#China #Shanghai #BASF #Shanghai Development #ZF Group

Green Development Blossoms in Shanghai

As we approach the year 2025, a significant milestone is upon us—the 20th anniversary of the famed "Two Mountains Theory." This revolutionary concept highlights the idea that clear waters and lush mountains are invaluable assets to our society, laying the groundwork for green development in China. Shanghai, a bustling metropolis and the epicenter of reform and innovation, is at the forefront of this movement, showing remarkable progress on its journey towards a sustainable future.

During the National Ecology Day celebrations on August 15, prominent figures, including Qiu Wenjin, the deputy director of the Shanghai Development and Reform Commission, unveiled the city’s achievements in creating application scenarios for eco-friendly initiatives. Shanghai has focused on advancing green technologies and low-carbon industries. As of mid-2025, the city has made impressive strides that include:

• - New Energy Vehicles (NEVs): Over 1.8 million NEVs are now on the roads, reshaping urban transportation.
• - Green Construction: The city boasts 437 million square meters of green buildings, with 17 million square meters being ultralow energy structures.
• - Infrastructure for Sustainability: More than 1.05 million charging stations and 254 battery swap stations have been established.

The momentum behind these changes is fueled by diverse policies aimed at fostering a green and low-carbon business environment. International companies are flocking to the region, eager to capitalize on opportunities within Shanghai’s burgeoning low-carbon market.

A New Benchmark: ZF Group's Remanufacturing Center

One notable example of innovation in Shanghai is the recent opening of the ZF Group’s auto parts remanufacturing center in the Yangshan Free Trade Zone. This facility serves as a crucial green benchmark in the auto industry for the Asia-Pacific region. Relocated from downtown, this center significantly increases production space, enabling ZF to diversify its offerings and meet the rising demand from key markets across Southeast Asia, Japan, and South Korea.

Built with sustainability in mind, ZF aims to maximize production efficiency while maintaining a commitment to minimizing environmental impact. The center's location provides unique advantages such as streamlined maintenance services and support for overseas licensing, paving the way for effortless cross-border operations.

ZF Group has a rich history in China, dating back to 1980, and is recognized as the world’s second-largest auto parts supplier. Sustainability is a core aspect of ZF’s future direction, with initiatives aiming toward climate neutrality throughout the entire value chain by 2040. In light of China’s ambitious dual-carbon goals, ZF plans to cut its operational carbon emissions by 80% by 2030 from 2019 levels.

SKF's Role in Clean Technologies

Similarly, SKF, a Swedish leader in the bearing manufacturing industry, has focused on the principle of a circular economy. Wang Hui, president of SKF China and Northeast Asia, stated that the company's operations are completely powered by renewable energy, aligning perfectly with its mission to foster a more efficient and sustainable industrial landscape. From developing hydrogen-powered trucks that produce zero emissions to implementing cutting-edge carbon emissions management systems, SKF exemplifies the transition towards cleaner technologies.

Shanghai serves as a strategic hub for SKF’s activities due to its robust manufacturing base and supportive policies conducive to sustainable practices, such as recycling initiatives and remanufacturing programs. As a part of this commitment, SKF has recently launched projects aimed specifically at reducing carbon emissions, showcasing innovations such as a new lifecycle management strategy for bearings that adds value at every production stage.

BASF’s Commitment to Sustainability

In a related vein, BASF celebrates its 140th anniversary in China this year, signifying its dedication to driving innovation and sustainable practices. With its headquarters located in Shanghai, BASF collaborates with local entities to co-create sustainable solutions aimed at heightening the efficiency of various industries.

At the recent Shanghai International Carbon Neutrality Expo, BASF unveiled eco-friendly paper cup designs made using advanced recyclable materials, a clear representation of its efforts to promote a circular economy.

Overall, Shanghai’s green development narrative continues to unfold, with local and international companies collectively making significant contributions towards a low-carbon future. As more businesses join this pivotal movement, Shanghai is rapidly becoming a global leader in green development and sustainable innovation, reflecting a commitment that transcends mere compliance, evolving into integral business strategies for companies operating in the region. The success of these endeavors not only positions Shanghai as a city of the future but also as a beacon of green development worldwide.