YANGPU is entering a new era of urban development and on its way to becoming a city of the next generation. As the birthplace of China’s modern industry, Yangpu is no stranger to technical reforms and innovation. It has held a leading position in manufacturing, education, public facilities and services for decades and has been shifting gears to an innovation-driven future.

Once a traditional industrial base that cultivated China’s first waterworks, power plant, gasworks and textile mill, Yangpu is now planning to become the most crucial hub of innovation in Shanghai by 2040 amid Shanghai’s ambition to become a technology and innovation center of global influence, district Party secretary Li Yueqi told the Yangshupu International Innovation Forum recently.

The glorious old days gave Yangpu its foremost status, but the district’s prosperity tomorrow needs a different idea.

More than 50 experts on finance and urban planning were invited to give an opinion at the forum and they responded with their concerns about Yangpu’s riverside area.

The narrow piece of land along Huangpu River was where China’s first water plant, first power plant and first gas plant resided. It is considered to be the world’s largest riverside industrial belt by UNESCO experts.

At the same time, the area is within the Yangpu demonstration base for mass entrepreneurship and innovation, which is one among the first batch of 28 nationwide and the only one of its kind in Shanghai.

Regional demonstration base

According to a circular by the State Council, or China’s cabinet, last May, the regional demonstration bases will help promote the building of service-oriented governments, improve policies and measures supporting mass entrepreneurship and innovation, while expanding investments in start-up businesses.

In addition, this area has been defined as a central activities district in the Shanghai Urban Master Plan (2016-2040).

Yangpu authorities have mapped out a plan to turn the previously closed riverside industrial hub into an open and shared waterfront with historical accumulation, intelligent management, and ecological friendliness, according to Li.

A section of 2.8 kilometers’ riverbank to the west of Yangpu Bridge is expected to be opened next month, while an additional 5.5 kilometers of shoreline linking Shanghai International Fashion Center and Hongkou District will open to the public by the end of next year.

Moreover, around 2 million square meters of high-end business and commercial facilities will settle down in the area. It is part of Yangpu’s plan to introduce innovative companies, institutions, organizations as well as professionals of all trades to take part in its riverside development.

Hence, Yangpu has enhanced cooperation with financial institutions among which China Development Bank plays a major role.

Zuo Kun, vice president with CDB Capital, told the forum that industrial heritage and culture community at Yangpu’s riverside area could combine with urban renewal and industrial development to create a highland and cluster of excellent enterprises with talented people, as well as an urban community with a rich humanistic and innovative atmosphere.

According to Zuo, the Shanghai branch of CDB and several of the bank’s subsidiaries have set up close ties with Yangpu. CDB not only offers financial support but also introduces all sorts of high quality resources in various fields such as cultural and creative industries and urban operations for the development of the riverside area.

CDB Capital also cooperates with Yangpu to jointly set up a fund for the development of sci-tech enterprises. It also provides loans and investment in Yangpu-based scientific research to promote the transformation of scientific and technological achievements into real productive forces.

The district government also set up an urban development foundation, the first of its kind in Shanghai, as part of the campaign to transform a 15.5-kilometer-long area by the river.

Yangpu Riverside Urban Renewal Foundation, a private equity fund totaling around 10 billion yuan (US$1.45 billion), will be used for the urban development and historic building preservation along the riverbank.

A total of 66 historic buildings, mostly former factory houses, have been protected during the riverside development campaign.

As the riverside area will become a future icon of Yangpu, Jonathan Woetzel, McKinsey Global Institute director and senior partner, suggested turning the area into a future waterfront in the post-industrial era.

Its southern wing could be a well-developed area for creative immersion activities. People may exchange their views, work, study or entertain at the place which also integrates some urban functions such as education and healthcare, according to Woetzel.

He also suggested developing digital industry such as artificial intelligence and 3D printing in the northern wing while an open, borderless, R&D cooperation zone could be built between the two wings. All the research and innovation in the zone are for sharing, Woetzel said.

Woetzel divided the waterfront development in major cities around the world into four stages. Initially, waterfront areas were usually trading ports, with the accumulation of fortune they were developed into financial centers, then a base of headquarters and finally, urban innovation hubs.

The Bund is an epitome of stage 1, Lujiazui as stage 2, the riverside area of Xuhui District is in the stage 3 and stage 4 will be realized at the riverside of Yangpu, according to Woetzel.

MUSEUM to showcase China’s industrial history

YANGPU plans to build a museum along Huangpu River showcasing China’s industrial history dating back over a century.

The district is surveying all of its historic buildings along the river to preserve valuable structures as well as to collect exhibits for the Shanghai Industry Museum.

Yangpu’s riverside area was once home to several of China’s earliest industries — many of them dating back over 100 years.

Many historic items, machines and equipment have been discovered during the riverside development. They have been stored temporarily in a warehouse on Fuxing Island and will be exhibited to the public in the future museum.

The district government has invited experts from the Chinese Academy of Sciences to evaluate the history, construction materials and former functions of every factory along the riverside.

Many historic structures that were initially due to be torn down for the development campaign have now been saved from the bulldozers.

Shanghai Minghua Sugar Plant built in 1913, for instance, will be restored to as it was by using old photos and documents from the district archives. The original plant had undergone a major renovation in 1960s with additional floors being built.

Some of the historic buildings would be turned into public space for entertaining and sports.

FAST changing economy

YANGPU’S economic development has been switched from traditional industries to an innovation-driven mode. It’s now home to about 600 innovative companies and institutions, including leading international brands such as Siemens and IBM. More than 2,000 small-to-medium-sized start-ups have also set up shops in the area, with more to follow in the coming future.

The district government has initially injected 500 million yuan into the innovation-driven economy, attracting a total of 20 billion yuan in social capital.

Silicon Valley Bank has established a 50-50 joint venture with Shanghai Pudong Development Bank that will focus on lending in yuan to technology firms in the Internet, health care, new energy and new material industries in Yangpu.

Yangpu is home to more than 10 prestigious universities like Fudan University, together with 20 technology parks and state-backed enterprises such as Aviation Industry Corporation of China.

This cradle of talent has made Yangpu an ideal destination for multinational corporations. For the next step, Yangpu aims to encourage entrepreneurship among university students by providing more competitive office rentals and access to mentors.

Yangpu now also has its eyes set on building national platforms and channels to absorb international leading technologies and talents. One example is National Eastern Technology Transfer Center, which was set up last May and focuses on strategic emerging of technologies from different industries.

SPORTS development targeted

YANGPU plans to develop public sports facilities including gyms and fields for ball games along its Huangpu riverside area, once home to many of China’s earliest industrial factories.

The district government has signed a contract with Alisports, the sports arm of e-commerce giant Alibaba, to develop these sports venues and to hold various public sports events along the river.

As part of the plans, some of the preserved historic factory houses on the riverbank will be turned into public gymnasiums and indoor sports fields.

Yangpu already has had many major sports venues including China’s earliest stadium, the 80-year-old Jiangwan Stadium and the district sports center, where the Alisports will set up its headquarters.

Alisports said it would initially renovate Yangpu Sports Center, an indoor stadium with 3,000 seats near Yangpu Bridge, to develop a dozen of public sports venues including a bicycle training site and a rugby center.