Development Status

         Urumqi Economic and Technological Development Zone is a state-level development zone established upon the approval by the State Council on August 25 1994. With the planned area of 4.34 km², the development zone is located in the new district of Urumqi City. The second-stage planned area of it is 10.03 km². The zone is only 10 km away from the downtown area of Urumqi, 1.5 km away from Urumqi International Airport, 2 km away from Urumqi Railway Freight Station and 10 km away from Urumqi Railway Passenger Station.

　 After 8 years of construction, the 4.34km² first-stage planned area has been greatly improved in its infrastructure facilities, with supply networks of power, water and heat all built. In the area, electricity is fully supplied, roads lead to all directions, communication facilities are developed, wideband network has been installed and initial success has been achieved for the construction of industrial parks and service facilities. After the completion of the construction of Xinjiang-Peking University Hi-tech Industrial Park (covering an area of over 500 mu), Port under Category B, Satellite Square (covering an area of 50,000 m², and with the integration of entertainment, leisure, holiday-making, sightseeing and tour) and the International Tour Shopping Market, a large number of famous enterprises have been attracted to invest in the development zone to seek further development such as Markol Stock, Guanghui Stock, Shengnei Bio, Golden Bio, Golden Wind Sci-Tech and Unification Foods. Also attracted are many tourists from central Asian countries who come to the development zone for tour and shopping. So far, the planning for the second-stage development of the zone has been finished and the second-stage development area is well under way. Xinjiang-Shanghai Jiaotong University Science and Technology Park jointly funded by the Development Zone and the University is being built.

　　By the end of 2001, totally, 151 industrial projects have been approved, including 65 foreign-invested enterprises; the contracted amount of foreign capital is 1454 million USD, and actually 68.86 million USD have been utilized. The gross industrial product value has reached 4.26 billion yuan. And accumulately, export earnings have reached 289 million USD. In 2001, the GNP of the zone reached 1.14 billion yuan, while the gross industrial product value exceeded 1.6 billion yuan. The local financial revenue reached 218 million yuan, and the total volume of import and export hit 140 million USD. Some enterprises have become the new economic growth point of the city of Unrumqi, such as Markol International Furnishings Stock Co., Ltd. (all of its products are exported), Guanghui Stone Stock Co., Ltd.(engaged in deep processing of the competitive-edge resources in Xinjiang) and Urumqi Shengnei Bio-product Co., Ltd.

　　The Development Zone practices the management and service system of “making work public, comprehensive and integrated service, cleanness, honesty, high efficiency and transparency”. For common projects, all procedures are gone through within one working day; for the big ones, it will not exceed 3 working days. The Development Zone is one of the regions in Xinjiang and northwest China with the best service environment for investment. 

Development Orientation

　　 Aiming at promoting the city’s economic development through rapid economic growth in the zone, the Development Zone makes great efforts to implement the strategy of introducing from eastern regions while exporting westward, focusing on industry, promoting through export and upgrading through new and high technology”.  Vigorous efforts are made to develop integrated economy, bring in a number of new industries of hi-tech, high added value and high return, strengthen the technological incubation and transformation function of scientific and technological park and give play to the role of the development zone in example, showcase, promoting and trying so as to transform the development zone into a processing base for the competitive-edge resources of Xinjiang, export base toward central Asia and Europe, new and hi-tech industrial base and the most competitive export-orientated economic model zone with the best environment for investment in western China.  

Industrial Orientation and Investment Focus

　　1. Comprehensive development of competitive-edge resources of Xinjiang and enterprises engaged in the deep processing of the products.

2. New and hi-tech industries such as information technology, bioengineering technology, new energy, new materials and environmental protection.

3. Export-orientated processing industries targeting markets in central Asia, west Asia and Europe.

4. Tertiary industry such as scientific research, finance, trade, tourism, information service, intermediary consultation and community service.  

 
Preferential Policies

Enterprises registered in the development zone, if in line with the industrial policies of the development zone, may, from the day the operation is started, be supported by the enterprise development funds of the development zone on the basis of enjoying the relevant preferential policies formulated by the autonomous region and the state. 

Enterprises shall enjoy the support of the enterprise development funds according to the financial contribution to the development zone made by the enterprises concerned in the year. The financial contribution refers to the portion retained by the zone from the value-added tax, business tax, corporate income tax paid by the enterprises concerned (excluding the payment made by the enterprises due to the check by the tax authorities)

1. enterprises of a production nature
　　1) 25% for new and hi-tech enterprises, export processing enterprises and enterprises engaged in deep processing of resources.

2) 20% for other enterprises of a production nature.
　　2. Enterprises of non-production nature

1) 20% for enterprises that made financial contribution of 1 million yuan and over 1 million yuan to the development zone.
　　2) enterprises that made financial contribution of below 1 million yuan are granted the following policy:
　　A. 20% for enterprises engaged in industries prioritized by the state in the western region development, such as science, technology and education, culture and public health, scientific research, new materials, new energy, water efficient industry, gardening and forestation, eco-environment protection, finance and insurance.
　　B. 15% for trade service institutions such as financial accounting, consultation, law firm, arbitration and broker agent. 
　　C. 10% for enterprises engaged in tourism, hotel, catering and entertainment, trade and material circulation, and other enterprise of non-production nature.

New joint venture, solely invested enterprise and cooperative joint venture established by enterprises based in other provinces, municipalities and autonomous regions may enjoy relevant preferential policies formulated by the State Council concerning the western region development and policies formulated by the Xnjiang Uygur Autonomous Region for the invitation of business.

Transfer of land

State-owned land in development zone may only be obtained by the way of buying. Land used for industry may be transferred at a price of not less than 300 yuan/m²; other land of operation nature, including land used for commerce, entertainment, tourism and commodity housing, the use right of state-owned land may be obtained through manners such as bidding, auction or listing. If foreign-invested enterprise develops land by block or establishes industrial zone (industrial city, industrial park), it may pay 80% of the land transfer fee payable.