High-speed trains can change the configuration of economic activities.
 

This year, Shenzhen, Guangdong Province, replaced Hong Kong as China’s most competitive city, according to a report released on May 15.

The rankings were published in the Blue Book of Urban Competitiveness: Annual Report on China’s Urban Competitiveness No. 13 released by the National Academy of Economic Strategy at the Chinese Academy of Social Sciences (CASS) in conjunction with the China City Forum, the Center for City and Competitiveness at CASS, and Social Sciences Academic Press (China).

Hong Kong had held the top position every year the report has been published until now.

Hong Kong, Shenzhen and Beijing were the three highest-ranking cities in urban per capita bank balance, according to the report.
 

Employing an index system and objective data, the report analyzed the competitiveness of nearly 300 cities, providing a framework for urban development throughout the country.
 

According to the report, the top 10 cities in terms of urban competitiveness are: Shenzhen, Hong Kong, Shanghai, Taipei, Guangzhou, Tianjin, Suzhou, Beijing, Macao and Wuxi. The top cities are clustered in the Pearl River Delta, the Yangtze River Delta, the Bohai Economic Rim, as well as Hong Kong, Macao and Taiwan. None were from central and western China.
 

One of the indicators of city competitiveness adopted in the report is business environment, which measures a city’s efforts to encourage entrepreneurship. Bank balance is also an indicator. In this category, Hong Kong ranked first for the third successive year, and it was followed by Shenzhen, Beijing, Macao, Shanghai, Dongguan, Guangzhou, Zhuhai, Hangzhou and Xiamen. 
 

The report recommended adjustments to the division of China’s economic zones. It suggested that the four economic zones—eastern, central, western, and northeastern— should be integrated into two, namely the autonomous development zone, comprising the eastern and central regions, and the policy-supported zone, made up of the northeastern and western regions.
 

In his address to the launch ceremony, former CASS vice-president Li Yang said we should pay heed to how various social developments affect cities and city competitiveness. For example, high-speed trains could shorten the distances between people and cities while changing the configuration of economic activities, he said, pointing out that these changes are taking place in China and will continue.

 
Although the construction of highways, high-speed trains and other transportation means can facilitate communications between cites and can be conducive to fostering city clusters, these measures can also result in imbalance between cities in terms of public services, investment and other aspects, said Wang Limin, executive deputy editor-in-chief of  the Social Sciences in China Press.
 

Public services should be added as an indicator of city competitiveness, Li said, explaining that in an era of massive city construction, public services, especially education and health care, are becoming increasingly relevant.
 

Li also shed light on the influence of the Internet and China’s Internet Plus strategy on city competitiveness. As a way to transcend space and time, the Internet is now transforming our society in a profound and comprehensive way. It will play an increasingly greater role in reallocating resources among cities and balancing the relative strengths of different cities, he said.
 

Citing competitiveness reports released in recent years, scholars at the launch ceremony for the report observed that the disparities among cities are generally becoming less pronounced.
 

However, it was noted that the opposite trend is occurring in certain areas. For example, the gaps among eastern coastal cities are narrowing, but in central and western areas, especially in the central areas, disparities are growing.
 

Scholars also identified the changing factors affecting city competitiveness, including  talent, infrastructure and government management. Talent competitiveness has become the biggest booster for a city’s comprehensive competitiveness, while specific economic systems, business management and ecological environment are still inadequately contributing to comprehensive competitiveness, scholars said.

 

Kan Feng, Wang Chunyan are reporters at the Chinese Social Sciences Today.