Anshan, the "steel city" in Northeast China's Liaoning Province, is determined to promote the development of the processing and manufacturing industry to sharpen its competitiveness in the industrial sector.

"Blessed with a solid industrial foundation, we expect to secure a firm foothold in the world market by boosting the manufacturing and deep processing of steel and iron, raw materials, light industry, food and chemical products," said Zhang Jiehui, Anshan's mayor.

A traditional heavy industrial base, Anshan is well-known for its steel and iron business Anshan Steel and Iron Group, which is one of the leading groups in the industry nationwide.

Priority will be given to the intensive and deep-processing industry of steel and iron in the next five years.

While major steel products remain in difficult positions in international competition, the city will highlight developing products with high-tech and high added-value, Zhang said.

Efforts will also be made to speed up the deep-processing of talcum, magnesite and other raw materials that abound in the city. He said the city welcomes domestic and overseas companies to participate in the acquisition and merger of State-owned enterprises (SOEs), which is an effective way of overcoming many disadvantages of SOEs.

Foreign investors are especially urged to set up solely-invested enterprises or hold a majority in company shares.

He said that overseas firms investing in productive projects will be exempt from administrative charges before operation.

(China Daily March 7, 2002)