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FOR many native residents of Shanghai in their middle advanced years， the stampede at the Lujiazui ferry on December 10， 1987， that killed 66 is a memory too painful to let go. On the morning of that fateful day， the ferry service on the Huangpu River， which divides the city into Pudong and Puxi， was suspended for hours due to heavy fog. When it resumed， tens of thousands of anxious passengers from Pudong who had jobs in Puxi jostled to take the boat， resulting in a stampede killing dozens and injuring many more.
This deadly accident prompted the municipal government to build a bridge over the Huangpu River to give locals another option of transport. Construction of the bridge broke ground in 1988. The same year Wei Gensheng， a crane operator living in Puxi， reluctantly moved his home to the other side of the river. There was a saying among locals at the time that they preferred having a bed in a shared apartment in the more developed Puxi over owning a house in Pudong.
But changes in this suburban region have exceeded everyone’s expectations following the state’s decision to develop and open it up in April 1990. In the following years， over two dozen bridges and tunnels were built over and under the Huangpu River， conveniently integrating Pudong with downtown Shanghai. Meanwhile， majestic skyscrapers and other modern infrastructure mushroomed in the new area to grace its landscape. As a witness and participant of this drastic transformation， Wei often stops to take a pensive look at the new landmarks of his hometown， such as the Shanghai Tower， Jinmao Tower， and Shanghai World Financial Center， some of which he participated in the construction of， when he passes by. To him， Pudong is like a child that has grown up in front of his eyes.
Strategic Significance
Pudong is located on the eastern bank of the Huangpu River. At 1，210 square kilometers， the area accounts for one fifth of Shanghai in size， and is home to one fourth of the city’s population， or 5.52 million. Before the development drive， Pudong was largely a sleepy farming area with scant industries， lagging far behind Puxi in economic and social development.
The decision to develop and open up Pudong was made at a critical juncture of China’s reform， openingup， and modernization drive， and has great strategic significance for the following reasons.
Pudong was an icon of continued reform and opening-up in the early 1990s， when Chinese reform encountered a multitude of challenges. The decision showed China’s resolve to proceed with reform and opening-up， and its confidence in its success. Deng Xiaoping was quoted as saying， “It is of prime importance to develop Shanghai； that city is a trump card. By developing Shanghai we shall be taking a short cut.” China played this trump card by juicing up Pudong， which set the stage for the country to seize the opportunities arising in shifts in the global industrial structure and division of labor， and get more integrated in economic globalization.
Opening up more room for local development， optimizing the distribution of industries， and upgrading city functions， the development of Pudong has accelerated Shanghai’s transition from an old industrial and commercial city to a modern economic hub that spearheads synchronized development in regions along the Yangtze River.
Pudong is also a test ground， as President Xi Jinping sees it. During a 2010 inspection tour he underscored the area’s roles as a window， an example， a pioneer， and a test ground. In the following years he made more comments on Shanghai’s development， underlining that the pilot free trade zone in the city should fully play its role as the test ground for deepened reform and broader opening-up across the country. Following the president’s instruction， Pudong has rolled out a raft of bold reforms and made a number of institutional innovations that can be applied to other parts of China， blazing a trail and garnering experience for further reform and opening-up.
Three Phases
Reform and opening-up has injected new life into Pudong， which now stands as a poster boy of this drive and an epitome of Shanghai’s modernization progress.
Remarkable achievements have been made on every front of local economy and society. From 1990 to 2017， its GDP grew at an annual rate of 15.1 percent. Its revenues increased by 350-fold from RMB 1.1 billion to RMB 393.8 billion between 1993 and 2017. Per capita disposable income tripled between 2003 and 2017 to north of RMB 60，000. Investment in fixed assets has exceeded RMB 2.3 trillion.
Over the past 28 years， the development of Pudong can be divided into three phases. The first was from 1990 to 2000. During this decade， the region took a lead in opening-up， and underwent strong growth， which transformed its landscape with the passing of every year. It was the first in China to establish a finance and trade zone， export processing zone and bonded area， and approved the nation’s first foreignheld bank and foreign-funded insurance company. These efforts served as preparation and stress testing for China’s pending admission to the WTO. The second phase was from 2000 to 2012， the year the CPC convened its 18th National Congress. Dur- ing this period， when China joined the WTO and hosted the Shanghai World Expo， Pudong accelerated opening-up， which in turned further fueled reform and local development. It was the first to launch comprehensive and integrated reform， provided essential services to the 2010 World Expo， and led the way nationwide in reforming the socialist market economy system， transforming government functions， and furthering coordinated development in urban and rural areas. Such progress is critical to Shanghai’s ambition in becoming an international economic， financial， trade， and shipping center. In 2009 the neighboring Nanhui District was merged into Pudong， giving it more room for development.
The third phase is from 2012 to now. This period marks deeper reform， more opening-up and innovation-driven development. A pilot free trade zone opened in Pudong in 2013， bringing about institutional innovations in fields such as investment， trade， finance， and supervision. As a linchpin in Shanghai’s drive to build itself a world-class science and technological innovation center， the area has steadily improved its capacity for independent innovation， and consequently the quality and efficiency of development. It is now a strong player in international cooperation and competition in economy and science and technology.
Pudong， accounting for one fifth of Shanghai’s territory and one fourth of its population， contributes to one third of its GDP. The former backwoods is now home to many firsts in China and the world – China’s first finance and trade zone （Lujiazui）， highest building （Shanghai Tower）， first bonded area （Waigaoqiao）， first stock exchange （Shanghai Stock Exchange）， first domestically produced large passenger plane（C919）， first Comprehensive National Science Center （Zhangjiang）， first administration of overseas talent， and the world’s largest deep-water port （Yangshan）.
Born out of China’s reform and opening-up and growing up along with them， Pudong is now carrying forward the cause to greater success， and exerting its influence worldwide.
This deadly accident prompted the municipal government to build a bridge over the Huangpu River to give locals another option of transport. Construction of the bridge broke ground in 1988. The same year Wei Gensheng， a crane operator living in Puxi， reluctantly moved his home to the other side of the river. There was a saying among locals at the time that they preferred having a bed in a shared apartment in the more developed Puxi over owning a house in Pudong.
But changes in this suburban region have exceeded everyone’s expectations following the state’s decision to develop and open it up in April 1990. In the following years， over two dozen bridges and tunnels were built over and under the Huangpu River， conveniently integrating Pudong with downtown Shanghai. Meanwhile， majestic skyscrapers and other modern infrastructure mushroomed in the new area to grace its landscape. As a witness and participant of this drastic transformation， Wei often stops to take a pensive look at the new landmarks of his hometown， such as the Shanghai Tower， Jinmao Tower， and Shanghai World Financial Center， some of which he participated in the construction of， when he passes by. To him， Pudong is like a child that has grown up in front of his eyes.
Strategic Significance
Pudong is located on the eastern bank of the Huangpu River. At 1，210 square kilometers， the area accounts for one fifth of Shanghai in size， and is home to one fourth of the city’s population， or 5.52 million. Before the development drive， Pudong was largely a sleepy farming area with scant industries， lagging far behind Puxi in economic and social development.
The decision to develop and open up Pudong was made at a critical juncture of China’s reform， openingup， and modernization drive， and has great strategic significance for the following reasons.
Pudong was an icon of continued reform and opening-up in the early 1990s， when Chinese reform encountered a multitude of challenges. The decision showed China’s resolve to proceed with reform and opening-up， and its confidence in its success. Deng Xiaoping was quoted as saying， “It is of prime importance to develop Shanghai； that city is a trump card. By developing Shanghai we shall be taking a short cut.” China played this trump card by juicing up Pudong， which set the stage for the country to seize the opportunities arising in shifts in the global industrial structure and division of labor， and get more integrated in economic globalization.
Opening up more room for local development， optimizing the distribution of industries， and upgrading city functions， the development of Pudong has accelerated Shanghai’s transition from an old industrial and commercial city to a modern economic hub that spearheads synchronized development in regions along the Yangtze River.
Pudong is also a test ground， as President Xi Jinping sees it. During a 2010 inspection tour he underscored the area’s roles as a window， an example， a pioneer， and a test ground. In the following years he made more comments on Shanghai’s development， underlining that the pilot free trade zone in the city should fully play its role as the test ground for deepened reform and broader opening-up across the country. Following the president’s instruction， Pudong has rolled out a raft of bold reforms and made a number of institutional innovations that can be applied to other parts of China， blazing a trail and garnering experience for further reform and opening-up.
Three Phases
Reform and opening-up has injected new life into Pudong， which now stands as a poster boy of this drive and an epitome of Shanghai’s modernization progress.
Remarkable achievements have been made on every front of local economy and society. From 1990 to 2017， its GDP grew at an annual rate of 15.1 percent. Its revenues increased by 350-fold from RMB 1.1 billion to RMB 393.8 billion between 1993 and 2017. Per capita disposable income tripled between 2003 and 2017 to north of RMB 60，000. Investment in fixed assets has exceeded RMB 2.3 trillion.
Over the past 28 years， the development of Pudong can be divided into three phases. The first was from 1990 to 2000. During this decade， the region took a lead in opening-up， and underwent strong growth， which transformed its landscape with the passing of every year. It was the first in China to establish a finance and trade zone， export processing zone and bonded area， and approved the nation’s first foreignheld bank and foreign-funded insurance company. These efforts served as preparation and stress testing for China’s pending admission to the WTO. The second phase was from 2000 to 2012， the year the CPC convened its 18th National Congress. Dur- ing this period， when China joined the WTO and hosted the Shanghai World Expo， Pudong accelerated opening-up， which in turned further fueled reform and local development. It was the first to launch comprehensive and integrated reform， provided essential services to the 2010 World Expo， and led the way nationwide in reforming the socialist market economy system， transforming government functions， and furthering coordinated development in urban and rural areas. Such progress is critical to Shanghai’s ambition in becoming an international economic， financial， trade， and shipping center. In 2009 the neighboring Nanhui District was merged into Pudong， giving it more room for development.
The third phase is from 2012 to now. This period marks deeper reform， more opening-up and innovation-driven development. A pilot free trade zone opened in Pudong in 2013， bringing about institutional innovations in fields such as investment， trade， finance， and supervision. As a linchpin in Shanghai’s drive to build itself a world-class science and technological innovation center， the area has steadily improved its capacity for independent innovation， and consequently the quality and efficiency of development. It is now a strong player in international cooperation and competition in economy and science and technology.
Pudong， accounting for one fifth of Shanghai’s territory and one fourth of its population， contributes to one third of its GDP. The former backwoods is now home to many firsts in China and the world – China’s first finance and trade zone （Lujiazui）， highest building （Shanghai Tower）， first bonded area （Waigaoqiao）， first stock exchange （Shanghai Stock Exchange）， first domestically produced large passenger plane（C919）， first Comprehensive National Science Center （Zhangjiang）， first administration of overseas talent， and the world’s largest deep-water port （Yangshan）.
Born out of China’s reform and opening-up and growing up along with them， Pudong is now carrying forward the cause to greater success， and exerting its influence worldwide.