Policies and funding foster long-term growth of companies and talent

Enterprises in the Weifang Hi-Tech Industrial Development Zone in East China's Shandong province have reported fruitful innovation results in recent years. The zone vows to introduce more effective policies covering finance, talent and innovation to strengthen its long-term high-quality development.

"Innovation is one of the key features of the zone," said Zhao Wenjun, director of the zone's administrative committee.

Zhao said the zone will pay greater attention to fostering high-tech enterprises, gazelle companies, hidden champions and companies looking to go public. Gazelle companies refer to start-ups founded in the 2000s that are worth over $500 million, are not yet listed on a public exchange and are most likely to go "unicorn" or hit a valuation of $1 billion within three years. Hidden champions refer to small-sized leaders in highly specialized global markets.

Policies will also be developed to help companies attract more talent and obtain more funding support. More innovation support platforms will also be built to help companies maintain their leading market position.

The zone ranked 22nd among all national-level development zones in terms of comprehensive development strength in 2021, according to a ranking published by the Torch Center of the Ministry of Science and Technology.

The zone's efforts in promoting innovation have paid off. Enterprises in the region reported fruitful results in developing high-end equipment and technologies.

During the Beijing 2022 Winter Olympics, snow wax trucks with the largest floor area in the world, which were independently developed by Chinese companies from design to production, attracted significant attention. The main part of the power system of the truck was developed by companies in the zone.

Weifang Litro Electrical Technology's electronic multipoint gasoline injection system for marine gas-fueled engines is serving many national strategies, according to the company.

Wang Lifeng, chairman of Litro, said the company's independently developed injection systems have passed deterioration tests carried out by the China Classification Society. In the first quarter of this year, Litro achieved a 30 percent year-on-year revenue increase despite uncertainties in the market. Its products are supplied to leading enterprises including Weichai, Sinotruk, Cummins, Dongfeng Motor, Faw Group and Zichai Power. Litro was recognized as the first unicorn company in Weifang, according to local officials.

In recent years, the zone has continued to streamline administration and develop more supportive measures so that enterprises and scientists can focus on development. In 2021, the zone approved 36 gazelle companies, an increase of 36 percent year-on-year. The average sales revenue of the gazelle companies is 370 million yuan ($53.18 million). By the end of 2021, the zone had 90 gazelle companies, up from only three in 2017.

Each key player in the zone, recognized by the local government, was assigned a special service team led by government officials to receive on-time support. The zone also developed an innovation system to combine enterprises, key labs, research institutes, universities and innovation service centers under one roof to support industrial upgrading.

Talent is regarded as the most valuable asset for the zone's big-picture success. Local authorities have strived to attract, serve and retain talent in recent years.

A startup support fund with a scale of 19 billion yuan was created to provide financial support to talent. The zone also developed a new supportive model which could set up projects and plants based on the demand of talent.

Over the last few years, an array of research and development platforms such as the National Fuel Cell Technology Innovation Center led by Weichai Power, Beige Institute developed by Beihang University and Goertek, and Tianrui Maglev Industrial Technology Research Institute were established. They have since become main forces in attracting global experts and talent.

The zone strengthens partnerships with leading human resource service providers to attract more talent to the zone and serve demand in frontier sectors such as power equipment, the new generation of information technology, aviation and aerospace technology, hydrogen power, magnetic technology and energy storage. It has also hosted open houses for companies to attract more university graduates and young skilled personnel.