Gross Economy:

The GDP of Shandong province totaled 1,417 billion yuan in 2004, an increase of 14 percent against last year. The GDP in 2004 of Shandong Peninsula Manufacturing Base was 460 billion yuan, accounting for 32% of the total of the province, the GDP of Qingdao, Yantai and Weihai were 206 billion yuan, 155 billion yuan and 99 billion yuan respectively.

Agriculture:

Shandong is China’s major base for agricultural products such as peanuts, vegetables, fruits, meat and aquatic products. The value of agricultural products exported from Shandong province in 2004 reached US$ 5.1 billion, accounting for one fourth of the national total, which was mainly from the area.

Production and Export of main Agricultural products of Shandong province in 2004

Service industry

Trans-national Corporations such as Carrefour, Metro, Jusco, Wal-Mart, Group Auchan and B&Q have established over ten franchises in the area.

Industry:

Large-scale industrial enterprises in the Base contributed an industrial output of 200 billion yuan, constituting38%of the gross output of Shandong province.

(1) Automobile:

The representatives are:

Qingdao No.1 Auto Plant

Qingdao Estong Group

Qingdao Bus Co.

GM(Shanghai) Dongyue Automobile Co. Ltd

Dongxing(Yantai) Automobile Co.

Laiyang Dongli Automobile Co.

HeibaoTrucks Co.

Wendeng Crankshaft Co.

Rongcheng Connecting Rod Co.

Main products: sail automobile, car engine, air-conditioner in car, heavy duty truck, container deliverer, deliverer for agricultural use, crankshaft, connecting rods and so on.

(2) Shipbuilding:

Manufacturers:

Qingdao Beihai Shipbuilding Industry Co.

Qingdao Lingshan Shipbuilding Industry Co.

Yantai Raffles Shipbuilding Industry Co.

Weihai Dockyard Co.

Shandong Huanghai Shipbuilding Co.

Products: oceangoing fishing and processing ship, pleasure boat, container liner, fishing boat, mass-scale tanker, ocean engineering ship, luxury pleasure boat etc.

(3)Information and Home Appliance:

Manufacturers:

Haier Group

Hisense Group

Qingdao Lucent Scientific and Technical Communication Equipment Co., Ltd

LG (Yantai) Co., Ltd

Zhenghai Halftone Co.

Beiyang Electronics Appliances Co.

Weihai Shuangfeng. Co.

Products: air-conditioner, refrigerator, computer, TV, transmission instrument, sensitive element inductor, integrated circuit element, mobile phone, base station equipment and exterior assembling element.

(4) Chemistry and Pharmacy:

Manufacturers:

Qingdao Alkali Industry Group

Qingdao Insecticide Plant

Qingdao Growful Pharmaceutical Co. Ltd

Yantai Luye Pharmaceutical Co. Ltd

Yantai Rongchang Pharmaceutical Co.

Weihai Tsinghua Unisplendour Corporation Ltd

Weihai Sanuojin. Co.

Products: tyre, caustic soda, dyestuff, pesticide, anti-cancer CVC, marine medicine.

(5)Textile and Garment:

Over 560 enterprises have been established producing 500 million pieces of clothes of all types and having 2 national famous brands. Major products include suits, shirts, knitted underwear and high quality materials. Representative brands include:

Red Collar

Hoston

Haishan

Jifa

Huajin

(6) The Foodstuff Industry:

Major products include beer, wine, and vegetable oil etc., which are produced by the well-known enterprises such as

Tsingdao Beer Group Co.

Yantai Changyu Group Co.

Shandong Longda Group Co.

Huadong Wine Co.