Abstract
This paper adopts a case-comparison method to study the spatial layout features of maritime industrial development areas (MIDAs) in Liaoning, China, in reference to similar projects in other Asian countries including Japan, South Korea and Singapore. Our study focuses on industry-city spatial relationship, land position and proportion, coastline utilization intensity and industrial land organization. We show that supplementary residential and recreational land has primarily occupied the high-quality coastlines, and resulted in limited industrial access to marine resources. Our theoretical and empirical analyses connect this feature to local government finances, purchase restriction policy and an investment-driven surge in demand for coastal residential housing. Many areas now exhibit low utilization of industrial land accompanied by the emergence of “ghost cities” phenomenon, which are critical factors that the policymakers should consider in the future planning of coastal development. Interviews with local developers, housing authority personnel, relocated employees and residents confirm our findings. We conclude with policy recommendations for promoting long-term sustainable development in the coastal area.
Highlights
China is endowed with abundant marine resources and has recently oriented towards coastal industrial development to facilitate international trade through marine shipping1
Substantial national planning has been set in place for the establishment of maritime industrial development areas (MIDAs) and supplementary residential areas in the province of Liaoning, utilizing the natural coastal advantage of Bohai Bay and existing heavy-industrial production base
Our results reveal a causal relationship between real estate investment and local government fiscal revenue, which would reorient industrial expansion to luxury residential development
Summary
China is endowed with abundant marine resources and has recently oriented towards coastal industrial development to facilitate international trade through marine shipping. Substantial national planning has been set in place for the establishment of maritime industrial development areas (MIDAs) and supplementary residential areas in the province of Liaoning, utilizing the natural coastal advantage of Bohai Bay and existing heavy-industrial production base. Large-scale construction and relocation of industrial plants to MIDAs revealed serious planning deficiencies and subsequently led to low production efficiency, poor resource utilization and surplus supply of residential housing. This paper unfolds the spatial planning deficiencies in theoretical and qualitative perspectives, and empirically assesses the contributing role of local governments in shaping Liaoning’s coastal developmental patterns. Our results reveal a causal relationship between real estate investment and local government fiscal revenue, which would reorient industrial expansion to luxury residential development. We conclude with policy suggestions to central planners aimed to enhance economic efficiency and promote sustainable development in the long-run
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