After SOEs, private sector makes a beeline for Xiongan

Zhang Peng, a native of Xiongxian county, is an investor in the county's ecological agriculture. He returned from Baoding where he finished his schooling and started his career. [Photo by Wang Weiqian/For China Daily]

A Xinhua report quoted an official with the preparatory committee of Xiongan as saying that high-tech businesses such as 5G communications, biomedicine, artificial intelligence and internet finance might be welcome.

The master plan for the new area development has not yet been finalized.

Companies such as Hebei Hengshan Construction Co Ltd, which is based in the provincial capital Shijiazhuang, about 200 km away from Xiongan, are watching the situation closely.

Xing Shitian, who works with Hengshan, believes no matter how the area will develop, new infrastructure such as buildings is essential. Hengshan may well set up a branch in the area, he said.

"I hope specific policies for the development of Xiongan will be announced as soon as possible. We are well prepared to go there and seek new construction orders," Xing said.

While the private sector and individual entrepreneurs are awaiting policy clarity, State-owned enterprises have received initial support from policymakers.

The State-owned Assets Supervision and Administration Commission of the State Council said on April 14 that central SOEs will be encouraged to locate their newly registered high-tech, new technology and high-end service businesses in the Xiongan New Area.

They "are encouraged to lend strong support to the construction of the zone in areas like energy security, infrastructure, electricity, telecommunications, rail transport, ecological protection, information-based networks and smart cities," it said in a statement.