In December 2012, the Henan Mengzhou Dezhong Public Bonded Center officially commenced customs clearance operations, marking a significant expansion of the Henan Free Trade Zone. Previously centered around the Zhengzhou Xinzheng Comprehensive Bonded Zone, the zone now includes this new facility in Mengzhou. As a county-level city under Jiaozuo City in Henan Province, Mengzhou has managed to outpace many prefecture-level cities and bring this major development into its economic landscape.
"Shock! Mengzhou Speed!" — this phrase became widely known after the rapid progress made during the construction of the bonded center. In April, the project received the land certificate, and within just one month, more than 20 different permits were obtained. On May 1st, the government started the construction headquarters on-site, addressing issues as they arose. With 17 construction teams working in shifts, there were no holidays, and everyone, regardless of their position, was fully committed. The project followed the motto: "A day is different, every day is different." Within a short time, infrastructure such as bonded storage areas, large exhibition spaces, and customs inspection centers emerged, becoming a striking feature of Mengzhou.
On December 12, 2012, Zhengzhou Customs Party Secretary Guan Chang Li Hongxian visited Mengzhou for the acceptance process. He was so impressed that he exclaimed, "Shock! Mengzhou Speed!" This remarkable speed helped establish the public bonded area in Mengzhou. The project spans 1,500 mu with a total investment of 1.5 billion yuan. Located at the intersection of the Mengzhou High-tech Industrial Development Zone and the Luoyang Geely Industrial Cluster, it benefits from an excellent transportation network, including proximity to the entrance and exit of the Erguang Expressway. It is positioned as a key railway and logistics hub in the region.
Why was the Bonded Center built in Mengzhou? Jianxiang, the executive vice president of the bonded center, summarized it in four points: strong industrial support, regional advantages, visionary leadership, and solid government backing. These factors accurately highlight the strengths of the bonded center.
Situated at the core of the economic zones of Luo (Luoyang), San (Sanmenxia), Ji (Jiuzhaigou), and Jiao (Jiaozuo), Mengzhou is the first county in Henan's key open counties and has consistently ranked among the top. When ranked by prefecture-level cities, it holds the fourth position. Local companies in Mengzhou are highly export-oriented. For example, Longfeng Fur Co., Ltd., the world's largest sheep shearing manufacturer, sources over 60% of its raw materials from Australia. Its products are sold in more than 95% of English, American, French, and German markets, and over 20 countries, including Russia, contribute significantly to Mengzhou’s foreign exchange earnings, accounting for over 50%. Other notable enterprises include Guangji Pharmaceutical Mengzhou Co., Ltd., which earns at least $6 million annually in exports, and a large alloy company jointly established by Zhongyuan Inner Company, Feimeng Diamond Company, and Wansen Company. These industries have positioned Mengzhou as a strong contender in the second bonded zone of Henan.
To build the bonded area, local leaders placed great importance on the project and actively coordinated efforts. They established the construction headquarters on-site and resolved problems immediately. “In just one month last year, we issued over 20 types of permits for the bonded center. We also actively coordinated demolition and relocation to ensure a smooth and green environment for construction,†said Guo Guipei, executive deputy director of the Mengzhou Industrial Cluster.
"The 'Golden Business Card' Attracts Customers from All Directions"
The Mengzhou Bonded Center has become a local "golden business card," attracting businesses from all over. As a platform for opening up the western part of Henan, it drives the flow of people, goods, information, and capital across more than a dozen cities. By offering duty-free storage and future remittance for imported materials, it eases the financial pressure on export-oriented enterprises, reduces production and operational costs, and attracts domestic and international merchants.
In July 2012, after reading about Mengzhou's bonded zone on the internet, a Hong Kong businessman flew in and declared, “I want to invest in Mengzhou!†In the following months, the bonded zone attracted over 5 billion yuan in investments, including projects from Shanghai Baosteel Remanufacturing and 1.08 billion yuan in hollow fiber technology. More than 20 companies have entered Mengzhou, bringing new opportunities.
“Mengzhou's export earnings reached $989 million in 2011 and hit $1 billion in 2012, with a projected doubling in 2013. The Bonded Center will bring significant economic benefits and opportunities to the city,†Guo Guipei said, expressing confidence in the future.
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