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Shekou Takes its Place in Guangdong’s FTZ

Shenzhen Shekou (Qianhai) Company Formation Service
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Qianhai and Shekou are both in the west of Shenzhen, Shenzhen’s Shekou Industrial Zone (SIZ) has, surprisingly, joined the proposed Guangdong free trade zone (FTZ), many investors are thronging to Shekou and Qianhai for investing, given Qianhai's goal of becoming a financial center, it would be difficult for it to accomplish this task alone. Including Shekou will help Qianhai to absorb the advantages enjoyed by Shekou. The 10.9-square-kilometer SIZ, located in the Nanshan district, was developed solely by Hong Kong-based China Merchants Group (CMG) in 1979 — well before the Shenzhen Special Economic Zone came into being.

Promising Future of Shekou (Qianhai)

Experts believe that the combination of Qianhai and Shekou will effectively facilitate the convenience and liberalization of the area’s financing and trading services, leading to more startups and investments from Hong Kong, Macao and overseas.

Black horse of Guangdong FTZ

Shekou was referred to as the “black horse” by the mainland media when it comes to joining the Guangdong FTZ, but Yang Tianping, general manager of China Merchants’ Shekou Industrial Zone Co Ltd, described the latest development as “a natural thing”.
“Shekou has excellent logistics and port facilities,” explained Yang. “It’s only being complementary to Qianhai if both are included in the Guangdong FTZ.”

Strategic superiority 

Department of Commerce of Guangdong Province said taking the SIZ into the FTZ can combine its advantageous industries, such as shipping logistics, with Qianhai’s financing and information industries, with the aim of raising the overall competitiveness of both the FTZ and the Pearl River Delta region.
Besides the SIZ, the Chiwan Container Terminal, which is only 20 nautical miles from Hong Kong and the gateway linking the world with the Pan Pearl River Delta region, is also included.

The paradise of financing 

China Merchants Bank, Ping An Insurance and many other top enterprises had already firmly established themselves in Shekou, whose reformation experiments have been extended to the whole country. But, the district has gradually quietened down as more and more special and economic zones are developed.

Though cooperation will be advantageous to both sides, the management between the two sides’ authorities has triggered concern. At present, Shekou adopts an enterprise-style management system by the CMG, while the Qianhai administration is a statutory body not geared to making profits.

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