Suzhou Industrial Park: 10 things to know about the China-Singapore project
The China-Singapore Suzhou Industrial Park (SIP) celebrates its 20th anniversary in October. Here are 10 things to know about the project:
- 1. Origins: The SIP began in 1994 as a bilateral project for Singapore to share industrialisation experiences with China and was backed by former Singapore prime minister Lee Kuan Yew and late Chinese strongman Deng Xiaoping.
- 2. Location: Suzhou was picked because of its proximity to the Shanghai financial hub and its educated, skilled talent pool.3. Size: The park occupies a 288 sq km area in eastern Suzhou, about a third of Singapore's size. 80 sq km belongs to the China-Singapore cooperation zone.
- 4. Stakeholders: Singapore initially held a 65 per cent stake in the China-Singapore Suzhou Industrial Park Development Group (CSSD), with the rest by China.
- 5. Focus: The project aims to encourage innovation and entrepreneurship, and to attract high-tech industries, especially software-focused information technology and biotechnology industries.
- 6. Success: The SIP is ranked the second-best industrial park in China and regularly tops developmental indices. Its gross domestic product in 2013 was 190 billion yuan (S$39.6 billion), up from one billion yuan in 1994.
- 7. Companies: The park is best known among the locals as "Yang (Foreign) Suzhou" - home to majority of Suzhou's expatriates and the base for Fortune 500 giants such as Samsung, UPS and Motorola.
- 8. Facilities: SIP has a range of facilities including housing, retirement village, recreational and senior care facilities, as well as schools including the Suzhou Singapore International School.
- 9. Challenges: SIP faces several key challenges. For example, low-end, labour-intensive industries like electrical manufacturing are being replaced by high-tech and service industries like nanotechnology and finance.
- 10: Singapore DNA: As it changes itself to cope with new challenges, many experts say the most crucial factor for the SIP is to maintain its Singapore DNA.
Suzhou Industrial Park
The China-Singapore Suzhou Industrial Park (SIP) project was launched in 1994 to develop a model industrial township within the city of Suzhou in China’s Jiangsu province. The first flagship joint project between the two governments, a key feature of the SIP involves the transfer of Singapore’s “software” – industrial development model and public-administration experience – to China. At the time, China was keen to study Singapore’s development model, while Singapore saw China as an important market for the country’s regionalisation drive. Both governments believed that the SIP, developed and managed based on Singapore’s approach, would be attractive for foreign direct investments. Profitable since 2001, the Singapore–China cooperation zone currently spans an area of 80 sq km.5 Besides industrial developments, the integrated township also encompasses residential areas, commercial and recreational facilities, as well as educational institutions.
The origin of the SIP project can be traced to former Chinese leader Deng Xiaoping, who mentioned during his tour of southern China in February 1992 that the country could learn from Singapore in the areas of economic and social development. In Singapore, then Senior Minister Lee Kuan Yew saw China’s interest in the city-state as an opportunity that could benefit both countries. During a visit to China between September and October 1992, Lee expressed intent for a bilateral project through which Singapore would share its experience.7 On 18 December 1992, an agreement to confirm the mutual interest to develop an industry township in Suzhou was signed between the Singapore Labour Foundation (SLF) International and the Suzhou government.8 Thereafter, Lee sent a proposal for cooperation to China’s then vice-premier Zhu Rongji, which entailed a government-to-government transfer of Singapore’s knowhow in the development of an industrial township in Suzhou.9 Specifically, a 70-square-kilometre parcel of land in the east of Suzhou was selected for the proposed project.
On 26 February 1994, Lee and then Chinese vice-premier Li Lanqing signed the government-to-government agreement on software transfer and joint development of a special economic zone in Suzhou to better attract foreign investors. Also inked on the same day was the commercial agreement on the formation of the joint venture, with 65 percent of its shares owned by SSTD and 35 percent by a Chinese consortium, the Suzhou United Development Company (SUDC). The joint-venture entity known as the China-Singapore Suzhou Industrial Park Development Company (CSSD) – comprising SSTD and SUDC – was responsible for the development, management and commercial viability of the SIP.16 The two countries also established a joint steering council – first co-chaired by Li Lanqing and Singapore’s then Deputy Prime Minister Lee Hsien Loong – to review and tackle any key issues on the township project. A ground-breaking ceremony for the SIP was held on 12 May 1994.
Suzhou Industrial Park
The industrial park was established on 26 February 1994
The China–Singapore Suzhou Industrial Park (simplified Chinese: 中国—新加坡苏州工业园区; traditional Chinese: 中國—新加坡蘇州工業園區; pinyin: Zhōngguó—Xīnjiāpō Sūzhōu Gōngyè Yuán Qū), or Suzhou Industrial Park for short, abbreviated as SIP, is a county-level administrative area located in Suzhou, Jiangsu, China.
The industrial park was established in February 1994, as part of the reform and opening up campaign in the 1990s and is unique in its joint governance by Chinese and Singaporean officials. While the park struggled at first and attracted international notoriety following a very publicized falling out between the two sides, it quickly began making a profit due to highly desirable real estate and the presence of many large global corporations and remains an economic engine for the city. The Suzhou Industrial Park spans an area of 278 square kilometres (107 sq mi), and has a population of 807,800 permanent residents, per a 2019 publication released by the industrial park. In 1992, the idea of developing a modern industrial area with Singaporean experience was broached.[citation needed] During his tour of southern China that year, China's late paramount leader Deng Xiaoping said: "Singapore enjoys good social order and is well managed. We should tap on their experience and learn how to manage better than them".[citation needed]
After rounds of discussions and site surveys, both governments decided to join hands in developing a modern industrial park in the east of Suzhou. Suzhou was chosen as the site due to its proximity to the financial hub of Shanghai, as well as its educated and skilled labor pool. The China–Singapore Suzhou Industrial Park (CS-SIP) was thus born on February 26, 1994, when Chinese Vice Premier Li Lanqing and Singaporean Senior Minister Lee Kuan Yew signed the Agreement on the Joint Development of Suzhou Industrial Park in Suzhou. Upon its inception, the Singaporean government held a 65% stake in the Suzhou Industrial Park, while the Chinese government held a 35% stake.
Sino-Singapore Tianjin Eco-City to have green innovation park, be a model for other Chinese cities
15th anniversary of Tianjin Eco-City. (Photo: Sino-Singapore Tianjin Eco-City Investment and Development)
As the China-Singapore Tianjin Eco-City marks its 15th anniversary this year, both countries announced on Thursday (Dec 7) that it will be developed into a zone that exemplifies low-carbon economic growth and serves as a model for other Chinese cities.
Works for a green innovation park will also begin this year at the Eco-City’s city centre. Singapore’s Deputy Prime Minister Lawrence Wong officiated a groundbreaking ceremony on Thursday, along with Chinese Vice Premier Ding Xuexiang. These developments fall under a new framework unveiled by Singapore and China at the 15th Sino-Singapore Tianjin Eco-City Joint Steering Council (JSC). JSCs review the progress of and discuss further cooperation on the three flagship China-Singapore government-to-government projects, including Tianjin Eco-City.
Today, the Eco-City is home to more than 150,000 people – up from 20,000 in 2014 – and 30,000 companies. Launched in 2008, it now houses a range of residential developments, community and recreational spaces, as well as schools and workplaces. Singapore’s Ministry of National Development (MND) said in a press release that the new framework “will strengthen the Eco-City as a pathfinder for climate-friendly cities”, as well as broaden bilateral cooperation between both countries.
Tianjin Eco-City rattled, but not for long
Home sales and inquiries in Tianjin Eco-City have returned to normal levels since the Aug 12 explosions, said Mr Liew Choon Boon, chief executive of SSTEC Investment and Development. PHOTO: TIANJIN ECO-CITY
Deadly explosions at a chemical warehouse in the northern port city of Tianjin earlier this month left behind a devastated industrial landscape and a murky tale of political malfeasance and corruption at the top. The blasts, which killed 150 people, have also rattled a joint project between the Singapore and Chinese governments, 16km away.
The Sino-Singapore Tianjin Eco-City (SSTEC) escaped with only superficial damage to its buildings but observers say collateral fallout could be greater, at least in the short term. Confidence in Tianjin's government and the reputation of the Binhai New Area, where the eco-city is located, have taken a hit amid fears that the air and water near the explosion site are now contaminated. Some 11 officials and port executives are being investigated for dereliction of duty or abuse of power.
Milestones of the SSTEC:
- November 2007: Singapore and China jointly decided to select Tianjin as the location for an eco-city. An agreement was inked between Singapore Prime Minister Lee Hsien Loong and then-Premier Wen Jiabao.
- September 2008: Singapore and China broke ground for the joint project, their second after the Suzhou Industrial Park, aiming to make it a model of sustainable development.
- February 2012: The first batch of residents moved into the Sino-Singapore Tianjin Eco-City (SSTEC).
- September 2012: The first school started classes in the eco-city.
- March 2013: The SSTEC was named the first National Green Development Demonstration Zone by China State Council.
- September 2013: Some 1,000 firms were registered.
- June 2014: The number of residents in the eco-city crossed the 10,000 mark.
- July 2014: Companies in the eco-city can take yuan loans from banks in Singapore, among a range of other cross-border yuan transactions, as both countries stepped up financial cooperation.
- August 2015: The number of residents reached 30,000 with 2,300 companies registered.
Sino-Singapore Tianjin Eco-city
The Sino-Singapore Tianjin Eco-city (SSTEC, simplified Chinese: 中新天津生态城; traditional Chinese: 中新天津生態城; pinyin: Zhōng-Xīn Tiānjīn Shēngtài Chéng) is a planned city developed jointly between the governments of China and Singapore. Located in Binhai, the project was deliberately built on "non-arable" land with a "water shortage" to the southeast of Tianjin's urban core, for the declared purpose of serving as a "demonstration that sustainable urbanisation could be achieved despite difficult environmental challenges". The city's site spans an area of 30 square kilometres (12 sq mi),[3] and houses approximately 100,000 people as of April 2019. The city initially planned to house 350,000 people by 2020, but, as of 2021, still aims to house that amount at some point in the future.
On April 25, 2007, then Senior Minister of Singapore Goh Chok Tong and former Chinese Premier Wen Jiabao met and discussed the idea of a planned city to aid with China's rapid urbanization and pursuit of sustainable development. On 18 November 2007, Singaporean Prime Minister Lee Hsien Loong and Wen Jiabao signed a Framework Agreement for the development of the Sino-Singapore Tianjin Eco-city.[1][3] The aim of the agreement was to develop a planned city which was practical, replicable and scalable, and would be more environmentally conscious, particularly in regard to resource and energy conservation.[citation needed] The city would then serve as a model for sustainable development for other cities in China.[citation needed]
The Singaporean government formed a Ministerial Committee in 2011 in order to improve the coordination and support among its agencies for the project – reportedly a sign of the importance of the project to Singapore. In 2008, the governments of Singapore and China laid out 26 key performance indicators (KPIs) to measure the city's future ecological, economic, and social development. These initial 26 KPIs comprised 22 quantitative measures and 4 qualitative measures, and included guidelines for air quality, water quality, noise pollution, wetland and shoreline protection, urban greenspace, water consumption, modes of transportation, waste generation, local employment opportunities, and other areas. In 2018, the city's KPIs were updated and reformulated to span 30 quantitative measures and 6 qualitative measures. These revised KPIs lay out targets set for 2023, 2028, and 2035.
Third Singapore-China joint project to be based in Chongqing
Chinese President Xi Jinping, accompanied by President Tony Tan Keng Yam, inspects the guard-of-honour during the welcome ceremony at the Istana, Nov 6, 2015. ST PHOTO: SEAH KWANG PENG
The third Singapore-China government-led project will be based in Chongqing, Chinese President Xi Jinping said at a state banquet at the Istana on Friday (Nov 6). "During my visit, the two sides will officially launch the third project based in Chongqing," Mr Xi said. The bilateral project will be on the theme of "modern connectivity and modern services", and could help lower the cost of doing business in China's western region.
Singapore and China will sign an agreement on Saturday (Nov 7) to kickstart the project, which is a highlight of Mr Xi's two-day state visit to Singapore. The other two cities in contention for the project in western China were Chengdu and Xi'an. A city of 30 million, Chongqing is one of four municipalities under the direct control of China's central government. In proposals seen earlier this year, the south-western city has set aside an area of 20 sq km for the collaboration, with the Longsheng district of about 10 sq km designated the core area.
The initiatives planned for the project include an integrated logistics centre comprising an aviation and port logistics hub; a China-Singapore modern services demonstration zone where Singapore firms can provide legal and accounting services among others; and a smart city featuring a special administrative zone for cloud computing and big data sectors. Chinese Ambassador to Singapore Chen Xiaodong had said earlier that the project would have a positive effect on the Chinese government's plan to develop its vast western region.
Third G-to-G project to be in Chongqing
Mr Xi and his wife Madam Peng waving upon arriving in Singapore on Nov 6, 2015. Mr Xi is on his first state visit here. Photo: Wee Teck Hian
A third urban mega project between Singapore and China will be launched in the western Chinese city of Chongqing, announced Chinese President Xi Jinping during a state banquet at the Istana yesterday (Nov 7). “During my visit, our two sides will officially launch the third Government-to-Government (G-to-G) project based in the Chinese city of Chongqing,” Mr Xi said, lauding the “good progress” made by the existing G-to-G projects of Suzhou Industrial Park set up in 1994, and Tianjin Eco City in 2008.
“All these tangible results of cooperation speak volumes about the fresh vigour and vitality of our cooperation,” he added. TODAY understands that several agreements that set the framework for the new project will be announced today at a signing ceremony for several memoranda of understanding and agreements for Mr Xi’s first state visit to Singapore. The third G-to-G project, which TODAY understands will focus on “strategic connectivity”, was proposed by China in 2013.
In a joint statement by the Foreign, Trade and Industry and National Development ministries following last month’s 12th Joint Council for Bilateral Cooperation (JCBC) — the highest-level bilateral mechanism between Singapore and China — both countries had agreed that the third project would focus on four sectors of collaboration: Financial, aviation, logistics, and ICT. During the JCBC meeting, Beijing and Singapore agreed that the third G-to-G project should be in line with Mr Xi’s vision to make the project “a priority demonstrative project for China’s One Belt, One Road initiative, the Western Region Development and the Yangtze River Economic Belt strategies”, the statement said.
Third Singapore-China project to be based in Chongqing: Xi
SINGAPORE SOUVENIR: (from left) Madam Peng Liyuan, President Xi Jinping, President Tony Tan, Mrs Mary Tan and Pathlight School student Glenn Phua at the Istana on Friday. Glenn's painting of the Singapore Botanic Gardens was presented to the Chinese president
THE third Singapore-China government-led project will be based in Chongqing, Chinese President Xi Jinping said at a state banquet at the Istana on Friday night.
"During my visit, the two sides will officially launch the third project based in Chongqing," he said. The bilateral project will be on the theme of "modern connectivity and modern services", and could help lower the cost of doing business in China's western region.
Singapore and China will sign an agreement on Saturday to kick-start the project, which is a highlight of Mr Xi's two-day state visit to Singapore. The other two cities in contention for the project in western China were Chengdu and Xi'an.
Suzhou Industrial Park: 30 years on
The industrial park was established on 26 February 1994
The China–Singapore Suzhou Industrial Park (simplified Chinese: 中国—新加坡苏州工业园区; traditional Chinese: 中國—新加坡蘇州工業園區; pinyin: Zhōngguó—Xīnjiāpō Sūzhōu Gōngyè Yuán Qū), or Suzhou Industrial Park for short, abbreviated as SIP, is a county-level administrative area located in Suzhou, Jiangsu, China.
The industrial park was established in February 1994, as part of the reform and opening up campaign in the 1990s and is unique in its joint governance by Chinese and Singaporean officials. While the park struggled at first and attracted international notoriety following a very publicized falling out between the two sides, it quickly began making a profit due to highly desirable real estate and the presence of many large global corporations and remains an economic engine for the city. The Suzhou Industrial Park spans an area of 278 square kilometres (107 sq mi), and has a population of 807,800 permanent residents, per a 2019 publication released by the industrial park. In 1992, the idea of developing a modern industrial area with Singaporean experience was broached.[citation needed] During his tour of southern China that year, China's late paramount leader Deng Xiaoping said: "Singapore enjoys good social order and is well managed. We should tap on their experience and learn how to manage better than them".[citation needed]
After rounds of discussions and site surveys, both governments decided to join hands in developing a modern industrial park in the east of Suzhou. Suzhou was chosen as the site due to its proximity to the financial hub of Shanghai, as well as its educated and skilled labor pool. The China–Singapore Suzhou Industrial Park (CS-SIP) was thus born on February 26, 1994, when Chinese Vice Premier Li Lanqing and Singaporean Senior Minister Lee Kuan Yew signed the Agreement on the Joint Development of Suzhou Industrial Park in Suzhou. Upon its inception, the Singaporean government held a 65% stake in the Suzhou Industrial Park, while the Chinese government held a 35% stake.
Singapore-China Bilateral Projects
Countries need to “build bridges and not walls” in order to navigate the many shared challenges in a highly interconnected world, Minister-in-charge of the Public Service Chan Chun Sing said during his four-day visit to China, which ends on Wednesday (Sep 13). He called for closer international cooperation and urged nations to play their roles in upholding and shaping the global rules in order to collectively progress ahead. “We must work towards developing a multi-dimensional global cooperation system,” Mr Chan said on Tuesday during the opening ceremony of the Singapore-China Forum on Leadership in Beijing.
“(This is a) system that is anchored by the rules-based multilateral system, where all countries, big and small, play by the rules, have an interest to upkeep the rules and continuously refresh the rules for the new and emerging challenges.” Mr Chan, who is also Singapore’s Education Minister, added that the system needs to be backed by new structures and greater cross-border cooperation to strengthen the speed and effectiveness of global action to address transboundary challenges, including disease outbreaks and climate change. On the economic front, he said that resilience is best achieved through diversification and interdependence, urging a push for global integration through the strengthening of multilateralism and the upholding of an international rules-based order.
Projects between Singapore’s and China’s governments can be “refreshed” to spearhead new growth, evolving beyond local and regional levels to include international partnerships, Mr Chan said during the bilateral leadership forum. He said projects such as the Suzhou Industrial Park, the Tianjin Eco-city and the Chongqing Connectivity Initiative, have enabled both countries to support each other’s development through cooperation and knowledge exchange. “Looking ahead, these government-to-government projects can be refreshed to trail blaze new development models of high-quality growth and experiment innovative approaches of governance,” he said.
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