Jiangmen needs a signature company like Shenzhen’s Tencent to thrive as a Greater Bay Area industrial base, Colliers says

The manufacturing city in the west of the bay area is attracting new businesses as it modernises, but it needs a ‘core industry’, says Bryan Chan of Colliers

‘In terms of industry, Jiangmen does not have something like Tencent. When you talk about Shenzhen you think of Tencent,’ Chan says

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Workers in a TMall.com warehouse in Jiangmen, Guangdong Province. Photo: EPA-EFE

Published: 8:30am, 7 Sep 2020Updated: 8:55am, 7 Sep 2020

Jiangmen, on the western fringe of the Greater Bay Area, has a proud manufacturing tradition focusing heavily on motorbikes, lighting, car parts and clothing. Its industrial sector is undergoing a modernisation, increasingly geared toward new energy, medical equipment and high-end manufacturing.

As a result the city of 4.63 million people in Guangdong province is attracting new companies wishing to set up production bases there.

But its future role in the bay area – Beijing’s plan to integrate Hong Kong, Macau and nine mainland Chinese cities into a global economic powerhouse – could be hampered by the fact its “positioning” is unclear and it lacks a signature company, according to Bryan Chan, executive director of advisory services for South China at Colliers.

“Under the development of the Greater Bay Area, some industries may shift their base to Jiangmen,” said Chan. “Jiangmen’s industrial transformation and upgrade is proceeding at a steadily increasing pace.

“But in terms of industry, Jiangmen does not have something like Tencent. When you talk about Shenzhen you think of Tencent. It needs to work on developing a core industry.”

The city recently hosted the 2020 Jiangmen Advanced Manufacturing Expo. The exhibition, postponed from April to August, was smaller than usual because of the pandemic.

Nonetheless, some 200 exhibitors showcased their latest equipment, including automated production and packaging lines. One even displayed a small but successful mask production line.