SCODA: Pooling the SCO Strength and Generate Momentum for Opening-up
The perspective is bright for the frontier of opening up. Since 2022, SCODA has focused on "building a new platform for Belt and Road international cooperation", actively served and emerged into the national opening-up, enhanced the guiding role of platforms for opening-up, and aimed at "delivering substantial and pragmatic results, and improving the reputation and recognition of SCODA". It accelerated the development of "four centers" for international logistics, modern trade, two-way investment, commercial, tourism and cultural exchange and the China-SCO Institute of Economy and Trade. "Building platforms, creating models, aggregating industries and strengthening entities" have been prioritized to form synergy, encourage innovation and share benefits through opening-up, thus making contributions to the high-level opening up of the province with SCO strength.
Create an International Channel for Connectivity
On December 18, 2022, the first train of the China-Europe Railway Express (Qilu) South Channel "Cross-Two Seas" line loaded with goods including new energy vehicles, solar power modules and daily supplies departed from the Multimodal Transport Center of SCODA, and headed for Slovenia's largest port Koper. It is the 19th international train route opened in SCODA. It marks the successful operation of the "Cross-Two Seas" line in SCODA, further expanding the international logistics channel to Europe.
The launch of the China-Europe Railway Express has strengthened the ties between SCODA, SCO countries and countries along the Belt and Road. Up till now, SCODA has run 29 international and domestic freight train routes to Dushanbe of Tajikistan, Bishkek of Kyrgyzstan and Hamburg of Germany, accessing 53 cities in 23 SCO countries and countries along the Belt and Road. An international logistics corridor connecting Japan, ROK in the east, Mongolia and Russia in the north, ASEAN in the south, the SCO and countries along the Belt and Road in the west has been built. In 2022, SCODA has run 775 China-Europe Railway Express (Qilu), up by 24.8% year on year.
Logistics is the "artery" of unimpeded trade. Since 2022, SCODA, with SCO International Superport of "sea, land, air and railway" as its main base, has accelerated the construction of the International Logistics Center, opened the "China-Russia Express" in SCODA–Vladivostok Port route, and the "SCO Express" in SCODA–Moscow cross-border e-commerce charter flights, and put the Qingdao Airport Comprehensive Free Trade Zone into operation, the first comprehensive airport free trade zone in Shandong Province, thus further expanding its multimodal transport functions.
In addition, SCODA has implemented the "Digital One Bill System" for multimodal transport, deepened its cooperation with Russian Railways and Kazakhstan Railways, and accelerated the construction of a customer service center for Asia-Europe freight trains. Meanwhile, the Xinjiang branch of SCODA was established in cooperation with the 12th division of Xinjiang Production and Construction Corps and Shandong Hi-Speed Group, which fully integrated the logistics resources of Shandong and Xinjiang, deepened and expanded international logistics cooperation.
Innovation Promotes Deeper and More Pragmatic Economic and Trade Cooperation
Recently, at the SCO Nut Trading Center located in SCODA, the first batch of 3,000 tons of Afghan pine nuts has arrived at the warehouse, ready to be sold to the domestic market. "It only took 15 days for this batch of goods to be shipped to China from the beginning of the negotiation. Through the China-SCO Local Economic and Trade Cooperation Comprehensive Service Platform (hereinafter referred to as "SCO Comprehensive Service Platform"), not only were we able to access customers directly, but also completed the customs declaration, commodity inspection, transportation and insurance in one stop, saving two thirds of the time." said Asala, Chairman of the Alhaj Mohammed Naz Sadat Company in Afghanistan.
The SCO Comprehensive Service Platform mentioned by Asala is the first one-stop public service platform for local economic and trade cooperation in China towards SCO countries. Under the guidance and support of the General Administration of Customs, Xinhua News Agency, National Office of Port Administration and other institutions, and by leveraging China International Trade Single Window, the platform will be built into an economic and trade information service center and data exchange center between China and the SCO countries, thus providing demonstrative solutions for the economic and trade opening-up and integration among SCO countries. The version 1.0 of the platform focuses on deepening the industrial chain and supply chain cooperation with SCO countries. It consists of three main functions such as comprehensive information display, comprehensive function application and comprehensive data release, and eight application modules and 73 sub-functions, providing a full-cycle comprehensive service system of "trade + customs clearance + logistics + finance" for the economic and trade cooperation between China and SCO countries.
The SCO Comprehensive Service Platform is an epitome of SCODA's efforts to build a bridge to facilitate economic and trade exchanges among SCO countries. Since the beginning of its construction, SCODA firmly focuses on the fundamental origin of deepening and expanding economic and trade cooperation with SCO countries and countries along the Belt and Road. It continuously enhances economic and trade facilitation, explores and innovates trade models, expands and strengthens trade, and attracts high-quality resources and factors and broad market demands from both domestic and foreign markets to have exchanges and interactions. At present, SCODA has more than 1,800 foreign trade enterprises, covering mechanical and electrical products, agricultural products, textiles and other categories. Meanwhile, it has brought in and cultivated ten trading platforms and four cross-border platforms, signed the first RCEP Certificate of Origin for the ROK, and the first Certificate of Origin of China-New Zealand Free Trade Agreement.
These platforms serve as the hard strength and support of high-quality development. SCODA has actively set up new scenarios for economic and trade cooperation, providing a broad platform for economic and trade cooperation among SCO countries.
The Qingdao·SCODA Pearl International Expo Center, for example, is a new platform for economic and trade cooperation and cultural exchanges for SCO countries. It provides an immersive cultural and trade exhibition area for every SCO country, and aims to create a comprehensive new space for interaction and integration of diverse business forms and a one-stop cultural experience for SCO countries. It is worth mentioning that, during the Fifth China International Import Expo, the development achievements of SCODA were displayed at the exhibitions of opening-up achievements of China, Shandong and Qingdao, becoming a new image and representative of high-level opening up. For the first time, the SCODA exhibition area was displayed at the China International Import Expo. "SCO elements" have been integrated into the CIIE platform, and the spillover effect of the exhibition becomes more prominent.
In addition, with a focus on "cultivating talents" for SCO countries and serving as a platform for multilateral economic and trade cooperation, SCODA has made solid progress in the construction of the China-SCO Institute of Economy and Trade. Since 2022, 78 courses including the cross-border import basic class special for Kazakhstan have been organized, attracting a total of over 6,000 trainees, and accelerating the construction of an open platform of science, education and industry with SCO characteristics and international influence.
Promote High-Quality Development with Institutional Opening-up
SCODA has been carrying out pilot projects and seeking breakthroughs and independent reform audaciously. It promotes high-quality development with institutional innovation, and further steadily expands the necessary measures for institutional opening-up including rules, management and standards.
Since its inception, SCODA has aimed at promoting trade facilitation and upgrading the level of economic and trade cooperation among SCO countries, and built an innovative brand of "Intelligent Innovation at SCODA". 56 institutional innovation cases with distinctive SCO features, including Credit SCO, SCO · Bank Customs Pass, and SCO · Exchange Insurance Pass, have been launched. A policy and institutional innovation system of "four facilitation and one pioneer" has been formed to provide solutions to boost trade facilitation and upgrade economic and trade cooperation among SCO countries, including logistics and transportation, trade development, production capacity cooperation, commercialization of scientific and technological achievements, free flow of personnel and facilitation of financial supply.
In 2022, in terms of the innovation of logistics and transport facilitation, SCODA has established a southern Trans-Caspian transport corridor for the China-Europe Railway Express. The scheduled lines that regularly run to Baku in Azerbaijan, Tbilisi in Georgia and Izmit in Turkey adopt a multimodal transport mode of "international railway + water transport", saving about one-third of the time compared with conventional sea-land multimodal transport, and effectively guaranteeing the stability of the international industrial chain and supply chain. The Customer Service Center of the Eurasian Railway Transport provides whole-process services covering domestic and overseas railways, such as the assembly, deployment and transfer, effectively meeting the diversified demands of customers in logistics and financing.
In terms of the innovation in trade facilitation, SCODA has established a collaboration mechanism between SCODA and the customs for corporation credit certification in taxation, adopted the certification mode of "customs-led + government support + third party participation", and conducted AEO and A-class tax credit cultivation and certification for key enterprises, so as to enable the enterprises to enjoy both customs clearance convenience and tax incentives. The AEO qualification is a "green" passport for global trade. After the mutual recognition agreement is signed between countries (regions), the inspection rate of enterprises with AEO certification can be reduced by 60% to 80%, and the time and cost of customs clearance can be reduced by more than 50% when goods are imported and exported between home countries and mutual recognition countries. At present, SCODA has reached cooperation intentions with Uzbekistan, Armenia, Pakistan, Azerbaijan, Sri Lanka and other SCO countries, and will gradually promote mutual recognition of AEO with relevant SCO countries and enhance trade facilitation.
In the innovation of production capacity cooperation, SCODA has innovated the mechanism of "sister city cooperation + interaction between twin industrial parks", held nearly 300 economic and trade exchanges with cities and industrial parks in 19 countries, including Russia, Uzbekistan and Belarus, and facilitated the signing of memorandums of cooperation with 37 industrial parks and institutions in 18 countries, thus deepening and strengthening SCO local economic and trade cooperation.
In the innovation of facilitation for scientific and technological cooperation, SCODA has deepened the application of the Handle Identification Resolution System, and accelerated the construction of the City Information Model (CIM) to empower the construction of green intelligent industrial parks. In terms of facilitating the free flow of people, it will explore the establishment of international offshore innovation and entrepreneurship base for talents.
Expand the Circle of Friends to Enhance Internationalization
Recently, SCODA signed a memorandum of cooperation with the Kazakhstan Investment Cooperation Agency. In the future, the two sides will give full play to their respective advantages, deepen cooperation in logistics and warehousing, import and export, two-way investment and other fields, and jointly hold or organize enterprises to participate in various economic and trade activities to achieve win-win development.
This is the first concrete outcome of SCODA's active implementation of relevant cooperation intentions after the delegation returned from the visits overseas. From the end of October to early November 2022, in order to further follow up on the outcomes of the Samarkand Summit, SCODA sent delegations to SCO countries to carry out a series of promotion activities. The delegations visited Russia, Kazakhstan and Uzbekistan, held a number of economic and trade exchanges, and signed eight cooperation agreements with foreign parties in cooperation along with Qingdao enterprises. Everywhere the delegations went, they were warmly welcomed by the local government, business associations, the business sector and media, and received comprehensive guidance and support from the Chinese embassies and consulate generals there.
Foreign exchanges have broadened the path of exchanges and cooperation. Since its inception, SCODA has innovated its cooperation mechanism, opened up new channels for foreign exchanges, and created a new brand of foreign exchanges, such as the "Sister City Cooperation for a Shared Future". Centering on local economic and trade cooperation, SCODA has extended the exchanges to legal, tourism, education and culture and other fields. Online and offline activities between sister cities have been held regularly, and a three-dimensional sister city exchange system has been established in various forms.
So far, SCODA has hosted nearly 300 economic and trade dialogues, established regular liaison mechanisms with the embassies of 20 SCO countries in China, and hosted or organized more than 50 events including the 2021 SCO International Investment and Trade Expo, the Second Belt and Road Energy Ministerial Conference, the 2022 SCO Summer China-SCO Countries Youth Gala Week, etc., expanding international exchange channels and space in an all-round way.
Open exchanges and cooperation have brought lasting synergy for SCO. Currently, SCODA has organized over 50 events themed on "Sister City Cooperation for a Shared Future" with 37 cities and industrial parks from 14 countries, and thanks to which, Qingdao has established sister city relationships with 4 cities and friendly cooperative cities relationships with 7 cities from SCO countries, further expanding SCODA's circle of friends.
New development highlights new growth driver and the new pattern calls for new action. Guided by the spirit of the 20th CPC National Congress, SCODA will take advantage of the significant development of the SCO, constantly improve the operation level of the Qingdao·SCODA Pearl International Expo Center with an international perspective, deepen the building of the version 2.0 of the China-SCO Local Economic and Trade Cooperation Comprehensive Service Platform, and consolidate the "hard and soft" supporting platforms to serve local economic and trade cooperation. It will also accelerate the development of platforms such as the Qingdao International Energy Exchange, the SCO International Hub Port, and the Sco Avenue Headquarters Economic Belt. It will create new models for facilitating international logistics, modern trade, production capacity cooperation, and people-to-people exchanges, and focus on expanding and strengthening industrial clusters in energy, marine (wind power) equipment, industrial Internet, and cold chain equipment. And it will strengthen the empowerment of capital, human resources and business environment, accelerate the gathering of market entities with SCO elements, and seek more substantial breakthroughs in building a new platform for Belt and Road international cooperation.