Investment attraction in Shanghai in the first half of 2025 showed a steady upward trajectory, with notable gains in both industrial and private capital inflows, according to information released during Shanghai's Government Open Month event on Aug 7.

From January to June, the city launched 1,944 projects with a combined investment of 679.1 billion yuan ($94.55 billion), achieving 58 percent of the annual target. Industrial investment reached 97.3 billion yuan, a 19.8 percent increase from the previous year, while manufacturing alone amounted to 89.8 billion yuan, up by 22.8 percent.

Several landmark projects were launched in the first half of the year, including the Toyota Lexus initiative and the second phase of the C919 production capacity expansion. These developments have invigorated supply chains and strengthened upstream and downstream links. Other major projects, such as the China National Building Material Group's aerospace composite materials and Shanghai Superconductor Technology's second-generation high-temperature wire facility, have accelerated the clustering of high-quality ventures in specialized fields.

The structure of investment attraction continues to improve. From January to June, a total of 1,286 projects in industry, software information, and industrial services were signed, with a total investment of 382.4 billion yuan, accounting for 56 percent of the overall investment. Among these, 175 projects in the three leading industries — integrated circuits, biopharmaceuticals, and artificial intelligence — were launched, with a total investment of 107.5 billion yuan, representing about one-third of the total investment in industrial projects.

Private investments have also seen strong growth. In the first half of the year, 1,539 privately funded projects were launched, with a combined investment of 356 billion yuan, accounting for half of the city's newly launched investments. In June alone, 621 private investment projects were initiated, contributing 101.5 billion yuan, or 61 percent of the total monthly investment.

Shanghai's investment attraction strategy is increasingly focused on improving the experience for businesses.

Policy Front

Shanghai has refined its investment promotion policies continuously over the past three years. The 3.0 version, launched this year, directly addresses business pain points by focusing on the efficient alignment of policies and resources.

• Enhanced "Invest in Shanghai" platform: The city is upgrading its platform to serve as a one-stop service portal, integrating citywide investment resources, policies, and information, enabling businesses to access relevant support more quickly.
• "Instant Access" policy list & smart matching services: The platform will introduce an Instant Access policy list, along with smart policy matching services, allowing businesses to easily find the support they need.
• Streamlined service access: Both online and offline service windows will be established, offering businesses a single point of contact for all services. The online portal will provide consultation services, while physical service windows will assist with businesses' various needs.

Service Perspective

Shanghai is strengthening its service system to support businesses throughout their entire lifecycle. For example, the Toyota Lexus project benefits from coordinated, multi-level government efforts to overcome development challenges.

• Industry ecosystem building: Shanghai is actively constructing an industry ecosystem by attracting companies in fields like new energy vehicles and smart equipment. Through exhibition-based investment promotion, specialized meetings, and policy presentations, Shanghai continues to draw upstream and downstream partners for key projects like Toyota.
• "One-Hour Supply Chain Radius": Shanghai aims to create a "one-hour supply chain radius" for Toyota, enabling the company to localize core production processes and increase its localization rate to over 95 percent.
• Dual empowerment for industry upgrades: By leveraging flagship projects such as Toyota's, Shanghai is promoting the high-end, intelligent, and green transformation of the entire industrial cluster, achieving a dual empowerment of both individual companies' growth and the prosperity of the industrial ecosystem.

Source: thepaper.cn