Shaanxi lies in the heartland of China. It is a gateway to the vast northwest of China. Such a central geographical location creates the convenience of succeeding east to west and joining north with south.

Shaanxi covers an area of 205,600 square kilometers with a population of 37.05 million, including 10 cities, 107 counties as well as Yangling Agricultural High-tech Zone. Northern Shaanxi is Losses Plateau, the area and population is about 45% and 15% of the province respectively, abundant in energy resources and well developed in livestock husbandry. Central Shaanxi is Guanzhong Plain, the area and population is about 19% and 60% of the province respectively. It's an important base of industrial & agricultural production, scientific research and education. Southern Shaanxi is Qinba Mountains, the area and population is about 36% and 25% of the province respectively, abundant in hydropower, minerals and bio resources.

1. Shaanxi, a province with advantage in natural resources, high-tech and strong industrial base, has great potential for development.

Shaanxi is rich in natural resources. The potential value of mineral resources is more than 42 trillion RMB Yuan, ranking the first place in China. Among the 45 main minerals produced in China, Shaanxi has 23 of them whose reserves reach the top 10 of its kind. Proved reserves of coal is 164.3 billion tons. Proved reserves of oil 1 billion tons. Proved reserves of natural gas 480 billion cubic meters. Northern Shaanxi would be an important source of minerals of China in the 21st century.

Varied topography and climate made Shaanxi bio-diversity, especially Qinba mountainous area in southern Shaanxi, called 'Natural treasure house of plant resources', owns more than 3700 different wild seed plant species, almost 800 medicinal plant species , 80 rare animal species. Shaanxi plays important role in alleviating water and soil erosion along the Yellow River, alleviating the frequent sandstorms affecting Beijing, and guaranteeing the water quality for the North-South Water Diversion Project

Shaanxi is an important birthplace of the Chinese nation. It served as an ancient capital for 13 dynasties, more than 1100 years. Its traditional culture traces its history back to long long ago. Cultural resources are richly endowed by nature and historical legacies are uniquely excellent. In modern history, Shaanxi is a birthplace of China revolution, the Chinese Communist and Chiairman Mao commanded revolution in Northern Shaanxi for 13 years, and Yanan, sacred revolutionary base has abundant revolutionary sites. Splendid History and Culture make Shaanxi rich in tourism resources. The province has national level cultural relic of 89 (113 sites), ten percent of China, such as Qin Terro-cotta Army Museum, Forest of Stone Tablets in Xi'an, ancient city wall of Xi'an. Besides, beautiful Sceneries in Shaanxi is charming, such as Huashan Mountain, Hukou Waterfall, Qinling Ecological Conservation Park

Shaanxi is strong in science, technology and higher education. Shaanxi is not only the important science and production base of machinery, aerospace, aviation, electronics agriculture, but also the base of high level education of china. The province has technicians of 1.08 million, scientific research institutes of 1076, public universities and colleges of 52 and private colleges and institutions of 57. Central plain has formed High-tech development zone, including Xi'an High-tech Zone, Xi'an Econ. Dev. Zone, Yangling Agr. High-tech zone, and Baoji High-tech Zone.Shaanxi has complete industrial system. During 'First Five Years Plan' and 'Second Five Years Plan', central government arranged a series of key projects in Shaanxi, which set up the strong foundation of manufacturing and national defense industrial of Shaanxi. After several decades' construction, Shaanxi has formed complered industrial system, especially; national defense industrial is number on in china. Research and production of new electron element, communications equipment, computer soft etc has comparative advantages in China. Shaanxi is one of important production base of machine tool in China. Xi'an Yanliang national aviation high-tech industrial base has unique aviation industrial system in China, which integrate airplane research, manufacturing, flight-test and teaching.

2. The development of economy and society of Shaanxi has been improving rapidly, but compare to other developed provinces, the development level is low.

Since Reform and Opening, Great changes have taken placed in Shaanxi.

Firstly, economy has maintained sustained, speedy and healthy growth. GDP remained an annual growth rate of above 9% for 6 consecutive years and the gross economic volume was two places forward on the national list. In 2004, GDP registered 288.35 billion RMB Yuan, up 12.9%. Compared with that of the previous, quality and benefit of economic performance are constantly improved. Fiscal revenue increased by 27%.

Secondly, remarkable achievement has been made in the upgrading of infrastructure centered on road. Since 1998, the province has realized an accumulated fixed asset investment of 647.9 billion RMB Yuan. Highways built have broken through 1000 km. Ankang-Xi'an-Yan'an-Shenmu railway and Xi'an-Hefei railway are open to traffic. Xi'an Xianyang airport developed more than 70 flight courses to key cities both domestic and overseas, being an important aviation hinge in North-West of China. The power capability of Shaanxi can not only meet the self-demands, but can supply to other provinces. Shaanxi has formed an advanced communication network, covered with all cities and counties of province. Shaanxi is the commutation center of West China. City public services, such as sewage and garbage facilities are improved. More than 70% of cities in Shaanxi have used Natural Gas; the air quality is apparently improved.Thirdly, Efforts in ecological environment protection focused on returning farmland to forestry has won success. By the end of last year, accumulatively 25.62 million mu of farmland was returned to forestry. The forest cover rate increased to 31%. The weak ecological environment of Shaanxi is improved.

Fourthly, speeding up the economic restructuring, and six feature industries, High-tech, Fruit, Stockbreeding, Tourist, National defense industry and energy & chemical industry, rapidly developing. Central Shaanxi High-tech industrial development zone rapidly grow up, the gross revenue in 2004 reached to 100 trillion RMB, increase by 20%. The fruit planted to 10 million mu, including 6 million mu of apples. Amount of livestock on hand and milk output ranged fifth in China. The production value of national defense industry ranged number one in China. Many industrial projects in Northern Shaanxi Energy and Chemical Base come to construction.

Fifthly, new achievements have been achieved in the reform and opening affairs. The restructuring of state-owned enterprises is on further progress, which has resulted in the great development of the adjustment on ownership system. Currently the non-public economy represents 40% of the gross economic volume compared with 11.8% in 1997. Therefore, the found mental role of the market allocation of resources has been constantly upgraded, and the internal vitality of economic development has been enhanced. We are making further opening to both home and the outside world, thus the inflows of both domestic and international capitals are greatly increasing and an export-oriented economy is taking shape.

Despite of the sustained and fast economic and social development trend in the province, the overall development level is rather low, lagged far behind the country's average. In 2003 Shaanxi ranked 20th in China in terms of the total output value, and ranked 27th in terms of the GDP per capita, which is an equivalent of 69% of the country's average and an equivalent of 40% of the average level in east China. In 2004 the disposable income of the urban residents in the whole province is 7493 RMB, 1929 RMB lower than the country's average. While the net income of the local farmers is 1867 RMB, 1069 RMB lower than the country's average. Shaanxi is confident and capable to realize the fast development and catch up with the average level of the country.

3, to set up a science-based philosophy of development and adopt workable measures, targeting to build Shaanxi into an economically strong province in west China, and pushing the all-round, coordinated and sustained social and economic development of the province.

The first twenty years in this century are crucial to the province's development and give it an important opportunity. The provincial party committee and government has worked out a three-step plan to build the province into a well-off society in the first twenty years, and to quicken the paces of building the province into an economically strong power in west China. The three-step plan is to realize GDP of 300 billion RMB in 2006 with an average yearly growth of 10.5%, to realize GDP of 440 billion RMB in the year of 2010 with an average annual growth of 10%, and to realize GDP of 1 trillion RMB in the year of 2020 with an average growth of 9% per year and a per capita income of 3000 US dollars.

This year the social and economic development targets of the province will be adjusted as follows, a growth rate of 11% in GDP, a total fixed investment of 180 billion RMB with a growth of 17%.

To meet the three-step target, Shaanxi will make efforts for its social and economic development in all-around ways based on the "five overall plans". The province will carrying out vigorously "six strategies", namely strategy of project promotion, strategy of empowering the province by industrialization, strategy of invigorating Shaanxi by science, technology and education, strategy of human resources, strategy of urbanization, and strategy of sustainable development. The province will also quicken the construction of "four main bases". From the research and experience in the past years and according to the science-based philosophy of development and the law of imbalanced economic development, the province has decided to build a economic pattern by focusing on the construction of three regions and four bases. The four bases are North Shaanxi Power and Chemical Industrial Base, Central Shaanxi Hi-tech Industrial Base, South Shaanxi Modern Chinese Medicine Base and Weibei Green Fruit Base. Specifically, the province will make breakthrough in the development of the "one line and two belts" area, quickening the paces in the building of North Shaanxi Power and Chemical Industrial Base, Central Shaanxi Hi-tech Industrial Base, South Shaanxi Modern Chinese Medicine Base and Weibei Green Fruit Base, and pursuing the coordinated and common development of the three regions, and thus set up a fundamental base for the revitalization of the whole province. At present, the three regions and four bases are taking shapes in their interactive development with their own characteristics.

------- North Shaanxi Power and Chemical Industrial Base. The province will take full advantage of its rich coal, oil and natural gas resources in its north part. According to the idea of three transforms, which are "transforming coal into electricity, transforming coal and electricity into energy-consuming products, and transforming coal, oil, gas and salt into chemical products, there will form a capacity of 10 million tons of oil extraction, 10 million tons of oil refining, 6 million KW power installment, 10 billion cubic meters of natural gas, 150 million tons of crude oil, 3 million tons of oil-to-coal and 3 million tons of oil-to-methanol productions in this base. This will make the north Shaanxi into an important production base of coal, oil and gas in China, a coal and electricity base of west-east power transmission, and a coal chemical base with methanol as the dragonhead.

With the "three transforms" as a core, Shaanxi will give the priority to the development of four industries, which are coal, power and energy-consuming industry, industry of transforming coal into oil, coal and salt chemical industry, and gasification industry. To meet the requirements of resources development and transformation, the province will accelerate the steps in the construction of communication network in north Shaanxi, and afforest the environment, building the catering water supply systems, taking measures in saving, conserving and fully utilization of water resources. By doing this province aims at building the north Shaanxi Power and Chemical industry Base into an ecological and environment protection demonstration zone,

-------Guanzhong Hi-tech Industrial Belt and Modern Equipment Manufacturing base, or " one line and two belts" area. There are a large amount of traditional industrial enterprises, high-learning colleges and research institutes along the Longhai Railway line in central Shaanxi, which empowers the area with strong industrial base and technological force and makes the area as the economic center of the province. After restructuring a series of hi-tech engineering and traditional equipment manufacturing projects, the total output value of the hi-tech industry in this area will reach 200 billion RMB yuan, and the output of heavy equipment industry will break 100 billion RMB yuan.

Shaanxi will carry out the restructuring and upgrading of its industries, forming the industrial pattern dominated by hi-tech industry and supported by found mental and manufacturing industries. The province will give priorities to the hi-tech and modern equipment industries by focusing on the five industries of information, software development and export, biomedicine, aircraft manufacturing and new materials. Shaanxi will also support the four state-level development zones, enhancing the building of 17 sparkling areas and counties. 　

----------The Modern Traditional Chinese Medicine Base in South Shaanxi. There are various species of plants in the Qinba mountain areas in south Shaanxi, where has been approved as the Chinese herbs planting base of China. By taking the advantages of its rich medicine resources and ideal locations in Qinba area, the province is accelerating the steps to build the medicine resource base, developing the pillar enterprises, and thus driving the development of Chinese herbs and the modern base of traditional Chinese medicine. The province will quicken the paces in the development of the research platform of traditional Chinese medicine, the marketing network and the infrastructure of the bioscience park, so as to build the industrial system of modern traditional Chinese industry and establish a number of pillar pharmaceutical enterprises.

-------Weibei Green Fruit Base. The Weibei plain is the only and the largest region with the seven indexes suitable for apple growing, which has been confirmed by the experts. Apple is already a priority fruit in the province. The state has already awarded Weibei as the best place in China for apple growing preserving. The province will take the chance to build a high-level green fruit base in Weibei.

Shaanxi will give the priority to increase the ratio of fine apples, apple transmission and export. Measures will be taken to improve the fruit quality with standardization of production, incubating and supporting pillar industries for fruit industrialization; actively incubating brand products, accelerating the building of the marketing system of fruit; carrying out the strategies of developing fruit by science, and strengthening the building of quality guarantee system for fruit industrialization. The province aims at making Shaanxi apple a brand product in the world and building Weibei into the largest and strongest green fruit base in China.

With a view to the social and economic development targets of Shaanxi province and the industry advantages, we take the advantage of this forum to promote twenty projects of the province with comparative advantages, favorable resources and environment, and good market prospect. We cordially invite you to visit Shaanxi for tour and investment.