Yongqing Industrial Area

Beijing Golden Field Investment Management Co., Ltd

Contents

• Introduction• Advantages• Benefits• Value• Contact details• Appendix

Introduction Beijing

Shanghai

Yongqing Industrial Area

• A new eco-industrial development zone• Located in Yongqing County, Hebei Province,

China, between the cities of Beijing and Tianjin• Development zone level: Provincial• Planning area 120km2

• Established in March 2003• Over 80 companies present at the end of 2008

Hebei province

Introduction

Bohai

The Bohai-Rim Economic Circle

Introduction Hebei Province

X Yongqing County is situated in the Langfang prefecture

X

11 Prefecture-level divisions

Advantages

• Well connected– Beijing 40 min– Tianjin 1 h– Beijing Capital International

Airport 1h 30min

• At the center of Economic Circles– Bohai rim economic circle– ”Big Beijing ” Strategic

economic circle– Joint economic circles of Beijing,

Tianjin, and Hebei

• Government’s Strategy– Integration of Beijing, Tianjin

and the Hebei province – Yongqing County remains at the

heart

104105

Tianjin

Beijing

Port of Tianjin (60km)

Beijing Capital International Airport (75km)Beijing’s Second International Airport (Planned location – 20km)

Yongqing Industrial Area

JingJinTang Expressway

Highway 104 (20km)

Highway 105 (Finished by 2011)

• Highly Developed Infrastructure

Advantages

Natural Gas Supply 600,000 m³

Electricity Supply 160,000 KVA

Water Supply 200-2000T/h

Drainage 30 kmMobile Coverage

Broadband Internet Coverage

Cable TV Coverage

ENERGY & WATER

COMMUNICATIONSCompetitively priced at ¥1.8/m³

Competitively priced at ¥0.67/kWh

Natural Gas supply is ensured by Yongqing’s prime location on the East-west natural gas pipeline

• Access to cheap and skilled labor

Advantages

Highly educated labor and managerial potential from the Oriental University City in Langfang (14 universities and over 35,000 students)

Yongqing County has a population of more than 380,000. Beijing and Tianjin have a combined population of 29 million people

Langfang

Physical labor at ~ ¥800/month

• Competitive Land Pricing– ¥ 100,000 – 150,000 / mu– ¥ 150 – 225 / m2

• Provincial-level development zone: less regulation

• Privately owned developer: less bureaucracy

• Made to fit your needs:

Advantages

Yonqing Industrial Area (120km2) Google Earth 39°22'39"N, 116°31'25"E

Custom-built Facilities in 3 months

Rent Facilities Rental Available

Over 80% cheaper than around Shanghai

• Logistics

– Industrial area currently serviced by domestic logistics companies

– 500 mu (~330,000 m2) planned for a logistics park (construction planned to start in July 2009)

Advantages

• Help & Support

– Service Centre located in the Industrial Area

– One-stop service for enterprise application, registration and approval

• Preferential policies– In the first three years nine

different types of fees are waived (see appendix 3)

• Investment Incentives– 100% of Corporate income tax

and Value-added tax is returned for the first three years, where investment in fixed assets exceeds ¥ 10 million

– For the following three years, 50% of Corporate income tax and Value-added tax is returned

Benefits

Tax Type Tax Subjected To Hebei Tax Rates

Yongqing Industrial Area Rates

China Federal Rate

Business Tax Operating Income 5.00 3.00 5.00

Construction Tax

Operating Income 0.05 0.05 0.35

Education Surcharge

Operating Income 0.15 0.15 0.15

River Surcharge

Operating Income 0.05 0.05 -

Total Operating Income 5.25 3.25 5.50

Corporate Income Tax

Operating Income 2.50 2.075 2.50

Corporate Income Tax

Profit 25.00 20.75 25.00

Benefits

• Tax benefits

Non-industrial development

“Yongqing New Town”

• Vision 2030– ”Modern enterprise city in the forest”– Beijing’s satellite town– World-class leisure areas

• ”Beijing’s Ninth Zone - Yongqing New Town”– Plan by the Chinese Urban Planning

Design Research Institute– Focus on Sustainable development and

maintaining the ecological balance between industrial development and residential development

Factories, Villas and the Worker’s residential area are currently in construction

Yongqing County• A large producer of organic crops• 60% of the county is covered by natural forests•Fresh air, Clean water

Value• Access the ”Factory of the World”• Lower your costs of production• Have your production facility within 40 minutes of

China’s capital city• Access the Chinese domestic market of 1.4 bn

consumers, and export your products to international markets with speed and ease

• Have a factory, assembly hall, and/or office space built to your specific requirements, which meets your needs

• Access a team dedicated to help and support you in every stage of the process

• Access one of the most exciting and competitive development areas in northern China

• Leading property advisors recommend that you should choose a site for it’s future

• They also advise that building a facility which fits your needs produces markedly better results than buying an existing facility which fails to meet your requirements

• The pace of development in the next 20 years around the Beijing/Tianjin/Hebei area will leave the Yongqing Industrial area at the heart of one of the most prosperous regions in China

Value

Contact

Address:

Telephone:Fax:Email:Office hours:

Beijing International Centre, Room 706, Building 4, CBD Chaoyang District, 100026 Beijing, P.R. China

+861085879621+861085879624access@ninthzone.cn09:00-18:00 (GMT + 8h)

Beijing Golden Field Investment Management Co., Ltd

Please contact us with any questions, or for more information. Visits to the industrial area can be arranged upon request.

If you are unsure of whether our industrial area is able to meet your requirements, please don’t hesitate to contact us – it is our task to meet your needs

The Companies

Beijing Golden Field Investment Management Co., Ltd

The Yongqing Industrial Area is our development area in Yongqing County, Hebei province http://www.yqgyy.cn/

We were set up by the Langfang Yitian Group to market the Yongqing Industrial Area to international investors. Located at the heart of Beijing’s Central Business District, Beijing Golden Field Investment Management is the first point of contact for foreign investors who are interested in the Yongqing industrial area.

Langfang Yitian GroupThe Langfang Yitian Group holds the exclusive development rights for the Yongqing Industrial Area

Appendix 1

Yongqing County Government

The People’s Government of Hebei Province

A sample of large enterprises already present and producing at the Yongqing Industrial Area

Name Industry

China South Glass Holding Co., Ltd Float glass

Balama Machinery (China) Co., Ltd Aphalt concrete mixing equipment

Jilin Forest Industry Group Co., Ltd New building materials

Langfang AoHua Food Ltd Food

Langfang Norsun Chemicals Limited Co., Ltd Electronic polarization epoxy resin

Langfang Sanyihe Filter Cleaner Co., Ltd Environmentally friendly filter cleaner

Appendix 2

Waived fees– In the first three years the following administrative charges are waived

• The water supply sector fee to use water is waived• In the first three years, energy consumption which exceeds 10KV is charged at

10KV• Fees for the approval of construction plans by the fire department are waived• Labor safety inspection fee to the quality supervision department• Fees to the city: Town planning department, costs of greening and urban

renewal, land survey, possible fees to build walls, fees for using the city facilities.

• fees for investment in fixed assets to the planning department• Application fee for property rights to housing authorities• Quality supervision fees to the quality and technology supervision

department• Opening fee for an account with the network communications sector

– In the first three years the construction quality supervision fee is -50%

Appendix 3

Other Information

• All land in China is owned by the government• Land-use rights are normally sold for 50 years

for commercial use, and for 70 years for residential use

• Investors can sell, rent or renew their land-use right and property before their land-use right expires

Appendix 4