Chapter 9 and Lecture 8 (The Opening Process)

In Chapter 9 and Lecture 8 we learned about China's opening process, including the increase of foreign direct investment in China. I subsequently researched information regarding Xian's development in response to this opening process, and according to multiple sources, Xian has recently become a magnet for foreign investment. According to an article published by China Watch, a supplement to the Washington Post, on October 25, 2012, and written by Li Fusheng, Xian's stance as a rising economic center in China has recently improved substantially in the eyes of foreign high-tech firms. In September 2012, South Korea's famous electronics firm, Samsung, launched a $7 billion investment in Xian as it decided to open a microchip plant in the Xian's High-Tech Industries Development Zone, which is 307 squ. km. and is home to more than 16,800 enterprises. According to Fusheng, the construction on the Samsung facility is already underway and it is planned to be fully operational by the end of 2013.

Xian's High-Tech Industries Development Zone:


Construction of the Samsung facility in Xian:


Samsung's investment is not only significant for Xian, but for China as a whole as well, as Fusheng stated, "the $7-billion plant is the largest single foreign investment China has ever received in the information and electronics industry." This incredible development has caused the international high-tech community to look to Xian as a prospective destination for foreign investment. Zhao Hongzhuan, head of the administrative committee of the Xi'an High-Tech Industries Development Zone, described in the article how a major United States chemical engineering company once refused to invest in Xian, but following Samsung's investment has committed to launch a $200 million project in the city.

Other foreign high-tech companies have followed Samsung's lead and have recently invested in Xian, including the U.S.-based Moses Industries and Applied Materials firms. The city is already home to over 2,600 electronics enterprises, including operations managed by Intel, and city planners are hopeful that the Samsung facility will assist in " paving the way for Xi'an to realize its dream of becoming another major semiconductor industrial base, following the footsteps of those in the Yangtze River Delta, the Pearl River Delta and the Bohai Economic Rim." The Samsung facility promises to provide at least 10,000 employment positions as well as internship opportunities for students at local universities, which will help provide them with hands-on technical experience.

Ultimately, the article cites several reasons for Xian's development as a magnet for foreign investment, including its low costs, geographic location, strong government support, and "rich talent pool" from its nearly 100 universities and colleges. I am happy to see that Xian is experiencing such an boom in foreign investment, since this will undoubtedly improve its citizens' quality of life due to an increase in employment opportunities and improvements in modernizing technologies. As Lou Qinjian, deputy governor of Shaanxi province, stated regarding this increase in foreign investment in Xian, "As more foreigners are coming to Xi'an, the government will try its best to make their lives here easier and enjoyable as well as to provide good schools for their children...This will help bring momentum to the city, which has set a goal of becoming an international metropolis by 2020." If current trends continue, I have no doubts that Xian will have little difficulty in meeting this goal.

(Source: http://chinawatch.washingtonpost.com/2012/10/top-tech-firms-follow-samsung-to-xian.php)

Chapter 8 (Agriculture)

In Chapter 8 we learned about China's agriculture, so I subsequently researched information regarding Xian's agricultural system, and I came across an interesting article by China Daily, titled "Agritainment boosts Xi'an's farmers' income" by Xu Xiao. This article published in 2012 discusses the recent trend of "agritainment", or agricultural tourism, that has become popular in Xian. According to the article, "Agritainment refers to any farm-based tourism operation that provides agriculture-themed entertainment, such as real farming experiences and homemade meals made from food grown on the farm." The article states that more than 5,000 agritainment "restaurants" currently exist in Xian. These agritainment businesses attract tourism from foreigners as well, such as from the United States. Below is a picture of foreign tourists visiting an agritainment farm in Xian:

This trend has contributed to rising incomes for Xian's farmers. The article states, "In 2011, urban residents' income per capita was 25,981 yuan and farmers' income per capita was 9,788 yuan, both of which were more than double 2006 levels. Growth rates were the biggest among 15 sub-provincial capital cities." Also, according to Kang Lifend, deputy direction of the Xian tourism administration, "A farmer who runs so-called 'agritainment' restaurants in the mountainous area of Xi'an can earn 200,000 yuan ($31,408) a year, more than the average annual income of urban residents." This is remarkable! It seems amazing to think that a farmer can earn more than an urban resident, since agricultural work has historically been subject to low incomes in China.

The article also notes that Xian was selected as one of the happiest cities in China in 2009. According to Xian's mayor, Dong Jun (pictured below), this is due to the municipal government's high investments toward increasing the city's living standards. Dong promised, "We will do more practical things for people to make their lives better. We will help each citizen lead a more dignified and happier life."

It seems that Xian is on the way toward becoming one of the top cities in China, and it is likely that its growing agritainment business will help promote the city's living standards as well as its popularity and prestige.

(Source: http://www.chinadaily.com.cn/cndy/2012-09/10/content_15746065.htm). 

Chapter 7 and Lecture 7 (Economy and Reforms)

In Chapter 7 and Lecture 7 we learned about China's economy, including an overview of its economic history, and its economic reforms. I have subsequently researched more information regarding Xian's economy and its development in response to these economic reforms. Xian is particularly interesting to study since it is located within the interior west of China, which has traditionally been less economically affluent and less technologically advanced as the eastern coastal regions. However, according to many sources, Xian is becoming an economic leader within China. According to an article published by the China Research Center on April 17, 2010, and written by Susan Walcott and Chen Ying, Xian's rise to "regional prominence" initially began following the communists' victory in 1949 and their subsequent relocation of several coastal technical research universities and strategic industries to the interior, such as to the city of Xian, in response to their "Third Line" defensive strategy. These universities and industries helped create new urban centers of economic strength within the interior of China, and helped transform and modernize the formerly rural Xian.

Around the turn of the twenty-first century, Xian began to establish itself as a key provider of producer services in China, which is a position that it continues to maintain and strengthen. According Walcott and Ying, "The three main components of modern Xi’an’s producer services sector are financial services (banking, insurance and securities), information consulting (advertising, law and accounting), and computer services (software, data processing and database services)." Also, the article points out that Xian's tertiary sector, or service-based sector, is also increasing, as employment increased substantially from 1997 to 2006 in Xian's financial services, information consulting, and computer consulting.

The primary impetus behind Xian's economic growth and modernization was "State intervention", generally in the form of government investment in the establishment of research universities in Xian and in the form of state-level urban and financial planners who helped initiate construction projects to raise employment and to build shopping malls and other amenities to boost the tourism business. This policy of central investment in interior cities was used throughout much of western China, and as Walcott and Ying noted, it "seems to have been successful in Xi'an." Ultimately, the authors of the article praised Xian as a "reinvigorated oasis of affluence in the dry lands of west China" and I can't help but agree. Xian has risen to become a shining example of economic transformation and modernization within China, as these pictures of the modern city of Xian seem to indicate:

Erhuan Road in Xian:


The High-Tech park in Xian:



Yongningmen Metro Station in Xian:



(Source: http://www.chinacenter.net/developing-western-china-xians-maturing-economy-and-the-role-of-producer-services/)

Chapter 5 (Population and Human Resources)

     

In Chapter 5, we learned about population and human resources in China. I have subsequently researched population and demographic information regarding the Chinese city of Xian. I was particularly interested by some statistics that were published by StarMass.com (a market research company) regarding Xian's significant population growth over the last few years, which are stated below:

Total population of Xi’an (capital of Shanxi Province) has grown from 6.9 million in 2001 to 7.9 million in 2011, (with about five million people living within the urban area) representing a 14% increase over a period of 10 years. Majority of Xi’an residents are Han Chinese, which consists of 99.1% of the city's total population.

These statistics are accompanied by an illustrative graph, which allows us to better visualize Xian's significant population growth trends in the ten-year period from 2001 to 2011:


(Source: http://www.starmass.com/china-review/city-overview/xi-an.htm).

As the textbook describes, a rising population can create stress on a country's (or city's) ability to supply its people with adequate care, such as educational opportunities. However, according to the website of the General Office of Shaanxi Province, Xian has risen to the occasion, especially regarding education. The website states:

So far, there are 49 institutes of higher education, over 3,000 technical research institutes, and 661 independent research institutes in Xi'an, including 44 national key labs and industrial test centers. At present, there are 632,200 on-campus college students and over 417,700 technical professionals in Xi'an. Each year, more than 10,000 students of master and doctorate degrees graduate from local universities. Besides, there are 45 academicians of Chinese Academy of Sciences and Chinese Academy of Engineering, and many first-rate scientists in Xi'an. Currently, there are 820,000 people above the educational level of junior colleges, accounting for 10.92% of the total population in Xi'an, and ranking first in China. In terms of the percentage of adults (above 18 years old) who have received education, Xi'an also ranks first in China. 

(Source: http://english.shaanxi.gov.cn/articleAboutsx/aboutshaanx/mapshaanxi/201204/29418_1.html).

These statistics are astounding! I think it is surprising that Xian, a city in the interior west of China, ranks as Number 1 in terms of the percentage of educated adults who live there. I think most people would assume that the highly populated and modernized eastern cities, such as Beijing or Shanghai, would have achieved a higher educational ranking than Xian.

I am particularly encouraged by the fact that Xian has become a leader in the area of science education. As a student majoring in mathematics, I feel strongly that a focus on STEM (science, technology, engineering, mathematics) fields is important for a community since it can lead to advancements in the region's technology, infrastructure, and finance, and thus can contribute to improvements in the community's standard of living.

Here is a picture and logo of Northwestern Polytechnical University, which focuses on the study of engineering and is one of the leading academic institutes in Xian:

 
(Source: http://english.nwpu.edu.cn/index.htm).

Ultimately, as a student who believes in the value of education, I find it inspiring to think that Xian is one of the cities in China that is leading the way for increased educational opportunities, despite the pressures of its rising population.