Challenges and Strategies for Chemical Parks in China

China`s approximately 600 chemical parks are currently in a situation that at first glance seems quite enviable. As the government has mandated the relocation of chemical production into chemical parks and imposed tight deadlines, attractive chemical parks get a large number of enquiries from potential tenants. As a consequence, they can afford to be selective. On average, many accept only 30-40% of all applications, and this figure can go down to as low as 10% in specific locations. Some provinces have set up high entry barriers for allocating space in chemical parks, e.g., Shandong province asks for a minimum investment of 300 million RMB for production of hazardous chemicals.