Close to the international express distribution centers of Nanjing and Shanghai, our district has strong location advantages and core competitiveness. At the same time, as a third- or fourth-tier city, Huai'an has low labor costs, far less than first- and second-tier cities. The district party committee and government made forward-looking plans and planned to build an e-commerce modern logistics industrial park west of the Beijing-Shanghai Expressway and north of the Huaihe River estuary in 2013, and gave it key support and promotion as an important industrial sector and new economic growth pole in Huai'an District. After several years of development, eight nationally renowned express delivery companies including YTO, ZTO, STO, Yunda and Guotong have been attracted to set up a first-class express transit and distribution center here. Currently, the average daily shipment volume of express delivery companies exceeds 1.4 million, and the annual transfer volume exceeds 550 million pieces. Huai'an E-commerce Modern Logistics Park has become a highly concentrated and high-level express logistics distribution center north of the Yangtze River in Jiangsu.
Relying on the increasingly solid express logistics industry foundation, Huai'an E-commerce Logistics Park conforms to the trend of Internet development and vigorously develops e-commerce and its derivative industries. At present, a total of more than 50 e-commerce companies have been attracted to settle in the park, covering e-commerce industrial parks, rural e-commerce, Internet finance, B2B platforms and other industries. Among them, Kangerxin, Jiangsu Witt and Hanzhou Musical Instruments are firmly ranked among the top three e-commerce network sales in Huai'an City. They have invested over 100 million yuan to build an e-commerce industrial park integrating production, e-commerce and warehousing in Huai'an E-commerce Modern Logistics Park, which has played an important demonstration and leading role in the transformation and upgrading of the same industry. The well-known third-party warehousing company Jushuitan was introduced to lease and set up warehouses in the park. The current warehousing area has reached 50,000 square meters, filling the gap in the park's warehousing industry.
While continuously expanding the scale of the industry and improving its quality and efficiency, the park attaches great importance to brand building and creation. After the industry took shape, the park repeatedly requested the district committee and government to strongly recommend the park as a characteristic industrial highlight of the district. After continuous efforts, Huai'an E-commerce Modern Logistics Park was successfully approved as a provincial and national e-commerce demonstration base, Subei Express Industrial Park, provincial key logistics base, and provincial modern service industry cluster in 2015. In 2016, it won four provincial and municipal honorary titles including the 2017-2018 provincial e-commerce demonstration base, municipal entrepreneurship incubation base, municipal crowd innovation space, and municipal women's e-commerce service base, adding new connotations to the work of striving for upward.
Cross-border e-commerce is one of the hot industries with good development prospects in recent years. However, due to the rising labor and rental costs in first- and second-tier cities, many first- and second-tier companies engaged in cross-border e-commerce business have considered moving to faster-growing third- and fourth-tier cities such as Huai'an. The district party committee and government assessed the situation and put forward the idea of "striving to create a cross-border demonstration e-commerce cluster" at the right time. They used this as a development strategy to promote the construction and development of Internet industrial bases, commerce, transportation, logistics and other aspects, and carried out investment promotion and industrial project construction around the commerce and logistics industry.
The park closely follows the district party committee and government's requirements for promoting industrial upgrading, conforms to the district's manufacturing enterprise transformation and upgrading trend, launches the district's small and medium-sized enterprise e-commerce incubation project, and introduces experienced e-commerce company Wanan Nan to provide e-commerce training, incubation and guidance for physical enterprises and individuals in the district. Wanannan is an e-commerce company engaged in cross-border e-commerce incubation, comprehensive e-commerce services, flower gardening, and agricultural supplies sales. It has now developed into one of the largest cross-border B2C e-commerce companies in Huai'an. The company started working at the incubation base in December 2016, visiting and investigating enterprises across the region, coming up with an incubation plan, and focusing on domestic and cross-border e-commerce business. At present, nearly 40 e-commerce companies have been incubated, and it is planned to incubate 100 companies by the end of the year. More than 12 incubation training sessions of various types have been carried out to guide more cross-border e-commerce companies and talents to settle in the park. Using Huai'an E-commerce Logistics Park as a platform, Huai'an District will be built into an important cross-border e-commerce demonstration zone in our city.
In 2017, Huai'an E-commerce Modern Logistics Park will continue to focus on the development path of "expanding quantity, improving quality and upgrading", accelerate the deep integration and development of e-commerce and express logistics, further enrich the connotation of the e-commerce demonstration base, actively introduce high-end logistics, intelligent warehousing and other business formats, continuously expand the industrial chain, improve the functional supporting facilities of the park, accelerate industrial agglomeration, expand the scale of the industry, and enhance the brand image of the park. Focusing on "industrial upgrading", we actively introduce cold chain logistics, large-scale logistics and other business formats to settle in the park. Relying on the park's advantages such as being adjacent to the Huai'an high-speed rail hub station under construction and the sea waterway entering the sea, we strive to introduce new logistics business formats such as high-speed rail logistics and maritime logistics, and promote high-quality projects to settle in the park; we actively promote the high-end development of the park's logistics industry. Focusing on "industrial upgrading", we will actively promote and guide express delivery companies such as YTO, ZTO, STO, and Yunda that have already entered the park to implement technical reforms, expand their operating scale, expand their coverage, reduce express delivery costs, and create an advantageous logistics brand with convenient transportation and low costs. Focusing on "industrial expansion", we vigorously attract well-known domestic and foreign e-commerce platforms and warehouses such as Amazon, JD.com, Vipshop, and Best to build warehouses in the park to accelerate the construction of a complete industrial chain. Focusing on "industrial efficiency improvement", we will strengthen assistance services, urge existing operating companies to increase their efforts in invoicing and tax payment, strengthen the attraction of headquarters economy, create a highland for headquarters economic development, cultivate new growth points for efficiency, ensure that the annual output value of e-commerce logistics companies exceeds 250 million yuan, strive to exceed 300 million yuan, and the tax revenue reaches 20 million yuan, strive to exceed 30 million yuan, and strive to build the park into a new and higher-level industrial economic growth sector in our district.