By Dong Bei (Shanghai Start)
Updated: 2007-09-07 06:23

Xi'an, capital of the Northwest China's Shaanxi Province, is set to become another of the country's economic growth centers, its mayor said.

Speaking at the Inaugural Annual Meeting of New Champions, which kicked off yesterday in Dalian, Chen Baogen, mayor of Xi'an, said his city had rolled out strategies to develop both cultural and hi-tech industries as investment attractions.

Chen said one of the biggest hurdles was balancing fast economic growth, while protecting the environment and cultural relics of this once ancient capital.

"It is really a dilemma," Chen said.

Xi'an is home to one of the country's greatest historical legacies, the army of carved Terracotta Warriors, dating back more than 2000 years.

"Everyone knows the Terracotta Warriors are in China," he said.

"What we want is to everyone know they are in Xi'an."

Xi'an also boasts many universities, a talent breeding ground for its hi-tech development zone.

"The more than 700,000 students in over 70 universities and colleges in Xi'an are all valuable pools of talent," he said.

Chen said the city has the ability to encourage that talent to remain in Xi'an, as the city had comparatively low consumption prices to other prosperous regions.

There is also the city's historical and cultural appeal, he said.

The city is seeking more investment to help lift the standard of living for its many residents, Chen said.

The average personal income is still among the lowest of provincial capitals.

"We feel the pressure from the citizens, who want a good living environment," he said.

"All the projects and investment introduction should go under the premise that they will not pose severe threats to the environment.

"Our standard will always be that new projects should compliment the planning of the city as well as the long-term interests of the city's economy."

Many industries are gradually shifting their operations inland from the coast.

Low labor costs were a benefit for industry considering a move to Xi'an, Chen said.

"We have the human resources, industrial infrastructure and talent pool," he said.

(Shanghai Start 09/07/2007 page2)