Shenzhen’s Longhua District has secured a top 10 ranking among Chinese urban districts for nurturing national-level specialized, refined, distinctive and innovative “little giant” enterprises, with 138 such firms recognized, according to a recent report by People’s Daily Online Research Institute. This achievement underscores Longhua’s role as an innovation powerhouse in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA).

The district’s success stems from a comprehensive framework designed to empower small and medium-sized enterprises (SMEs). By categorizing eligible enterprises into three tiers—innovative SMEs, specialized, refined, distinctive and innovative SMEs, and “little giants”—Longhua has established a dynamic cultivation mechanism.

Currently, it hosts 10 national, 28 provincial and two municipal-level industry leading enterprises; seven national key “little giants;” 1,842 specialized, refined, distinctive and innovative SMEs (ranking third citywide); and 2,940 innovative SMEs (second citywide). Enterprises are guided to address gaps in qualifications, with targeted support for those nearing evaluation standards and long-term tracking for others.

To enhance accessibility, Longhua combines online and offline services. Digital service platform are established to deliver policy updates via SMS and social media, while the district authority, subdistrict offices join forces to organize workshops, distributes handbooks and offer one-on-one application coaching. In 2024 alone, over 20 themed seminars participated by over 2,000, and 97 talent housing units were allocated to 77 SMEs to bolster recruitment and retention.

Building on its progress, Longhua aims to double its national “little giant” count and innovation platforms by 2030, targeting 6,000 national high-tech enterprises and a top-10 spot in China’s innovation rankings.

The district mull revamping its current manufacturing industrial policy mechanism into a package covering one guideline fostering high-quality industrial development and 22 general and specialized policy items. The new mechanism will provide an annual funding of 200 million yuan ($27.5 million) across 15 supportive initiatives, spanning from rent subsidies to industrial space allocation. Priority sectors include core components, key foundational materials and techniques, foundational technologies and foundational software within Shenzhen’s “20+8” industrial clusters.

The district also prioritizes innovation ecosystems through compiling product and service catalogs and fostering government-enterprise collaboration to drive market adoption. By integrating the allocation of premium industrial spaces like R&D hubs and vertical facilities into its strategy, Longhua ensures tailored support for high-potential SMEs.