In recent years, Shandong has made three strategic moves that have set the tone for its economic and social development.

This is something manufacturing companies must take into account when selecting a location.

Let’s first look at the most recent of these three moves.

On August 18, 2023, Shandong Province issued the "Three-Year Action Plan for the Construction of a World-Class Port Cluster."

The document outlines a plan to build a high-standard, world-class port cluster centered on Qingdao Port, with Rizhao Port and Yantai Port as its two wings, and supported by Weihai Port, Weifang Port, Dongying Port, and Binzhou Port.

In 2018, the national directive for Shandong was to “accelerate the construction of world-class marine ports.” But now, Shandong is tasked not only with building world-class ports but also with establishing a world-class port cluster.

The reason is simple: acting alone easily leads to homogenization and cutthroat competition, whereas “joining forces” is more conducive to the rational allocation of resources.

According to the Action Plan, by 2025, the annual cargo throughput of Shandong’s coastal ports will exceed 2 billion tons, and container throughput will surpass 40 million TEUs.

The second move: building economic clusters.

In 2020, Shandong outlined three economic circles:

the Provincial Capital Economic Circle centered on Jinan; the Jiaodong Economic Circle centered on Qingdao; and the Southern Shandong Economic Circle comprising Linyi, Jining, Heze, and Zaozhuang.

△ Planning for Shandong’s Three Major Economic Circles

Close interaction among cities is the defining feature of these economic circles.

For example, after Zibo’s barbecue gained nationwide popularity, the rapid launch of the “Barbecue Express” connecting Jinan West Station to Zibo exemplifies the positive interaction among cities within the Provincial Capital Economic Circle, breaking down administrative barriers.

More importantly, this “uniting forces” development model will further enhance the efficiency of industrial relocation and reception.

Within these three economic circles, Shandong has also established four provincial-level new districts in the north, south, west, and east: Dezhou Tianqu New District, Linyi Yihe New District, Heze Luxi New District, and Yantai Huangbohai New District.

Strengthening internal connections while actively expanding outward—what does this mean for manufacturing enterprises seeking investment locations?

Take Dezhou Tianqu New Area, for example:

To the north, as Shandong’s “Northern Gateway,” Dezhou is the only city in the province included in the Beijing-Tianjin-Hebei coordinated development plan, maintaining close integration with the region’s industrial and supply chains.

To the south, as a key member of Shandong’s “Provincial Capital Metropolitan Area,” Dezhou actively aligns with Jinan’s planning and policies, making it the top choice for enterprises in Jinan and surrounding regions seeking investment locations.

To the east, the opening of Binzhou Port in 2015 has established the nearest maritime access route, making the import and export of raw materials and products extremely convenient.

Viewed in this light, isn’t Dezhou—situated at the junction of North China and East China—truly a “central city”?

Dezhou Tianqu New Area is a provincial-level new area being planned and developed within this city that connects all directions.

Since 2023, major projects such as Rizhirong Food’s eco-friendly products, Zehua’s high-end chemical equipment, and Tongde Technology’s North China R&D Center have successively settled in Dezhou Tianqu New District.

In terms of their origins, Rizhirong is from Qingdao, Zhehua from Beijing, and Tongde Technology from Hangzhou. The fact that these specialized, refined, distinctive, and innovative enterprises have come to Dezhou from all over the country to invest serves as a testament to Tianqu New District’s strong appeal.

At the same time, we have also observed that these cutting-edge enterprises place a strong emphasis on high-quality industrial facilities.

Since most of the existing industrial facilities in Dezhou still rely on materials and designs popular over a decade ago, these companies seeking high-quality facilities have had no choice but to acquire land and build their own facilities—a process that often delays their ability to seize valuable market opportunities.

However, right in the heart of Dezhou’s Tianqu New District, there is a high-quality industrial park—the Guichuan High-Tech (Dezhou) Industrial Park—which has already been fully delivered.

△ Guchuan High-Tech (Dezhou) Industrial Park

Project Address: Approximately 150 meters west of the intersection of Tianqu East Road and East Outer Ring Road, Dezhou City, Shandong Province

Investment Hotline:
Manager Zhang 13181725059
Manager Lu 17515141788

Manager Ma 17686212791

Standard factory buildings feature Butler Steel structures from the U.S., BlueScope Hengli panels, and Owens Corning insulation. Designed for large spans, wide column spacing, and high load-bearing capacity, they include provisions for 10-ton overhead crane brackets.

△ Guichuan High-Tech (Dezhou) Industrial Park

It is worth noting that occupying high-quality factory buildings not only ensures safer and more efficient production and operations but also aligns a company’s image with its capabilities, thereby winning the favor of buyers.

Returning to the main topic, the development of economic zones is Shandong’s second strategic move.

Beyond transportation and industry, cities within the economic zone will pursue complementary development in sectors such as healthcare and education; however, planning proceeds in phases, which is a factor enterprises must consider when selecting a location.

The first strategic move: the transformation of old and new growth drivers.

In 2018, the state officially approved the "Overall Plan for the Construction of the Shandong Comprehensive Pilot Zone for the Transformation of New and Old Growth Drivers," consenting to the establishment of the Shandong Comprehensive Pilot Zone for the Transformation of New and Old Growth Drivers.

Some enterprises have achieved the transformation of old and new growth drivers by cultivating sectors such as high-end equipment manufacturing, new materials, and modern urban services.

Other enterprises have phased out industries and equipment with outdated processes and high energy consumption, focusing instead on new chemical materials. They have successfully transitioned from new coal chemical industries and basic chemical raw materials to the new energy and new materials sectors, simultaneously transforming from traditional cost-competitive enterprises to value-creating enterprises.

Some enterprises have, through a shift toward lightweight manufacturing, moved away from low-profit raw material sales and low-value-added primary processing, achieving an overall upgrade from scale-driven operations to value-driven profitability.

Since 2018, Shandong has addressed over 110,000 “scattered, disorderly, and polluting” enterprises, reducing the number of chemical industrial parks from 199 to 84. Industrial transformation and upgrading will inevitably involve growing pains, but this is a necessary process for achieving high-quality development in the long term.

These three strategic moves: the first lays the foundation for high-quality development; the second drives the coordinated development of the regional economy; and the third directly raises the ceiling for Shandong’s development.

What are your thoughts on these three strategic moves? We welcome your comments and discussion.