To strengthen Shanghai’s status as a central node and strategic link in the new pattern of “dual circulation”
The holding of the China International Import Expo (CIIE) is a major step taken by China in the new era to promote a new round of opening up to a higher level. While the COVID-19 pandemic is continuing its spread across the world, China is accelerating the establishment of a “dual circulation” development pattern in which domestic economic cycle plays a leading role while international economic cycle remains its extension and supplement. The 3rd CIIE is being held in Shanghai. It is the diplomatic event held in Shanghai with the widest participation of countries and the largest scale of transactions in 2020. Shanghai needs to seize the valuable opportunity of the CIIE, focus on the overall requirement of “acquiring continued success in the years to come,” continue to amplify the spillover effects of the CIIE, and strengthen Shanghai’s function as a central node and strategic link in the new pattern of “dual circulation.”
To further play its role as an international procurement platform
The CIIE is China’s largest expo and the world’s largest international procurement platform. Shanghai must make full use of the CIIE platform to team up with the Yangtze River Delta region, so as to build a network system of “buying from the world, selling to the world, and benefiting the world,” create a distribution center for imported goods that serves the world and radiates the Asia-Pacific region, and further strengthen Shanghai’s status as an open hub portal.
First, to further develop as a distribution center for imported goods. As China’s largest importer of diamonds, clothing, medical equipment, automobiles and other commodities, Shanghai must make good use of the CIIE professional exhibitions to accelerate the formation of new advantages in the agglomeration of import goods; rely on the CIIE to build a global trade collaboration platform to promote the transformation of the CIIE into a platform for importing global goods in the Asia-Pacific region and the “Belt and Road” regions, and to enhance Shanghai’s status as a global trade hub; and rely on the joint development of the CIIE and exhibitions held at other times, to enlarge the cluster competitive advantages of international exhibitions and enhance Shanghai’s influence as a global exhibition capital.
Second, to strengthen its radiation as an import platform. The CIIE needs to expand online channels, optimize online exhibitions with online interactions such as live commerce, and improve supporting services such as online order placement, payment, and digital warehousing at the same time; optimize and strengthen the existing professional trade platform, direct sales center for imported goods and comprehensive trade platform, and enhance the radiation level of the platform; and optimize comprehensive import services at ports, create a “one-stop” import trade service platform, and build a perennial bonded exhibition and trading venue that integrates bonded goods display, commodity trading, logistics and warehousing, and customs clearance services, to fully undertake the spillover of the CIIE.
Third, to strengthen the allocation of imported resources. Shanghai must seize the opportunity when the world’s top 500 and leading companies gather during the CIIE, to actively engage with companies to attract them to establish a platform in Shanghai for R&D and settlement, so as to enhance Shanghai’s status as a global trade center and a global financial center; further expand the opening up of the modern service industry in the Hongqiao area, focusing on areas such as commerce, logistics and information services, and exploring new patterns such as cross-border data flow, movement of natural persons, and cross-border delivery; and strengthen the protection of intellectual property rights, clarify dispute handling procedures and punishment measures, so as to promote Shanghai to become the city with the best import service in China.
To further play its role as a platform for investment promotion
The CIIE is rich in resources for investment promotion. Outstanding entrepreneurs such as Bill Gates have attended the Hongqiao International Economic and Trade Forum. During the period, several investment and trade fairs have been held, and many investment inspection routes and investment promotion activities have been carefully prepared, receiving economic and trade delegations from many regions and countries. The CIIE has become an important platform for Shanghai to expand its “friend circle” in the economic and trade field. Shanghai needs to seize the opportunity when entrepreneurs gather, to further promote investment through trade, and accurately supplement, reinforce, and strengthen the industrial chain to create a new investment highland.
First, to strengthen investment attraction for high-level entities. Shanghai must target the Fortune 500 companies, invisible champion companies, unicorn companies, etc. participating in the CIIE to accurately attract investment, and persuade them to establish branches and sales centers in Shanghai to form an industrial agglomeration effect; strengthen investment cooperation with high-tech exhibitors, introduce overseas innovation resources, and enhance international innovation capabilities; and for key links of the industrial chain, accurately synergize with the CIIE to introduce key business entities through mergers and acquisitions and other methods to enhance the capacity to resist risks of the industrial chain.
Second, to deepen cooperation with international innovative companies. Shanghai must make full use of the CIIE platform to strengthen cooperation with international innovative platforms, attract internationally renowned incubators, innovation teams, etc. to settle in Shanghai, to enhance its innovation research capabilities; further optimize the customs clearance process for reagents for R&D, encourage foreign companies to set up global R&D centers, regional R&D centers, etc. in Shanghai, attract foreign capital R&D platforms, and share R&D resources; continuously improve the professional technical service capabilities for the transformation of scientific and technological achievements, encourage Shanghai R&D institutions to “go global” and strengthen the science and technology innovation ecosystem of Shanghai by establishing joint laboratories with overseas technological powers.
Third, to accelerate the introduction of international high-end brands. With its advantages in brand introduction in terms of operating channels, Shanghai need to encourage local companies to cooperate with participating brand companies to obtain management buyouts and general agency rights for international high-end brands, so that Shanghai has a greater say in international brand building; and encourage high-end brands with international influence to launch new products at the CIIE, and set up “new product launch sites” on Nanjing Road Pedestrian Street and in other places to create the preferred and gathering place for high-end brands.
To further play its role as a platform for humanities exchange
The CIIE is like a living room for the diverse cultures of different countries to converge, collide and blend in Shanghai, a city full of modern charm. With the new development concept as the main line, the China Pavilion showcases the great achievements of reform and opening up. The national pavilions of the guests of honor showcase their own culture, tourism and other content. As an ambassador of world culture’s dissemination, Shanghai builds a platform for the promotion of friendly exchanges between people of all countries, promotes the harmonious coexistence of the diverse cultures across the world through the globalization of Chinese culture, and empowers the construction of Shanghai as a cultural metropolis.
First, to expand the supply of products for brand culture. Rich in valuable resources of Jiangnan culture, red culture, and Shanghai style culture, Shanghai will encourage participating international brands to develop customized brands with “Chinese elements” and “Shanghai elements”; support innovative local brands, time-honored brands and national brands with deep cultural heritage to participate in the exhibition, and coordinate development with foreign brands to continuously meet the diverse consumer demands of the people for culture.
Second, to expand the joint value of cultural resources. With the National Exhibition and Convention Center as the core, an integrated scenic spot will be created with comprehensive functions such as tourism and sightseeing, food experience, and cultural interpretation. Shanghai will integrate its tourism resources and cultural resources such as museums and theaters to create a diversified combination of business travel routes to meet the needs of the CIIE business travelers; and team up with Zhejiang Province, Jiangsu Province, and Anhui Province to establish a special tourism alliance in the Yangtze River Delta region to jointly develop special tourism routes and fully amplify the spillover effects of the CIIE.
Third, to expand the scope of cooperation in cultural creativity. Shanghai needs to collaborate with the surrounding cultural and creative industries, take co-construction and sharing as a mechanism, and the CIIE as an opportunity, to create a cultural and creative industry belt in the Yangtze River Delta region; with the support of the CIIE, strengthen international cooperation in cultural and creative industries, strive to co-host the creative industry expo featuring countries in the Global South with the United Nations Office for South-South Cooperation, and attract the United Nations Creative Industry and Intellectual Property Center to settle in Shanghai; and promote the integration of culture and modern technology, to realize functional integration, and create a “new landmark of cultural tourism.”
To further play its role as an open cooperation platform
The CIIE brings together the cutting-edge products, technologies and services of the global industry and is the best interface for Shanghai to get into the international innovation network. Shanghai needs to seize the opportunity, rely on China (Shanghai) Pilot Free Trade Zone to carry out system innovation, give full play to the CIIE’s role in promoting industrial upgrading and transformation, regional cooperation and development, and upgrading of foreign trade, to expand the scope and depth of Shanghai’s opening up, and strive to create a new benchmark for high-level openness.
First, to focus on promoting industrial innovation, upgrading and transformation. Shanghai will encourage companies to participate in the CIIE through multiple channels online and offline, to know the latest trends in global industry frontiers and technological development, to learn from and introduce international advanced technologies, standards and managerial experience, improve production efficiency and quality, and catch up and outperform in terms of products, technology and brands; strengthen cooperation with international innovative companies, focus on cultivating future cutting-edge technologies such as big data and artificial intelligence, enhance the layout of new generations of information technology, intelligent manufacturing equipment and other strategic emerging industries, transform traditional advantageous industries focusing on the development requirements of industrial digitization and digital industrialization, and vigorously develop modern service industries such as trade finance, professional intermediary, and legal arbitration at the same time, to continuously improve the economic level of the entities of open cooperation.
Second, to focus on promoting the joint development of the Yangtze River Delta region. Centering on the holding of the CIIE, Shanghai needs to accelerate the innovation of systems and mechanisms in the Yangtze River Delta region, serve participation and provide supporting services together with the provinces and cites in the region, and encourage willing overseas exhibitors to have extension activities in other provinces and cities after the CIIE to further expand cooperation; jointly plan trade cooperation and investment promotion activities, and build the CIIE into an important window for the opening up of the Yangtze River Delta region; promote various display and trading platforms to become an important channel for the Yangtze River Delta region to join the international market; and coordinately promote trade facilitation, strengthen cooperation in the construction of a single window to create a world-class business environment for the CIIE.
Third, to focus on upgrading the level of foreign trade. With the support of the CIIE, Shanghai will implement the strategy of promoting exports through imports, and accelerate the cultivation of leading enterprises in foreign trade and high-growth enterprises in foreign trade; develop in depth the market segments in developed countries in Europe and America, and vigorously expand emerging markets in countries along the “Belt and Road”; support enterprises to build overseas warehouses in the Lingang New Area and expand international marketing service network; connect key links in the development of cross-border e-commerce, and focus on cultivating and developing new trade patterns such as re-export (offshore) trade and digital trade, to build Shanghai into an international trade center with reinforced status.
Authors : Zhang Pengfei,Tang Yunyi
Author’s unit: Shanghai Academy of Social Sciences