Linyi City

An Overview of Linyi

Linyi is located southeast of Shandong Province, bordered by Jiangsu Province to the south, and the Yellow Sea to the east. It has 9 counties, 3 districts and 3 economic development zones with a total population of 10,810,000 and a total area of 17,200 square kilometers. Both its population and area rank the first in Shandong Province.  

Recently, Linyi has won many honorary titles such as “National Civilized City”, “A National Double-Support Exemplary City”, “China Tourist City”, “National Garden City”, “National Exemplary City for Environmental Protection”, “National Sanitation City” and “National Forest City”. It is also named as “China Calligraphy City”, “China Geothermal City”, “China Market Town” and “China Capital City of Logistics”. What’s more, it was awarded one of the “60 model cities in urban development of China” by National Bureau of Statistics on the 60th Anniversary of the People’s Republic of China in 2009 and ranked second among 294 cities in urban people’s happiness index released by a survey conducted by Chinese Academy of Science in 2011.

Cultural City  

Tracing back to 2500 years ago, Linyi City was first built during the Spring and Autumn Period, named Qiyang at that time. In Qin Dynasty, it came into the domain of Langya County. The Emperor of Han Dynasty made it Linyi County for the first time. Qing Dynasty witnessed the foundation of Yizhou Prefecture. Endowed with a long history and rich culture, Linyi has bred many outstanding cultural celebrities at all times.

Revolutionary Base  

Several revolutionary bases were established here by the Chinese Communist Party during the Anti-Japanese War. In August, 1940, Linyi witnessed the foundation of the first provincial government led by the CCP. Over 200,000 Yimeng people joined the army, more than half of whom had sacrificed their precious lives in the war.

Resourceful City  

Subsidiary agricultural products in Linyi are known for their wide varieties, high yield, and good quality. Specialty products like peanut, tobacco, silkworm, wicker, ginkgo, honeysuckle, Chinese chestnut, and tea are grown in eight major agricultural bases. Vegetable and fruit industries are also predominant. Linyi is also abundant in mineral resources. A total of 78 kinds of minerals with huge proven reserves have so far been discovered.

Tourist Resort  

There are many famous tourist attractions in Linyi, among which Mengshan Mountain is hailed as “a natural oxygen bar” or “Mount of Longevity”. The 3800-meter-long Ju’nan Heavenly Buddha is considered one of the world wonders. The 6100-meter-long Yishui Natural Underground Gallery is accredited as the best place for underground drift in China. The Yihe River Rubber Dam in Budong has been listed in the Guinness World Record. Besides, other tourist spots also enjoy high prestige both in Shandong and around the country, such as Yinqueshan Museum of Bamboo Slips of Han Dynasty, Former Residence of Wang Xizhi, Former Site of Shandong Provincial Government/Manor of Zhuang Family, Memorial Museum for the Menglianggu Campaign, Tianyu Natural Museum in Pingyi County etc.

Market Town  

There are 101 various wholesale markets covering diversified goods of more than 60,000 kinds and 27 categories including petty commodities, hardwares, building materials, plates etc. Nearly everything from production materials to living necessities can be found here. It has become a trade center for people from more than 30 provinces, municipalities and autonomous regions. The commodities are sold to more than 20 countries and regions, with a total annual turnover of RMB 150 billion yuan in 2013.

Water City  

Yihe River and Shuhe River flow through the Linyi city, covering 77% of the total area. Yihe River provides water sources of the best quality among the Huaihe River region. Yihe River Scenic Area has been one of the first 18 water conservancy scenic areas in China. The 7 rubber dams and 8 regulating sluices built in the city help to form a body of water as large as 48 square kilometers and to store water of 162 million m3.

Traffic Hub  

Yanzhou-Shijiu railway and Jiaozhou-Xinyi railway run through Linyi. Four expressways crisscross here and they are the expressways of Beijing-Shanghai, Rizhao-Heze, Qingdao-Lanzhou and Changchun-Shenzhen. The total expressway mileage and highway mileage amount to 330 kilometers and 20,000 kilometers respectively, ranking among the highest in Shandong Province. The city is about 120 kilometers away from the ports of Lanshan, Rizhao and Lianyungang, and about 150 kilometers from the port of Qingdao. Currently, Linyi Airport, second-class in China, has open up 16 airlines.

Internationalization Strategies

In recent years, the pace of internationalization in Linyi has speeded up. The General Administration of Customs has approved the export customs clearance for Linyi small commodities as tourist shopping goods. The General Bureau of Quality Supervision and Inspection, financial and taxation departments, provincial and municipal governments have issued preferential policies. Among 101 wholesale markets, about 75 markets have developed international trade business. 

Foreign trade supporting facilities in Linyi have been gradually improving. Linyi Port (inland port), with annually designated operation quantity of 500,000 TEU, is officially operating. With a complete set of the customs, and thorough inspection and quarantine, Linyi Port has formed a direct customs clearance mode, namely, going through the customs with one-time customs declaration and one-time inspection and realized one-stop services. Linyi Comprehensive Bonded Zone is also under smooth construction. After Linyi International Trade Service Hall has been put into operation, the examination and approval departments concerning foreign affairs have been centralized, which is quite convenient and efficiency-saving. Construction of many living facilities, such as foreign health care, education and catering facilities have created a favorable environment for trade, living and relaxation for foreign business people and friends.

Investment Policies

Provincial-Level Pilot Reform Project of International Trade in Linyi

During the 139th executive meeting of Shandong Provincial People’s government, The Overall Plan for Pilot Reform Project of International Trade in Linyi Trading Complex is approved to actively carry out pilot reform of international trade in Linyi Trading Complex, set up provincial policy support system and support the development of international trade in Linyi Trading Complex.   

Business attraction has been the lifeblood of the city government who take great pains to facilitate. Through further optimizing the investment environment, perfecting the incentive policies, the local government strives to expand the channels of investment attraction, such as raising business through business, authorized investment, intermediary investment etc. To promote investment, Linyi is making great efforts to develop itself into a promising land for businessmen to invest by creating a favorable environment of friendliness and security and enriching the business people. Favorable environment in Linyi has been the strongest soft power and the most glorious city card.

Convenient Customs Clearance Policy of Linyi Trading Complex

The Reply of the General Administration of Customs on Customs Clearance Method of Export Products from Linyi Trading Complex (Shu Jian Han [2012] No.503) clearly indicates that before the “market purchasing” mode of trade is formally confirmed, customs declaration in Linyi Trading Complex is allowed to be done in way of “tourism purchasing products (0319)” according to the Operation Supervision of Import and Export in Yiwu Small Commodities City (Trial) (Shu Jian Fa [2007] No.279). The policies of tax refund and foreign exchange settlement are not adopt to those small batch orders or tourism goods worth less than 50000 US dollars which are purchased by foreign buyers with carry-on foreign exchanges or consigned outside China by entrusted domestic enterprises. Catalogue simplification applies to purchases with more than 10 kinds of goods in one shipment.

Convenient Inspection and Quarantine Policy of Linyi Trading Complex

The document of General Administration of Quality Supervision, Inspection and Quarantine of People’s Republic of China (AQSIQ) on supporting the development of international trade in Linyi ( Guo Zhi Jian Tong [2012] No.824) provides 21 supportive policies in 7 aspects, such as supporting Linyi Trading Complex to try out inspection and supervision system for export products from the market, establishing inspection and supervision responsibility system, setting up quality & safety traceability system, improving the supervision of business entities of export products, exploring the establishment of fast-track customs clearance mechanism, promoting the establishment and improvement of inspecting and technical service system and providing help for local government to establish and improve the quality and safety responsibility system.

International Trade Service Policies of Linyi Trading Complex

According to the government files on improving the service system of Linyi Trading Complex for international trade, we will adopt the following policies:  

1. Strengthen fiscal support. A special fund of 10 million yuan will be allocated to support the markets, business dealers and foreign trade enterprises to do international trade; Goods cleared from Linyi Customs in the model of “tourism goods” will be subsidized 500 yuan/TEU; Expenses to explore the international market such as international exhibition booth fee, exported goods certificate, overseas trademark registration, and advertisement in foreign media will be given full subsidy; 50% subsidy will be given for Export Credit Insurance.  

2. Strengthen tax support. Value-added tax, urban construction tax, and education surcharges will be exempted for the goods cleared and exported in the model of “tourism goods”. For small enterprises with a taxable income of less than 60,000 (including 60,000), 50% of the income is considered taxable, and they will enjoy a corporate income tax rate of 20% till the end of 2015. The taxation bureau will collect tax for foreign trade enterprises according to the accout book.  

3.Set up trust account for export tax refund. The city finance will arrange 200 million yuan as special guarantee fund for export tax refund and deposit to Commercial Bank, which will provide special tax refund loans with lower-than-benchmark lending rate to enterprises. The enterprise opens a trust account for export tax refund in designed bank, and applies for special export tax refund loans with all the necessary papers after customs clearance. The export enterprise declares tax refund as usual and the state taxation bureau will refund the export tax to its trust fund so that it can repay the loans from the bank. This will be applied to all the foreign trades enterprises in the city.  

4. Better foreign-related services. We will further improve our services in Linyi Port, and set up international trade service center as well as purchaser service center and build international trade service platform of Linyi Trade Complex. We will construct container yard, and cooperate with export enterprises, ports and shipping companies to increase the utilization rates of container truck. We will also coordinate with port cities such as Qingdao and Rizhao to open green channels for exported goods, lower the fees or trucks with import and exported goods, and exempt container trucks with customs seals from inspection.

City Scenery

Linyi City

Night View of Linyi City

Linyi City

Ju'nan(a county of Linyi) Heavenly Buddha

Linyi City

East China Memorial Park for Revolutionary Martyrs

Linyi City

City Tree of Linyi-Ginkgo

Linyi City

City Flower of Linyi-Chaenomeles Speciosa

Linyi City

Bashan Reservoir

Linyi City

A Bird's Eye View of Linyi

Linyi City

Tian Lake

Linyi City

Binhe River

Linyi City

Meng Mountain

Linyi City

Zhuge Liang

Linyi City

Ecological Water City

Approved by: Department of Commerce of Shandong Province Tel: +86-531-89013333

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