China’s SOEs breathe life into Xi Jinping’s ‘city of the future’ Xiongan
As state-owned firms relocate to new metropolis, jobs travel with them – but is it enough to lure workers?
Sinochem Holdings and China Huaneng Group are among the latest to officially relocate their headquarters to Xiongan this month, each bringing about 1,000 employees, according to local authorities.
They join other SOEs like Beijing-Tianjin-Hebei Railway Company, which also moved in October, and China Satellite Network Group, which relocated its headquarters last year.
China Telecom has also built an industrial estate in Xiongan, with parts of the facility operational since May 2024. Designed mainly for R&D and office use, it will eventually accommodate about 6,000 employees working simultaneously.
Launched in 2017, Xiongan New Area, southwest of the capital, is part of broader efforts to coordinate development in the Beijing-Tianjin-Hebei region. That same year, Xi called the area’s planning and construction a “strategy of major historical significance” and a “historical initiative”.
Officials hope the city will relieve Beijing of some non-capital functions and ease congestion, while the SOEs that have relocated there are now drawing more investment and people – though the 100km (62 mile) distance from Beijing poses challenges for staff.