20220831-普华永道-Chinese_Cities_of_Opportunity_2022_52页_2mb

Summary of the "Chinese Cities of Opportunity 2022" Report

Core Content

The "Chinese Cities of Opportunity 2022" report, jointly published by PwC China and the China Development Research Foundation (CDRF), provides a comprehensive analysis of 47 Chinese cities across 10 key dimensions. It aims to uncover development potential, promote high-quality urban growth, and support sustainable and inclusive development.

Main Points

• Urbanisation and Economic Growth: Urbanisation has been a key driver of China's economic development. The percentage of permanent urban residents increased from 55.75% in 2014 to 64.7% in 2021. Major cities and their metropolitan areas are leading the way in economic development and innovation.

• City Clusters and Development: Several key city clusters such as the Beijing-Tianjin-Hebei, Yangtze River Delta, and the Guangdong-Hong Kong-Macao Greater Bay Area are highlighted as central to urban development. These clusters are becoming more integrated and are driving regional economic growth.

• Report Focus: The report emphasizes future-oriented development opportunities, including smart cities, low carbon and green development, and sustainable urban planning. It also introduces new variables such as "enterprise expenditure on R&D" and "urban environmental protection" to reflect evolving urban priorities.

• Research Methodology: The report uses PwC's city assessment tools to evaluate cities across 10 dimensions, each with 5 variables, totaling 50 variables. Cities are ranked based on their performance in each dimension, with scores assigned to each variable and then summed for an overall ranking. The data is sourced from public and authoritative institutions, ensuring objectivity and applicability.

• Key Cities and Their Performance: The top four cities in 2022 are Beijing, Shanghai, Shenzhen, and Guangzhou, which continue to lead in development and innovation. Cities like Hangzhou, Nanjing, Chengdu, and Suzhou also perform strongly in multiple dimensions, showcasing their growing influence. Some cities, such as Ningbo, make their debut in the top ten, reflecting their strong development momentum.

Key Dimensions and Variables

1. Intellectual Capital

   • Variables: Enterprise expenditure on R&D, state key laboratories, expenditure on science and technology, educational level, scale of higher education.
   • Top cities: Beijing, Guangzhou, Wuhan, Changsha, Zhengzhou, Xi'an, Chengdu, Hefei, Chongqing.

2. Technology and Innovation

   • Variables: R&D investment, technological infrastructure, innovation ecosystem.
   • Top cities: Shenzhen, Hangzhou, Suzhou, Ningbo, Wuxi.

3. Major Regional Cities

   • Variables: Economic influence, integration with regional development, spillover effect.
   • Top cities: Chongqing, Suzhou, Wuhan, Chengdu, Guangzhou.

4. Urban Resilience

   • Variables: Environmental protection, climate adaptation, sustainable practices.
   • Top cities: Hong Kong, Chongqing, Zhengzhou, Wuhan, Xiamen.

5. Transportation and Urban Planning

   • Variables: Public transport efficiency, urban layout, smart city infrastructure.
   • Top cities: Xiamen, Nanjing, Chengdu, Ningbo, Dongguan.

6. Sustainable Development

   • Variables: Green development, environmental performance, low carbon initiatives.
   • Top cities: Wuhan, Hangzhou, Ningbo, Shenzhen, Xiamen.

7. Culture and Quality of Life

   • Variables: Cultural heritage, public services, livability index.
   • Top cities: Hangzhou, Shenzhen, Suzhou, Shanghai, Chengdu.

8. Economic Clout

   • Variables: GDP, industrial output, economic influence.
   • Top cities: Beijing, Shanghai, Shenzhen, Guangzhou, Hangzhou.

9. Cost

   • Variables: Living cost, business cost, investment cost.
   • Top cities: Shenzhen, Shanghai, Guangzhou, Hangzhou, Suzhou.

10. Ease of Doing Business

• Variables: Business environment, regulatory efficiency, market accessibility.
• Top cities: Shanghai, Shenzhen, Hangzhou, Guangzhou, Beijing.

Key Insights

• Leadership of Major Cities: Beijing, Shanghai, Shenzhen, and Guangzhou remain the top cities in terms of development and innovation, while other cities like Hangzhou, Nanjing, and Chengdu are gaining significant traction.

• Emerging Trends: The report highlights the increasing importance of smart cities, green development, and low carbon initiatives, especially in light of the pandemic and climate change. It also underscores the need for better urban planning and sustainable practices.

• Regional Development: Provincial capitals and regional central cities are playing a growing role in driving regional economic growth and development. The report shows that cities in the central and western regions are improving in terms of intellectual capital and education.

• Challenges and Opportunities: Despite progress, many cities still face challenges related to sustainability, institutional reform, and the impact of the pandemic. The report encourages further investment in R&D, environmental protection, and smart city infrastructure to unlock future growth potential.

Conclusion

The "Chinese Cities of Opportunity 2022" report offers a valuable insight into the development trajectory of Chinese cities. It serves as a reference for policymakers, investors, and urban planners, highlighting the need for continued focus on innovation, sustainability, and smart city development to ensure high-quality urban growth in the future.