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Jingyue Laser Industrial R&D Base Project of Changchun City
2017/03/23     Source:

1. Introduction to Project

1.1 Background of Project

1.1.1 Introduction to Project

A bunch of laser will be able to cut off a 10cm thick, 30cm wide steel plate in 10 seconds. A laser 3D printer can print 45 kinds of parts and be applied to more than 20 kinds of space engines, launch vehicles, satellites and missiles and other equipment. Today, laser technology has been widely used in electronic products manufacturing, aerospace, rail transportation, automobile manufacturing, brittle materials processing, fast moving consumer goods and other 360 industries. Jiang Feng, the secretary general of Wuhan Laser Association of Optical Valley, said that the laser industry will be hot by bucking the trend under the pressure of the economic downturn.

The project will construct laser technology research and development center, semiconductor laser academician workstation, laser technology business incubator, laser industry base, international cooperation, inspection and testing, information services and other public service platforms and supporting service areas.

1.1.2 Market Analysis

1Analysis of China's Laser Industry

Laser technology has a significant amplification effect in national economy. Laser technology industry is not a simple industrial technology, but an enterprise-led national strategic pillar industry which government policies preferentially support and actively participate. A few developed countries currently dominate and control the global laser technology and industry direction, such as Germany, United States, Japan, and Russia. Among them, the German industrial laser is a world leader. The largemanufacture industries of the major countries in Europe and America, such as machinery, automotive, aviation, steel, shipbuilding, electronics and other industries, have basically completed to change traditional craft by laser processing craft, and entered into "light processing" time. China's laser processing level and the overall level of manufacturing are at a critical stage to keep up with Europe and America.

The "13th Five-Year" scientific and technological innovation plan clearly pointed out that China should vigorously promote the manufacturing industry to develop towards being intelligent, green, and service-oriented based on constructing a powerful manufacturing country. The development of network collaborative manufacturing technology mainly focuses on the innovative design based on the "Internet +", the intelligent networking based on the factory, manufacturing resources integrated control, full life cycle manufacturing services and other key technologies. The development of green manufacturing technology and products mainly focuses on redesign, refabrication, resource regeneration and other key technologies to promote the production mode of production and industrial innovation.

2Analysis on the Market Trend of China 's Laser Industry

①The Formation of Semiconductor Laser Industry

China's semiconductor laser technology kept pace with foreign development in early times, but has been hovering in the scope of scientific research by the long-term impact of the lagged development of the industry. With the rapid economic development and industrial progress, as a high-tech industry, the semiconductor laser industry has got huge improvement in the new century.

China's semiconductor laser industry is developing rapidly. Some domestic semiconductor laser equipment and light source technology have reached the international advanced level. By 2011, China's semiconductor laser industry has begun to take shape. At present, China's LD epitaxial materials, chip manufacturing, and period packing have been mastering the cell technology of independent intellectual products, and part of the core technologies have originality, which initially formed a relatively complete R & D and industrial system from upstream material, chip preparation, midstream packing and integation and application.

②The Distribution Pattern of Semiconductor Laser Industry

China's laser enterprises have group aggregation, which are mainly distributed in five industrial belts: the Pearl River Delta, Yangtze River Delta, central China, Circum-Bohai Sea Region, as well as the emerging northeast industrial revitalization zone. What’s more, the western belt will take shape. In particular, a lot of laser enterprises have well development in Northeast Industrial Zone. The emphasises of these five industries are different. Pearl River Delta is based on small and medium-power laser processing machine, Yangtze River Delta is based on high-power laser cutting welding equipment, Circum-Bohai Sea Region is based on high-power laser cladding and solid-state laser, while central China, led by Wuhan, covers the large, medium and small laser processing equipment.

3The Growing Demand of Downstream Market 

At present, laser processing and manufacturing technology are currently showing a rapid development trend, and domestic laser processing industry is also facing an excellent opportunity and challenge. Because of the growing demand of laser processing applications market and the existed new pattern of international competition, laser processing technology needs a huge breakthrough and development, so the opportunity is irresistible.

Optoelectronics industry is one of the pillar industries in the 21st century, of which laser and laser technology is one of the basic technologies. China’s 12th Five-Year Plan aims to accelerate the transformation of economic development and adjust economic structures, one of the main objectives and tasks of 12th Five-Year Plan period, and see strategic emerging industries as pilot, pillar industries, which is beneficial to the constitution of electronic components industry in a long term and the the development of the industry. With the progress of laser technology and the development of application, the demand of laser-related components market will increase constantly. The demand of laser applications for laser power, reliability, energy consumption, ease of use and other aspects will be higher and higher in the future.

4An Analysis of the Necessity of Developing this Project

① The Large Gap in Technical Strength Compared with Foreign Countries

With the development in recent years, China's high-power semiconductor lasers development and production technology have a certain foundation and strength, but we still have a certain gap compared with the rapid development internationally. China still needs to make great efforts to develop practical high-power semiconductor lasers to catch up with the international advanced level, especially in semiconductor laser chip technology.

Although the semiconductor laser has been relatively mature and widely used,  the performance of high-power semiconductor laser should be further improved, such as the laser performance is greatly affected by temperature, the divergence angle of light velocity is large, and the life and reliability of lasers should be further improved. There exist great differences among domestic laser technology from that in Japan, the United States and other advanced countries, especially the blue laser which has been developing rapidly in recent years. Nowadays, China has many problems in laser industry, such as poor innovation ability, less high-grade laser products, low degree of automation and intellectualization, unaffordable cost-effective products and the lack of market competitive ability.

② Key Materials and Parts Cannot be Self-sufficient, with Reliance on Imports

Concerning the development and production of semiconductor laser core component ──semiconductor laser chip, it has been subject to epitaxial growth technology, cavity surface passivation technology and device manufacturing process level, so in China, there exists a big gap in the power and life of semiconductor laser compared with foreign countries. This leads to that China’s practical high-power, long-life semiconductor laser chip mainly depends on imports, which directly causes the price of semiconductor laser system in China to stay at a high level, seriously affecting the applications of high-power semiconductor laser and limiting the research and development of high power fiber laser.

The demand of defense economic construction for semiconductor laser, the core component of laser industry, is growing obviously. But the United States restricts the export of high-power semiconductor lasers for China, which seriously affects the development of China’s technology. In order to provide strong support for China’s semiconductor laser industry, it is urgent to realize the localization of LD chip.

③ The Industrial Structure of China's Semiconductor Laser Industry is Not Very Reasonable

The number of midstream and upstream enterprises are small, production and technology have lagged behind the enterprise of Europe, the United States and other regions. The development of domestic packaging and application product industry is growing rapidly, which became one of the important bases of LD applications in the world. Epitaxial industry and chip industry are the ultimate strength of the development of the semiconductor laser industry, meanwhile they are the industries which have large technical content and investment density, requiring the support of country and policies, breaking the research and development of core technology, forming independent intellectual property rights to deal with the international patent issues of semiconductor laser. In recent years, the manufacturers of LD epitaxy and chip which have a certain foundation have invested in financing expansion to seize the industry and opportunities, but the key technology research should be further breakthrough.

 The High-end Talent Shortage of Industry Development

Concerning the problem of human resource, with the implementation of China's "12th Five-Year Plan", the semiconductor laser industry which belongs to the high-tech industry will bring great development opportunities for the laser processing industry. National industrial policy will provide a strong support for the laser industry in the next five years, and China is becoming the largest laser processing application market in the world. The local governments of China pay attention to the development of the laser industry, such as Wenzhou is building "China's laser industry cluster", Liaoning Province came up with "trying best to build Anshan, Liaoning Laser Industrial Park", Wuhan will build a world-class "laser industry base". The rapid rise of the laser industry makes it shortage of talents.

⑤ The Lagging Application Research Hindered the Entire Industry to High-end Development

At present, the application research of laser industry in China is lagging behind, so that the whole industry chain cannot form a positive feedback, which is hindering the development of the entire industry. On the other hand, the input of the application is not enough, which results in the poor ability of conversion of scientific research into productivity, and many results which have market prospects still remain in the stage of experimental prototype. What’s more, the promotion of the application of laser technology is not enough and lacks practices.

Thus it can be seen that it is necessary to develop this project.

1.1.3 Favorable Conditions for Project Construction and Necessity

1Policy Advantage

The guidance and support of the government are necessary to develop the laser industry. From today's laser market development and government guidance, we can see that as a high-tech, "promoting manufacturing industry" brings greater development opportunities for the application of laser technology. China lists laser processing technology which involves national security, national defense construction, the industrialization of high-tech and cutting-edge technology development as a key supporting technology. This will bring great business opportunities for the manufacturing and upgrading of laser processing machine.

Jingyue High-tech Zone introduced a series of most referential support policies based on the new situation and conditions, which offers protection for the development of the industry. In addition, it launched the western new district which covers an area of 53.8 square kilometers, creating the most suitable space for development.

2Environment Advantage

Jingyue High-Tech Zone has a large area of ecological resources, and forest water area reaches 243 square kilometers, accounting for 51% of the area. The east side is Jingyue Pond National Forest Park. With more than 100 square kilometers area, here, beautiful scenery with cascading mountains catches people’s eyes. Owing to the fact that the oxygen content is high here, the park is called "natural oxygen bar" and "the lung of Changchun". The south is the New Lake National Water Conservancy Scenic Area, with an area of 107 square kilometers. Sharing fascinating views with glistening ponds, the placed has a honor of “the pearl of Changchun”. Yitong River, located at the west side, is the mother river of Changchun. And the Jingyue high-tech section, like a jade belt in the city, is up to 13.3 kilometers, and the city is going to build the Yitong River Scenic Belt.

3Location Advantages

From the geographical and traffic conditions, Jingyue High-Tech Zone is located in the heart of the Northeast Plains hinterland, the southeast of Jilin Province capital of Changchun City, and the radiating surface will cover northeast three provinces. Besides, there are three expressways and two high-grade highways connecting Changji, Changping and Changha. The development zone is 16 kilometers away from Changchun Railway Station and 28 kilometers away from Changchun Longjia International Airport. Now, 41 domestic and international routes have been opened. And first stage of Changchun Jingyue light rail line is up to 17 kilometers. Thus 9,930 people can be delivered one-way per hour, and 108,000 passengers can be delivered each day. The light rail provides convenient and rapid traffic services.

1.2 Construction Contents and Scale of Project

1.2.1 Product Scheme and Scale

The project site is located in Jingyue High-tech Zone, covers an area of 400,000 square meters, and the construction area is 500,000 square meters. It plans to construct Jingyue laser industry research and development base of Changchun City.

1.2.2 Construction Contents

Constructing laser technology research and development center, semiconductor laser academician workstation, laser technology business incubator, laser industry base, international cooperation, inspection and testing, information services and other public service platforms and supporting service areas.

1.3 Total Investments and Funds Raising of Project

The total investment of the project is 3 billion yuan, including construction investment of 2.5 billion yuan and working capital of 0.5 billion yuan.

Table 1Summary List of Total Investments of Project      Unit: 10,000 Yuan

Serial No.

Name of Expense

Investment Amount

Percentage to Total Investment



Construction Investment





Interest Incurred in Construction Period





Working Capital





Total Investments of Project1+2+3




1.4 Financial Analysis and Social Evaluation

1.4.1 Major Financial Indicators

Without considering the real estate income, it is expecting that the annual comprehensive sales revenue will reach 300 million yuan and achieve an annual profit of 80 million yuan in this project. The investment payback period is 6 years (after tax, including the construction period of 1 year), and the profit margin of investment is 16.67%. 

Table 2List of Major Indicators for Financial Benefits Forecast

Serial No.






Operating Income

10,000 Yuan/a


Normal Year


Total Profits

10,000 Yuan/a


Normal Year


Financial Internal Rate of Return of All Investments



After income tax


Financial Net Present ValueIc=10%

10,000 Yuan


After income tax

operation period of 12 years


Payback period of All Investments



Including construction period of one year

(after tax)


Profit Margin of Investment




Note: the "10,000 Yuan" in the table refers to RMB.

1.4.2 Social Evaluation

The implementation of this project can adapt to the industrial development plan of Changchun City, which can promote the development of local economy, provide jobs, promote the progress of deep processing products technology, realize industrial upgrading, optimize the industrial structure, attract high-end scientific and technological personnel and internationaladvanced technologies into the park, break through and master a number of core technologies, develop a number of technologies and products of independent intellectual property rights, incubate a number of high - tech enterprises, and form a number of competitive technology brands. This project has a significant social benefit.

1.5 Cooperative Way of Project

Joint venture, cooperation.

1.6 What-to-Be-Invested by Foreign Party

Investment method can be negotiated face to face.

1.7 Construction Site of Project

Jingyue Hi-tech Industrial Development Zone of Changchun City

1.8 Project Progress

In business invitation.

2. Introduction to Partner

2.1 Basic Conditions

Contact UnitInvestment Promotion Fourth Bureau of Jingyue High-tech Industrial Development Zone, Changchun City

AddressNo.1572 of Fuzhi Street, Jingyue High-tech Industrial Development Zone, Changchun City

2.2 Overview

Jingyue High-tech Industrial Development Zone was established in August 1995, originally known as Changchun Jingyue Pond Tourism Economic Development Zone. In March 2006, it changed its name to Changchun Jingyue Economic Development Zone. In August 2012, it was successfully promoted to national high-tech industry development zone, and won the national e-commerce demonstration base, the national advertising demonstration park, the national modern service industry digital media industry base and other national awards. After this approval, Jingyue area ushers in the historical opportunity of a new round of major development and rapid development. Jingyue Hi-tech Zone adheres to the "eco-oriented, culture as soul, services for the usage" development principles, and promotes

integration development of cultural industries, high-tech industry and modern service industry. Within 5-10 years, it will build China's ecological Silicon Valley, world first-class science and technology innovation-oriented eco-city, leading the dominant industry of Changchun City to upgrade, and providing experience and demonstration for comprehensive reform pilot area of the national service sector. 

The richness and degree of aggregation of high-tech science and education resources of Jingyue High-tech Development Zone remains the top place in the country. It is the seat of Northeast Normal University, Jilin Agricultural University, Jilin University of Finance and Economics, Huaqiao Foreign Languages Institute etc. 15 institutions of higher learning, with up to 200,000 college students. Strong scientific and technological foundation, strong scientific research strength, rich cultural atmosphere provides a strong support for the development of high-end industry.

In February 2013, Jingyue High-tech Development Zone formulated a series of preferential policies for the new national high-tech industrial development zones, and the high-tech industry projects settled in the zone can enjoy measures  for innovation and development special funds of Jingyue Hi-Tech Zone, opinions of Jingyue Jingyue Hi-Tech Zone for implementing 535 talent plan, the construction of ‘China's eco-Silicon’, policies of Jingyue Jingyue Hi-Tech Zone for supporting investment and financing, policies of Jingyue Jingyue Hi-Tech Zone for supporting technological innovation of enterprises, and policies of Jingyue Jingyue Hi-Tech Zone for supporting high-tech services industry etc.

2.3 Contact Methods

Project UndertakerManagement Committee of Changchun Jingyue High-tech Industrial Development Zone

AddressNo.1572 of Fuzhi Street, Jingyue High-tech Industrial Development Zone, Changchun City

Contact PersonWang Dan



Contact Methods of Project City (Prefecture)

Contact UnitChangchun City Economic and Technological Cooperation Bureau

Contact PersonBo Zhanlin

Telephone0431-82763933  82765252



Website of City/Prefecturehttp://www.ccmbc.com/


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