the Ming Dynasty, is widely known as China's oldest extant private library. It is also well noted for the landscaped garden of rockeries, ponds and bamboo groves in a style typical of South China. Baoguo Temple, constructed in 1013 during the Northern Song Dynasty, is considered as the oldest wooden structure south of the Yangtse River, which is still in good shape. The remains of Yue Kiln in Shangkin Lake area is famous for the uncovered celadon made thousands of years ago. The other key relics spots include the water conservancy works in Tuoshanyan, the remains of sea defence works in Zhenhai estuary and the hometown of late Chiang Kaishek in Xikou, Fenghua. Tiantong Temple is the second holiest shrine of the Zen sect of Buddhism. The 1,700-year-old Ayuwang Temple is famous because it contains the relics of Sakyamuni Buddha. Ningbo also charms its visitors with its many scenic spots. Dongqian Lake, the biggest lake in the province, is to become an attractive tourist resort. And the appeal of Xikou Scenic Area to its visitors lies partly in Xuedou Hill. The precipitous Miaogao Peak and the Sanyin Lake offers a more quiet beauty. Ningbo is formulating a plan to turn the local landscape and relics spots into a part of the provincial tourism networks, whose service facilities are continually improved, convenient and comfortable. In 1996, the city received 88,500 tourists from outside China.

Wenzhou is one of the first 14 Chinese cities which have been open to the outside world and one of the 13 experimental areas of rural reform as well as a pilot city in which the comprehensive reform and the reform of financial systems are being carried out.

Since China's implementation of reform and opening to the outside world in 1978, the people of Wenzhou, keeping up the spirit of "carrying out reform independently, undertaking the risks independently, seeking development independently and striving constantly to become stronger," have taken the lead in carrying out the reform of market orientation, developing economy by way of market economy, thus creating the superiority of "going ahead in market economy" and finding an economic development road of its own.

Especially after 1992, the Wenzhou Municipal government together with its 7 million people has started its second undertaking which is centered on the fundamental transition of economic growth mode and economic systems. In the past 3 years, more than 10 billion yuan has been plunged in the undertaking. As a result, quite a few of infrastructure facilities and basic industrial projects have been completed successively; the city's economy has been developing rapidly; people's life has been improved conspicuously; and both the urban and rural areas have taken on an entirely new look.

There are only a couple of years left for the 20th century and the new century is approaching us in haste. Wenzhou, with its better investment environment and brighter prospect in development, is ready to open wider to the outside world. Overseas Chinese, compatriots in Hong Kong, Macao and Taiwan, foreigners with Chinese origin and international friends are sincerely welcome to Wenzhou for sightseeing, visiting, holding business talks, investing and carrying out all kinds of cooperation and communications in economy, science, technology and culture.

Wenzhou In Brief

Covering a land area of 11,784 square kilometres, Wenzhou city, the economic, political, cultural and communications centre in the southern part of Zhejiang Province, is located on the central section of China's golden coastline and is lying by the Ou River and the East China Sea. It is divided into 3 districts (Lucheng, Longwan and Quhai), 2 cities(Rui'an and Yueqing) and 6 counties (Yongjia, Dongtou, Pingyang, Cangnan, Wencheng and Taishun), with a total population of 7.04 million of which 1.05 million live in the city proper. A well-known hometown of overseas Chinese in Zhejiang Province, Wenzhou has altogether 38,000 overseas Chinese who are grouped in Europe and Southeast Asia.

Thanks to its environmental advantages and pleasant weather, Wenzhou is abundant in products and resources. Its average annual rainfall amounts to 1,800 millimeters. There are 280 frost free days in the year and the annual mean temperature is about 18¡æ. The land abound in illite, pyrophyllite and alunite, of which the alunite reserves amount to 220 million tons, thus being known as the "world's capital of Wax". The continental shelf in the East China sea about 100 kilometres east of the city proper has a great reserve of oil and gas resources. Sixteen bidding zones with a sea area of 54,000 square kilometres are open for prospection and exploitation. In addition, Wenzhou boasts 2 national scenic areas (Yandang Mountains and the Nanxi River) and the national Wuyanling Protection Zone and a dozen of other high-grade tourist and scenic spots.

Wenzhou's sea line lasts for 355 kilometres. Owing to the favorable port conditions, a total of 33 berths with a tonnage from 1,000 to 10,000 have already been constructed, and there will be nearly 100 berths with a tonnage from 5,000 to 100,000 which can be constructed along its coastline.

Wenzhou has passenger lines to Hong Kong, Japan and Korea. Direct navigation can be made from Wenzhou to 113 ports in 26 countries and regions. In 1994, Wenzhou Port is listed by the State among the 20 key seaports in China. Wenzhou Airport was open to aviation in July 1990.Such large-sized passenger planes as "Air Bus" and Boeing 767 can land on Wenzhou Airport. UP to now Wenzhou has 45 domestic airlines to Beijing, Shanghai, Hangzhou, Guangzhou, Shenzhen, Changedu, Haierbin and other cities and two international airlines to Hong Kong and Macao. On land there are No.104 National Highway and No.330 National Highway running through the territory of Wenzhou; The Jinhua-Wenzhou Railway which is connected with the Zhejiang-Jiangxin Railway will be open to traffic at the end of 1997, and the coastal expressway from Ningbo to Wenzhou is under construction.

Wenzhou enjoys a quick and convenient telecommunications system. By the end of 1996, 1,058,800 a line programme-controlled telephone system and a 247,500 line mobile phone system which were imported are now in service. Its power network is connected with the East China Power Grid. There are now 3 power substations with a capacity of 220,000 Volts. Preparations are being made for constructing a 500,000-volt power substation. Shortly after the operation of the Wenzhou Power Plant with an installed capacity of 600,000 kilowatts for the first-phase of the project, preparations have been started for the constructions of the second-phase project for Wenzhou Power Plant with another installed capacity of 600,000 kilowatts and the 30,00-kilowatt Jiaofeng Power Station Project.

Wenzhou is one of the first batch of Chinese cities open to the outside world, one of the pilot cities in which the comprehensive reform and financial system reform are being carried out and an experimental area of rural reform. Through the past ten-odd years of reform, Wenzhou has formed an economic pattern in which various kinds of economic sectors and modes of operation are developing together. A well-distributed market system which is complete in categories and flexible in operation has taken shape. The market mechanism has started to play a prominent guiding role. All these factors have made Wenzhou finish the initial accumulation process in industrialization. In 1996, the city's GDP amounted to 50.8 billion yuan, increasing by 19.2% over last year; Its total industrial output value reached 100.26 billion yuan, increasing by 36.3 percent over last year; The total financial revenue hit 3.22billion yuan, increasing by 21.5% over the last year; The per-capita income for urban and rural residents arrived at 7,378 yuan; and the per-capita net income for peasants came up to 3.371 yuan.

The level of opening for Wenzhou is relatively high. At present, Wenzhou has established trade relation with 121 countries and regions. Its export commodities cover more then 500 varieties in 26 categories. In 1996, the total export value of the whole society reached 9.66 billion yuan; The self-operated export value amounted to 380 million US dollars; and the import value came up to US$ 69.54 million. Now there are 1,162 foreign-funded enterprises, 14 of which are industrial projects with an investment over US$ 10 million. In the state-level Wenzhou Economic and Technological Development Zone, there are 112 foreign-invested enterprises which achieved a total output value of 1.7 billion yuan and export value of US$ 63.53 million in 1996.

The people of Wenzhou are carrying out their second undertaking which is centred on the fundamental transition of economic growth modes and economic systems, and are offering a series of projects for investment. They include the construction of ports, docks, railways, highways, bridges, airports, telecommunication, energy resources and power, exploitation of oil and gas fields, urban renewal and development, building of towns, construction of urban diversion water supply works, enclosing tideland for cultivation, construction of water conservancy works, environmental protection and beautification, landscape engineering, rectification and social development totalling10 areas and involving a total investment of about 37 billion yuan. Through the second pioneering work, the people of Wenzhou are determined to reach the well-to do level ahead of other parts of the province as well as the state, and become the first region where modernization is realized in the main, when the time comes, Wenzhou will stands erect as a complete new modernized commercial, trading and industrial port metropolis along the southeast coast of China.