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Hefei ( Anhui ) City Information

Major Economic Indicators (2010)

Land Area (km2) 7,029
Population (million) 5.1
GDP (RMB billion) 270.25
GDP Composition
Primary Industry 4.9%
Secondary Industry
(Industry & Contruction)
53.9%
Tertiary Industry (Service) 41.2%
GDP Per Capita (RMB) 52,990
Unemployment Rate 4.05%
Fixed Asset Investment (RMB billion) 306.69
Utilized FDI (USD million) 1,090
Total Import & Export (USD million) 9,950
Export (USD million) 5,620
Import (USD million) 4,330
Sales of Consumer Goods (RMB billion) 83.9
Source Source: Hefei Economic and Social Development Report 2010

 
Introduction
 
Hefei is the capital of Anhui province, which also serves as the political, economic, financial, and commercial hub of the province. It lies between the Yangtze River and the Huaihe River, with Chaohu Lake in the south. Hefei covers an administrative area of 7,029 sq km. The city has three counties and four districts under its jurisdiction, and had a population of 5.1 million by the end of 2010.

Hefei is an ancient city with a history spanning over 2,000 years. It is named the “City of Science and Education” due to its top universities. University of Science and Technology of China, one of the top universities in the counties, is located in Hefei. The city is within two hours’ flight-time from Beijing, Guangzhou, Shanghai and Hong Kong.
 
Economic Features
 
As a key city in the government's new proposed plan for expansion of the Yangtze River Delta, Hefei is playing an important role in linking central China with coastal regions. Yangtze River Delta is the economic growth engine of the country. In 2009, GDP of the region exceed RMB 1 trillion, accounting for 21.4% of the nation's total.

In 2010, Hefei's GDP rose 17.5% to RMB 270.25 billion, ranking first in the province. Value-added industrial output amounted to RMB 145.76 billion, up 22.3% year on year. Hefei's economy is growing rapidly, led by its eight pillar industries - automobiles, equipment manufacturing, home appliances, chemicals, new materials, IT, biopharmaceuticals, and food processing..The combine added value of the eight pillars amounted to RMB 76.2 billion, up 28.5% year on year, accounted for 52% of Hefei's total in 2010.

The services sector also plays an important role in Hefei's economic development. In 2010, it represented over 41.2% of Hefei's GDP. Hefei has an active consumer market, the sales of consumer goods of the city rose 19.8% to RMB 83.9 billion in 2010. Tourism is another pillar of the service industry. In 2010, more than 26.94 million tourists have visited the city. The tourism revenue amounted to RMB 24.7 billion, up 42.9% year on year.

As the most developed city in Anhui, Hefei has attracted the most foreign investment. In 2010, utilized FDI rose 27.8% year on year to US$1.09 billion and 72 new foreign-funded enterprises were set up. The foreign trade totaled US$9.96 billion in 2010 - an increase of 54.9%, of which export volume was US$5.6 billion with an increase of 26.5%.
 
Cultural Highlights
 

Historically, Hefei was known as “Luzhou” and was first officially established as a county in the Qin Dynasty (248-206 BC). Since the later Eastern Han Dynasty, it has been an important battlefield and a crucial military stronghold in the region between Huai River and Yangtze River.  One of the key universities in the country, the University of Science and Technology of China, is located in Hefei.

 
Tourist Attraction
 

Hefei has a number of historical sites and natural scenery. Xiaoyaojin Park, a famous and historic park, is located in the northeast of Hefei. Tourists visiting Hefei may also travel to Mt. Huang Scenic Area and Chao Lake. Hefei, a transshipment station to the Mt. Huang Scenic Area, is about a 6 hours drive from Mt. Huang.

Local products include feathered fans, Chaohu whitebait, hairy crabs, tiger-skin, cumquat-shaped yolk egg, bamboo carvings, etc. A variety of the province’s famed handicraft products can also be found easily in the capital. These range from Xuan paper from Jingxian, and Hui ink-sticks and She ink-slabs from Shexian, to iron pictures from Wuhu and Fengyang paintings, etc.

 
Major Development Zones
 

By 2010, Hefei had two state-level development zones. The area and pillar industries of these two zones are presented in the table as follows.

Name
Area ((km²)
Pillar Industries
GDP in 2010
(RMB billion)
Hefei Economic & Technological Development Area
66.0
Household electronics, automobiles, equipment manufacturing, chemical engineering and food processing. 36.97 (2009)
Hefei High-tech Industrial Development Zone
18.5
Information technology, bio-engineering and medicine, new materials, advanced machinery, and optical-mechanical-electronic integration.
13.3

Source: State Development and Reform Commission
 
Honors
 

Low Investment Cost City in China (2007)
- Forbes

China’s Service Outsourcing Base (2007)
-Ministry of Commerce, PRC, Ministry of Industry and Information Technology of China, Ministry of Science and Technology of China

China Top 50 Investment Environment City (2006)
-National Bureau of Statistic of China

Significant Investment Potential City in China for MNCs (2006),
-Institute of Industrial Economics, Chinese Academy of Social Sciences

Content provided by China Knowledge