Page 68 - AmCham South China 2026 Special Report on the State of Business in South China

Economic Overview in South China

The economy of South China 1 import and export trade, while the one-stop

customs clearance model now covers all mainland
China is a leading engine in cities in the GBA, reducing declaration costs by
South China¡¯s economic growth. It about 30%. Policies facilitating mainland travel
includes not only the provinces of Guangdong, permits for Hong Kong and Macau professionals
Fujian, Yunnan, Guangxi, Guizhou and Hainan, have been fully implemented and programs such
but also the Special Administrative Regions (SARs) as ¡°Hong Kong Vehicles Northbound¡± and ¡°Macau
of Hong Kong and Macau. The economies of these Vehicles Northbound¡± have seen over 7 million
regions gained traction and reached RMB32.3 vehicle crossings. A total of 262 new standards
trillion in 2024, accounting for around 24% of has been issued. More than 8,000 professionals
national gross domestic product (GDP). from Hong Kong and Macau are now practicing
in mainland GBA cities, while 45 hospitals are
qualified to use Hong Kong- and Macau-approved
Forerunners in China¡¯s economic medicines and devices.
reform
Major cooperation areas, including Hengqin,
China¡¯s reform and open-door policy began Qianhai, Nansha and Hetao, have continued to drive
with the adoption of a new economic development reform and opening up during the 14th FYP: The
strategy in late 1978. No region better encapsulates Guangdong-Macao In-Depth Cooperation Zone
the success of this strategy than South China, in Hengqin has fully implemented its separate
which was at the forefront of reform and opening management policy, with new technologies,
up initiatives and quickly developed into an industries, business forms and models accounting
outward-facing manufacturing hub in the 1980s. In for over 60% of local GDP, supporting Macau¡¯s
the decades that followed, South China continued moderate economic diversification. Qianhai in
to move up the industrial ladder, shifting from Shenzhen has become a hub for financial and
labor-intensive mass production to higher value- legal resources, attracting over 500 international
added manufacturing. Today, it has evolved into financial institutions and more than 250 legal
a more diversified region with strengths in both service organizations. Nansha in Guangzhou now
manufacturing and services. hosts 53 national-level specialized and innovative
¡°little giant¡± enterprises and 1,310 high-tech firms.
During the 14th FYP period, the Guangdong-Hong Hetao in Shenzhen has developed 13 science
Kong-Macao Greater Bay Area (GBA) continued parks with more than 800,000 m of research and
2
to deliver significant results despite headwinds. development (R&D) space, attracting over 200 high-
2
Infrastructure connectivity accelerated, forming end research projects and 15,000 researchers.
a network of cross-sea and cross-river corridors.
Logistics and customs clearance became more Moreover, the GBA has achieved a leap in
efficient. The Dongguan-Hong Kong International technological innovation capacity. A total of 31
Airport Center recorded over RMB40 billion in Guangdong-Hong Kong-Macau joint labs have
been established, forming the foundation for the
1 South China, includes Guangdong province, Fujian GBA¡¯s technological innovation. The number of
province, Yunnan province, Guangxi autonomous
region, Guizhou province, Hainan province, Hong Kong unicorn enterprises in the GBA rose from 33 in
3
Special Administrative Region (SAR) and Macau SAR 2020 to 70 in 2024 . Improved infrastructure and
2 Southcn.com, https://news.southcn.com/node_
d584463ce4/a7a595a507.shtml 3 Xinhua News, https://english.news.cn/20251107/c71
06ddc41874126a84611360c6233ed/c.html
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