Digital economy surges in South Hongqiao Area

The South Hongqiao Area is a key part of the Hongqiao International Open Hub and is becoming a new center of the digital economy in Shanghai due to a large number of companies that specialize in the field having set up offices in the area, according to a Shanghai official.

Su Zhihe, head of the enterprise department of Shanghai Municipal People's Government's cooperation and exchange office, made the remark at a round table discussion on the digital economy that was held in the South Hongqiao Area on April 20.

In recent years, many renowned companies including e-retailer Vipshop, e-commerce technical service provider SaaS ERP and Glodon, have set up operations in the South Hongqiao Area.

In 2022, the taxation revenue of the area's digital economy sector totaled 551 million yuan ($79.63 million), up 37.1 percent year-on-year. The figure is expected to reach 700 million yuan this year.

To accelerate the development of the digital economy, the South Hongqiao Area's administration plans to carry out a series of measures this year to create an optimal innovation and development environment and attract more companies that specialize in the digital economy.