9.2.5

Case Study: SEZs in China

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China's Production of Digital Goods

China created Special Enterprise Zones to encourage economic development.

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SEZ locations

  • In 1980, China created Special Enterprise Zones (SEZs).
    • E.g. Shenzhen (Guangdong Province)
  • Special Enterprise Zones covered every state capital and every city on China’s coast by 1992.
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What do SEZs do?

  • SEZs offered incentives for international companies to locate there.
  • Incentives were things like good tax rates, fewer regulations and special systems to improve management.
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Impact of SEZs

  • By 1999, 40% of China’s exports were high-tech goods. This amounted to $12.9 billion and China benefited from this foreign capital (money).
  • Because there is so much industry activity, Chinese cities have problems with water and air pollution.
    • Smog conditions in Beijing have started to affect the tourism levels.
    • Air pollution PM2.5 levels are well above the safety level set by the UN.

Jump to other topics

1Paper 1 - Changing River Environnments

2Paper 1 - Changing Coastal Environments

3Paper 1 - Changing Ecosystems

4Paper 1 - Tectonic Hazards

5Paper 1 - Climate Change

6Paper 2 - Changing Populations

7Paper 2 - Changing Towns & Cities

8Paper 2 - Development

9Paper 2 - Changing Economies

10Paper 2 - Resource Provision

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