Shenzhen, Guangdong Province, China

🇨🇳 Shenzhen, also historically known as Sham Chun, is a major sub-provincial city and one of the special economic zones of China. The city is located on the east bank of the Pearl River estuary on the central coast of southern province of Guangdong, bordering Hong Kong to the south, Dongguan to the north, and Huizhou to the northeast. With a population of 17.56 million as of 2020, Shenzhen is the third most populous city proper in China. Shenzhen is a global centre in technology, research, manufacturing, business and economics, finance, tourism and transportation, and the Port of Shenzhen is the world's fourth busiest container port.

Shenzhen roughly follows the administrative boundaries of Bao'an County, which was established since imperial times. The southern portion of Bao'an County was seized by the British after the Opium Wars and became Hong Kong, while the village of Shenzhen was situated on the border. Due to the completion of a train station that was the last stop on the Mainland Chinese section of the railway between Guangzhou and Kowloon, Shenzhen's economy grew and became a market town and later a city by 1979, absorbing Bao'an County for the next decade.

In the early 1980s, economic reforms introduced by Deng Xiaoping resulted in the city becoming the first special economic zone of China due to its close proximity to Hong Kong, attracting foreign direct investment and migrants searching for opportunities. In thirty years, the city's economy and population boomed and has since emerged as a hub for technology, international trade, and finance. It is the home to the Shenzhen Stock Exchange, one of the largest stock exchanges in the world by market capitalization and the Guangdong Free-Trade Zone. Its nominal GDP has surpassed neighboring cities of Guangzhou and Hong Kong and is now among the top ten cities with the largest economies in the world. Shenzhen also has the fifth-highest number of billionaires of any city in the world, the second largest number of skyscrapers of any city in the world, the 28th largest scientific research output of any city in the world, and several notable educational institutions, such as Shenzhen University, Southern University of Science and Technology, and Shenzhen Technology University.

Due to the city being a leading global technology hub, Shenzhen has been dubbed by media China's Silicon Valley. The city's entrepreneurial, innovative, and competitive-based culture has resulted in the city being home to numerous small-time manufacturers or software companies. Several of these firms became large technology corporations such as phone manufacturer Huawei, holding company Tencent, and drone-maker DJI. As an important international city, Shenzhen hosts numerous national and international events every year, such as the 2011 Summer Universiade and the China Hi-Tech Fair . Shenzhen's rapid success has resulted in the Chinese government turning Shenzhen into a model city for other cities in China and the world to follow.

Economy Shenzhen was the first of the Special Economic Zones (SEZ) to be established by general secretary Deng Xiaoping. Back to Apr 1979, Shenzhen was reformed as a Special Export Zone to create a favorable investment environment and introduce advanced technology and management experience, later renamed to Special Economic Zone in May 1980. As of 2018, Shenzhen has a nominal GDP of 2.42 trillion RMB (HK$2.87 trillion), which recently had surpassed neighboring Hong Kong's GDP of HK$2.85 trillion and Guangzhou's GDP of 2.29 trillion RMB (HK$2.68 trillion), making the economic output of Shenzhen the third largest out of Chinese cities, trailing behind Shanghai and Beijing. In addition, Shenzhen's GDP growth between 2016 and 2017 of 8.8% surpassed that of Hong Kong and Singapore, with 3.7% and 2.5% respectively. With a market capitalisation of US$2.5 trillion as of 30 November 2018, the Shenzhen Stock Exchange (SZSE) is the 8th largest exchange in the world.

In the 2021 Global Financial Centres Index, Shenzhen was ranked as having the 8th most competitive and largest financial centre in the world and 6th in the whole of Asia & Oceania region (after Shanghai, Hong Kong, Singapore, Beijing, and Tokyo). Shenzhen is ranked as an Alpha- (global first-tier) city together with Guangzhou, Stockholm and San Francisco. According to Forbes, Shenzhen has the fifth-highest number of billionaires of any city in the world. Shenzhen's nominal GDP is projected to be among the world top 10 largest cities in 2035 (together with Beijing, Shanghai and Guangzhou in China) according to a study by Oxford Economics and its nominal GDP per capita will reach above US$57,000 (ranking first in mainland China) in 2030, which is comparable to Tokyo and Seoul.

Shenzhen is part of the 21st Century Maritime Silk Road that runs from the Chinese coast south to the tip of India via the Suez Canal to the Mediterranean, there to the Upper Adriatic region to the northern Italian hub of Trieste with its rail connections to Central Europe and the North Sea.

Economy: Industry Shenzhen's industry is described by its Municipal Bureau of Statistics to be upheld by its four-pillar industries: high-tech, finance, logistics, and culture. Shenzhen is also a large hub of the Chinese and global technology industry and home to a large startup ecosystem. As of 2020, the city was ranked as the 4th Fintech powerhouse in the world after (New York City, Shanghai and Beijing). Shenzhen is primarily known for its high-tech industry, which has a value of 585.491 billion RMB (US$82.9 billion) in 2015, a 13% increase compared to last year. Out of the nominal GDP of 1,750.299 billion RMB in 2015, the high-tech industry comprises 33.4% of this amount. Shenzhen is home to a number of prominent tech firms, such as telecommunications and electronics corporation Huawei, internet giant and holding conglomerate Tencent, drone-maker DJI, and telecommunications company ZTE. Other tech firms include personal computer manufacturer Hasee, radio manufacturer Hytera, consumer electronics manufacturer OnePlus, and electronic and automobile manufacturer BYD. Shenzhen annually holds the China International High-tech Achievements Fair which showcases high-tech products and provides for dialogue and investment for high-tech. As a result, Shenzhen is dubbed by media outlets as "China's Silicon Valley" or the "Silicon Valley of Hardware" for the world. Shenzhen ranks 28th globally by scientific research outputs as tracked by the Nature Index.

In addition to its numerous high-tech companies, Shenzhen is also home to a number of large financial institutions, such as China Merchants Bank and Ping An Insurance and its subsidiary Ping An Bank. Since the city's establishment as a SEZ, a number of foreign banks had established offices in the city, including Citibank, HSBC, Standard Chartered, and Bank of East Asia. In total, the financial industry accounts for 14.5% of the city's nominal GDP in 2015 (254.282 billion RMB), which was a 15.9% increase over the previous year. By the end of 2016, the total assets of the financial industry amounted to 12.7 trillion RMB (banking industry assets were 7.85 trillion RMB, security companies assets were 1.25 trillion RMB, and insurance industry assets were 3.6 trillion RMB), making Shenzhen's financial industry the third largest in China. In addition, Shenzhen is one of the world's top ten financial centres as of 2019, jumping five places to ninth place as determined by "variety of areas of competitiveness, including business environment, human capital, infrastructure, financial sector development and reputation".

Addressing the logistics industry, courier SF Express and shipping company China International Marine Containers (CIMC) have their headquarters in Shenzhen. The Port of Shenzhen, composed of Yantian International Container Terminals, Chiwan Container Terminals, Shekou Container Terminals, China Merchants Port and Shenzhen Haixing (Mawan port), handled a record number of containers with rising trade increased cargo shipments in 2005, ranking it as the world's fourth-busiest container port. Shenzhen's high port traffic levels combined with a high urban population make Shenzhen a large port megacity, the largest type of port-city in the world. Together, the logistics industry accounts for around 10.1% (178.27 billion RMB) of the city's nominal GDP in 2015, which was an increase of 9.4%. Shenzhen Port’s first foreign trade block-chain cargo release platform was launched recently.

Shenzhen had prioritised the cultural industry in according to the 13th Five-Year Plan establishing the Shenzhen Fashion Creative Industry Association (深圳市时尚文化创意协会) and planning the 4.6 square kilometre Dalang Fashion Valley (大浪时尚创意城). On 7 December 2008, UNESCO approved Shenzhen's entrance into the Creative Cities Network, and awarded the Shenzhen the title of "United Nations Design Capital". Altogether, the cultural industry in turn contributes to 5.8% (102.116 billion RMB) of Shenzhen's economy in 2015.

In addition to the four pillar industries that was listed by the municipal government, Shenzhen also has a relatively notable real-estate industry. The real-estate industry altogether contributes to 9.2% (162.777 billion RMB) of Shenzhen's economy in 2015, which was an increase of 16.8% compared to last year. Real estate developers such as the Evergrande Group, Vanke, and China Resources Land are headquartered within the city.

As a SEZ, Shenzhen has established several industrial zones to encourage economic activities. The Shekou Industrial Zone was approved and established back on 31 January 1979 by the Central Committee of the CPC to assist in the "Hong Kong-based" economy of Shenzhen. In 1996, the State Council approved and established the 11.5 km² (4.4 sq mi) Shenzhen High-tech Industrial Development Zone, helping to develop Shenzhen's high-tech industry in areas such as electronics and information technology. In accordance to the National Plan in 2001, the Shenzhen Software Park, integrated within the High-tech Industrial Development Zone, was established for software production and assist in the development of the city's software industry. On 26 August 2010, the State Council approved the "Overall Development Plan for Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone" to solidify ties between Hong Kong and Shenzhen.

Tourism

Tourism is gradually growing as an important industry for Shenzhen. Shenzhen has been ranked second on the list of 'top 10 cities to visit in 2019' by Lonely Planet. The Shenzhen administration in its "12th Five-Year Plan for Tourism Development of Shenzhen" had focused on turning the city into an international tourist hub, with emphasis on the city's scientific, fashion, and industrial elements. The Shenzhen tourist industry is claimed by the local administration in having a strong development advantage, due to the city being one of the tier-one cities in China, as well as being known for its coastal resources, climate environment, capitalist economy, and technological innovation. In 2015, the tourism industry's total revenue was 124.48 billion RMB (US$17.6 billion), a 98.1% increase from 2010. Out of the total revenue, 28% (35 billion RMB or US$4.968 billion) came from international tourists, an increase of 56.2% from 2010. In addition, in that year, Shenzhen received 11.63 million tourists, a 51% increase from 2010.

Shenzhen has numerous tourist destinations, ranging from recreational areas such as theme parks and public parks to tall buildings. Most of the tourist attractions are part of Overseas Chinese Town (OCT), a colloquial name for parks owned by OCT Enterprises and is classified as an AAAAA scenic area by the China National Tourism Administration. These include the Window of the World, the Splendid China Folk Village, Happy Valley (欢乐谷), OCT East, and OCT Harbour. Other theme parks include Shekou Sea World (海上世界), Xiaomeisha Sea World, and the now-closed Minsk World. Shenzhen also has a number of popular public parks and beaches, such as People's Park, Lianhuashan Park, Lizhi Park, Zhongshan Park, Wutongshan Park, Dameisha (大梅沙) and Xiaomeisha  (小梅沙). The city is also home to tall buildings such as the Ping An Finance Centre, KK100, and the Shun Hing Square (also known as Di Wang Tower).

Shenzhen's tourism industry is recently expanding under the "13th Five-Year Plan for Tourism Development of Shenzhen" as promoted under the Shenzhen local government. In this plan, the tourist industry plans to exceed 200 billion RMB and receive 150 million domestic and foreign tourists by 2020. Part of the plan includes organising the tourist industry within five brands: theme parks, retail, natural recreational areas, sports, and international gatherings, as well as speeding up construction of future tourist attractions and turning Shenzhen into a Chinese hub for sports.

Economy: Retail Retail is an important pillar of Shenzhen's tertiary sector. Out of the added value of Shenzhen's tertiary sector of 1.42 trillion RMB (US$201 billion) in 2018, retail contributed 43% (616.89 billion RMB) of this amount, a 7.6 percent increase compared to last year (601.62 billion RMB). In addition, 10.9% of Shenzhen's FDI is directed towards the wholesale and retail sector.

Huaqiang North (华强北) is one of Shenzhen's notable retail areas, being known for having one of the largest electronics markets in the world. Luohu Commercial City, a commercial complex located adjacent to Shenzhen Railway Station, is noted for having a variety of products that ranges from electronics and counterfeit goods to tailored suits and curtains. In addition to Huaqiang North and Luohu Commercial City, Shenzhen has numerous shopping malls and commercial areas, including COCO Park and its branches COCO City and Longgang COCO Park, Uniworld (壹方天地), Uniwalk (壹方场), and Coastal City(海岸城). Shenzhen is also home to drugstore chain China Nepstar.

"Smart retail", which uses technologies such as artificial intelligence and big data in production, circulation, and sales of consumer goods, has been growing popular within enterprises in Shenzhen. Businesses in Shenzhen are encouraged to use the Internet to develop the consumer market and new retail projects would be assisted with the use of technology. In addition, the Shenzhen administration is setting up a new retail industry development fund to promote the use of "smart retail", with the intention of stimulating the economy of Shenzhen and to turn the city into a "new retail" hub.