In 2014, the whole city has achieved a GDP of 68.8 billion yuan, with an increase of 8.8% over the previous year. The public finance budget revenue has achieved 4.96 billion yuan with an increase of 6.1%, and the proportion of tax revenue reaches 81.7%, with 2.8% higher than the provincial average. The demand pull is more balanced. The fixed assets investment in the whole city reached 54.5 billion yuan, with an increase of 15.4%.

Industrial Economy

Laiwu city boasts a sound industrial foundation and distinctive industrial characteristics. Known as “Green Steel City”, it is an important base for production and deep processing of steel in Shandong province. The steel industry plays a dominant role in Laiwu’s economy. As the largest production base of H-shaped steel and gear steel, it boasts three large iron and steel enterprises—Laiwu Steel Group Corporation, Taishan Steel Group Corporation and Jiuyang Group Corporation，with its citywide productivity amounting to 20 million tons. Coal mining, electricity, textile and machine manufacture are major non-steel industries in Laiwu city. Products like “combed yarn” have been pronounced as “Top Brand Products in China”. Laiwu is one of the eight production and exportation bases of auto parts as well as national base for industrialization of new materials with its production of high quality powder metallurgy materials ranking first in China. High-tech industries in Laiwu mainly include new materials, electronic information, new energy, fine chemical industry, etc.

Agriculture

With distinctive agricultural features, Laiwu is an important production base of special agricultural products. Ginger, garlic, Chinese prickly ash and juicy peach grow in profusion here. As “Home of Ginger in China”, “Home of Prickly Ash in China” and “Home of Juicy Peach in China”, it is also well known at home and abroad for the “Three Hot and One Spicy” (ginger, garlic, chicken-leg-like green onion and Chinese prickly ash) and the “Three Black and One Baikal” (Black Pig, Black Chicken, Black Goat and Long-haired Baikal Rabbit). The Agricultural High-tech Industry Demonstration Zone is planned to be constructed here due to its advantage in agricultural resources.

Service Industry

Mainly constituted by logistics, trade and tourism, the municipal service industry makes up 35.5 percent of the GDP. There are five key service industry parks in Laiwu, Xueye Tourist Area, Qilu Steel Logistics Park, the “Three Hot and One Spicy” Distributing Park in Agricultural High-tech Industrial Zone, Commerce & Trade Logistics Park of Laicheng Industrial Area, Gangcheng Central Business Area. Xueye Tourist Area has been made the provincial level service industry comprehensive reform pilot area and the pilot unit for national tourist vacation areas in Shandong.