Geology and Climate
　　Geology
　　Liaocheng City belongs to one of the part of Huabei Plains, the quality of soil belongs to sandy clay and silt.
　　Earthquake—the earthquakes happened about 64 times during 500 years. And the highest earthquake magnitude is the forth.
　　Climate
　　Liaocheng belongs to warm temperate morsoon climate, with distinct four seasons, plentiful sunshine. In spring, it is dry and windy, in summer it is hot and rainy, in autumn, it is sunny and in winter, it is a little cold. The annual average temperature is 13.2℃. The total sunlight period is more than 2600 hours and 80% of the period is sunny days. The average non-frost period is 293 days. Average rainfall is 583.6mm.
　　Liaocheng has abundant product resources. Located in the Yellow River alluvial plain, having mild climate, plentiful sunlight, fertile fields, bountiful water resources and relatively developed agriculture, Liaocheng is an important grain and cotton, vegetable production base and agricultural byproducts processing base. Liaocheng has various industries. Now she has set up many major fields as non-ferrous metal, machinery, light industry, textile, electric power, chemicals, food-processing, medicine and information, and main products as Dong’e E-Jiao, electrolyte aluminum and its products, agricultural vehicles, bus, machine-finished paper, chicken and so on.
　　Liaocheng has brilliant investment environment, and export-oriented economy develops quickly. Now she has set up economic, technological and cultural cooperative relations with more than 50 countries and regions. In terms of opening consciousness, ideology, and others as information and technology, Liaocheng gets direct influence from eastern coastal cities. At the same time, she possesses incomparable resource advantages in water, coal, fields, agricultural products, manpower, and so on. During the period of Chinese economy changing from east to west and middle part of China, Liaocheng is becoming the best choice for talents and ideal garden for outside investors.
　　Unique Location
　　Lying at the juncture of Hebei, Shandong and Henan Provinces, Liaocheng holds unique location. From its east, Liaocheng is against the region where national economy is fast growing, reformation and openness on continuous progress; from its west, Liaocheng connects with Shanxi and Shanxxi Provinces, and takes the front position in China's "Western Development"; in the north, Liaocheng links with Beijing and Tianjin, and in the south, it is towards the Central Plain. In such a location, Liaocheng can not only get the advanced technology from eastern coastal areas, but make use of abundant resources of western provinces. So Liaocheng is important transportation pivot, energy base and inland port. The improvement of transportation makes the advantage of location more outstanding. From Liaocheng, four hours' railway you can get to Beijing, and another sixteen hours' Hongkong is within your eye; on expressway, you can reach Jinan International Airport in one hour, and get to Qingdao seaport in four hours. Liaocheng is becoming more and more open, and its role more and more important.

　　Plentiful Resources
　　With its abundant product resources, Liaocheng is an important base of commodity grain, high-grade cotton, vegetable, fruit, poultry and livestock, as well as deep-processing and export base of agricultural byproducts. High-protein wheat, juicy pear, date, muskmelon, sheep and Luxi cattle are well known both at home and abroad. The cultivating area of high-grade wheat reaches 3.8 million mu and six counties are regarded as high-grade wheat production bases on state-level. The cultivating area of vegetables is 3.2 million mu and forty-one harmless vegetable cultivation bases have been set up in Liaocheng. Sixty-six brands have got approval from Provincial Agricultural Products Granting Commission. The annual producing capacity of vegetables is 2.04 million tons. Liaocheng ranks first in the varieties and output of vegetables in Shandong Province. The cultivating area of mushrooms leads in China with area of 12 million square metres. Shenxian County is famous as “Cradle of Twin-spore Mushrooms and Muskmelon”. The planting area of fruit trees is 680 thousand mu, among which the area of Guan pear is 150 thousand mu.The planting area of peanut is 80 thousand hectres, with annual output 300 million kilograms. Jinan Peanut Market (located in Daming, Hebei Province), the largest peanut market in China is only a dozen kilometers away from Liaocheng. So peanut resource in Liaocheng can support a peanut processing plant with daily capacity of 1000 tons. The stock of cattle and chicken are respectively 1.48 million and 70 million. Besides lying in the upper reaches of Weishan irrigating channel along the Yellow River, Liaocheng has plentiful water resources. Tuhai River, Majia River and the Grand Canal wind through the city, so the irrigating condition is good. The fresh water breeding area is 320 thousand mu, and total output of fish is 38 thousand tons, and the annual output of lotus roots is 60 thousand tons. Moreover, Liaocheng has abundant mineral resources as coal, petroleum, natural gas and limestone.
　　Enchanting Scenery of Water City
　　Liaocheng is a city of waters. The total water area of Liaocheng is more than 13 square kilometres, and many rivers like The Yellow River, and the Grand Canal wind through the city. Dongchang Lake, covering an area of 5 square metres, is the largest city lake in the North of China. With its mirror-like face and its green-jade water, Dongchang Lake is as charming as the West Lake in Hangzhou. The well-reserved ancient city lies in the centre of Liaocheng, just like a chessboard floating in the rivers. All these can find their portrayal in ancient poems. The rivers, lake and ancient city make the characteristic “Water City North of the Yangtze”.
Liaocheng is a historical and cultural city. Places of interests, ancient codes and records and celebrities proving her fame. Guangyue Tower, lying in the centre of ancient city, was built in Ming Dynasty. Due to its exquisite design and structure, it is as famous as Huanghe Tower and Yueyang Tower. Shanshan (referring to Shanxi and Shanxxi Provinces) Guild Hall, facing the Grand Canal, is magnificent and luxurious, and it is the representation of prosperity of ancient Liaocheng. Haiyuan Attic, one of four private libraries in Qing Dynasty, has been a home of 220 thousand precious books and strange stones. Jingyang Ridge cultural relics, Taxation Outpost along the Grand Canal, Caozhi (a famous man in Three Kingdom Dynasty)’s tomb, as well as many others are all major historical and cultural sites under state protection. Liaocheng is also the site of many scenes in ancient novels. Besides, Liaocheng is the birth place of many celebrities: Sunbin, famous strategist in ancient times; Zhang Zizhong, brave patriot; Li Kuchan, noted painter and Kong Fansen being their representatives.
　　Liaocheng is an excellent tourism city in our country. Liaocheng is abundant in tourism resources, enchanting natural scenery, plentiful humanistic resource, long-time local customs, snacks, folk arts, culture and waters, which all make Liaocheng unique and charming. In order to let more people learn about Liaocheng’s beauty and charm, and make Liaocheng step forward toward the world trend, Liaocheng City annually holds Liaocheng Culture&Tourism Festival and “Tourism&Sightseeing Golden Week in the Autumn of Water City” in May and October holidays.
　　Current Situation and Prospect of “Major Industries of Liaocheng”
　　Liaocheng has various kinds of industries. Industrial system majored in machinery, light industry, textile, chemistry, medicine, metallurgy, electricity, food and agricultural product processing has come into being; trade and commerce, as well as service and tourism are also prosperous. At present, Liaocheng possesses fifty-three enterprises whose earnings above RMB100 million, profits tax above RMB10 million. Moreover, three listed companies have their seats in Liaocheng. At the beginning of 2003, Liaocheng municipal government brought forth new objectives of setting up Ten Major Industries. That is to the year 2010, the annual sales income of ten industries of non-ferrous metal, agricultural equipment, automobile, textile, electricity, paper-making, chemicals, food processing, medicine and information technology will reach or access RMB 10 billion.
　　Liaocheng Economic Development Zone
　　Located in the east of Liaocheng City, with planning area of forty square kilometres, Liaocheng Economic Development Zone is the only zone situated in the urban district in Shandong Province. Liaocheng Economic Development Zone is located at the entry of Jinan-Liaocheng-Guantao Expressway, and from its east, Jinan-Qingdao Expressway, Beijing-Shanghai Expressway and Beijing-Fuzhou Expressway meet their lines, and from its west, Beijing-Shenzhen Expressway and Beijing-Zhuhai Expressway connect with each other. The zone has well-equipped infrastructure, excellent investment climate and advanced service system. As flat roof and media of the whole city, the Zone fully exerts closed management and open operation and supply investors with excellent, efficient and convenient services. Putting emphasis on IT, biomedicine, new material, textile and other high-tech industries, the Zone has become a new economic point and the most active district in west Shandong.
Location map of Liaocheng Economic Development Zone



　　Good Investment Environment of Liaocheng Economic Development Zone
　　Located in the east of Liaocheng City, with planning area of forty square kilometres, Liaocheng Economic Development Zone is the only zone situated in the urban district in Shandong Province.
Putting emphasis on IT, biomedicine, new material, textile and other high-tech industries, the zone has become a new economic point and the most active district in west part of Shandong.
At present, more than 336 projects entered into the development zone which come form more than 20 countries and regions, such as Korea, America, Japan, Spain and Hongkong. The famous enterprises are CJ Group from Korea ,Huarun Group from Hongkong ,Suntech Electrical Appliances Company from Hongkong ,Wanfeng from Hangzhou city,Zhejiang province, Ayecue Company from Spain ,WONG’S Group from Hongkong , Jinlong Textile from Taiwan, ect..
　　Infrastructure
　　Liaocheng Development Zone has developed a high standard infrastructure and "Eight Utilities and Land filling" project. It means road, power, water, gas, steam, communications, sewage treatment, drainage, cable TV and land filling have been completed.
　　Unique Location
　　Aviation---It only takes you one hour to Jinan Airport by Jinan-Liaocheng-Guantao Expressway.
　　Railway---Kowloon Railway and Jinan-Handan expressway meet here. And Liaocheng Railway is one of the biggest railways in the Kowloon Railway. It only takes you no more than four hours to Beijing and sixteen hours to Hongkong.
　　Road---Jinan-Liaocheng-Guantao expressway runs through Liaocheng City, and connects with Jinan-Qingdao expressway.
　　Navigation---Qingdao Port, Yantai Port and Tianjin Port can supply service to the development zone, and it only takes four hours to get there from here.


　　The construction in Liaocheng Development Zone will be focused on industrial projects, foreign capital, export-oriented projects and high-tech oriented projects. Talents are the strong drive for its development. Its Starting-undertaking Center will attract large quantities of technical persons, including high level administrative persons. It will strengthen the relations with universities, colleges institutes, and scientific research institutes, and introduce experts for its long-term development.
　　The development zone will focus on the advantages, on the development conception, aiming at making itself to be a morden place, a industrial garden and a high-tech zone.
In Liaocheng Economic Development Zone, there is already an industrial structure mainly depended on mechanical manufacturing industry, textile, clothing, new material, food processing and so on. Its investors comes from over 20 countries and zones including South Korea, Japan, the US, UK, Singapore, Spain, Italy, Hong Kong, and Taiwan. Up till now, the economy has become the superiority platform, there are a large group of well-known enterprises such as CJ(Liaocheng) Biotech Company, China Resources Textile Company, Triton Diving Equipment Company, Ayecue (Liaocheng)Food Company, Kanghe Biotech Company, Huayu Steel Structure Company, Changrun Textile Machinery Company, Gangrun Dyeing Company, China Resources Brewery Company, Liaocheng Truck Group, ect. These enterprises in the development zone have gained their great achievements here, thus forming huge potential for future achievements.
　　Advantages of Cost

Production elements	Price
Land for transferring	Depends on the project
Price for transferring the workshop	Depends on the project
Price for renting the workshop	5—7Yuan/m2/month or 60-84Yuan/m2/year
Water (for industry)	1.4Yuan/m3
Water (for living)	1.2Yuan/m3
Electricity (for industry)	Normal industry：0.574Yuan/kwh Big industry：0.48Yuan/kwh
Electricity  （for living）	0.52Yuan/kwh
Gas(for industry)	2Yuan/ m3, 680Yuan/ m3/day(for further added capacity)
Gas（for living）	1.8Yuan/ m3, 2400Yuan(for further added capacity)
Steam(for industry)	115Yuan/ton, 20thousand/ton/hour(for further added capacity)，
Steam（for living）	17Yuan/m2, 20Yuan/m2
Labour	300Yuan-800Yuan/month

　　Advantages of Logistics
　　Liaocheng is the important transportation pivot and the business center, there is a international container transferred station and six special railway lines, it is convenient for transportation.
　　a. Transported by Road
Liaocheng owns one container transferred station and 52 logistics enterprises. Liaocheng Transportation Company, Liaocheng Joint Transportation, Branch of Sinotrans Shandong Company Limited and Joint Container Company Limited and the Yutong Logistics Company can supply the service to the enterprises in the development zone.
　　b. Transported by Railway
Liaocheng North Railway Station is one of the four marshalling stations along the Beijing-Kowloon Railway, the distance is eight kilometers between the station and the development zone and has 24 freight marshalling lines.
　　Six specific railway lines connect with grain, cotton, petroleum, goods and material stores and a free-tax store, as well as an international container transfer post.
Marshalling station along Jinan-Handan railway- the distance is 15 kilometers between the station and the development zone.
　　Energy
　　Liaocheng is an important energy base of Shandong. The present electricity-generating capacity is four million kilowatts. The average price of the electricity for industry is RMB 0.488 Yuan/kwh. Lantian Thermoelectric Plant is under-construction now in the development zone and it will go into operation in May, 2005, thus at that time the price of electricity will be lower.
　　Labor force
　　Liaocheng has abundant labor force resource, and the total quality is excellent. The number of utilizable labor force is 2.6 million. Liaocheng University, Liaocheng Professional Technical School and Liaocheng Garment Institute are aiming at fostering high-quality and innovative talents. The enrolled postgraduates, graduates, associates and foreign students are more than 30 thousand. The enrolled students in adult education are more than 18 thousand. Liaocheng has trade school, industrial school, agricultural school, construction school, financial school and other seven technical schools, and the enrolled students are 16 thousand. Every year, about 10 thousand students majored in computer, marketing, accounting, engineering, textile and design graduate from schools and make contribution to the society. Training lectures and high education increase the quality and ability of labors. The above-mentioned supply investors many choices in labor force.
　　 Preferential investment policy
　　In the Development Zone, the preferential policy is carried out according to the the projects, such as investment captial, foreign currency income, and technical content.