Disney theme park for China
Thursday November 05 2009
China's planning agency has approved plans for a Disney theme park in Shanghai, the Walt Disney Company said yesterday, in a major step toward making a deal on the long-awaited project.
The approval by the National Development and Reform Commission will allow Shanghai, China's biggest city, and Disney to work on final details for the amusement park, to be located in the city's eastern Pudong district.
Robert A Iger, president and CEO of the Walt Disney Company said the initial phase of the project would include a "Magic Kingdom-style theme park with characteristics tailored to the Shanghai region".
Shanghai's city government issued a brief statement announcing the approval.
Disney has gradually expanded its presence in mainland China after opening a theme park in Hong Kong in 2005 and now has offices in Shanghai, Beijing and Guangzhou.
The park will be a major showcase for Shanghai, the mainland's main financial and commercial centre. Shanghai's leaders are keen to develop this former bastion of Chinese industry into a global services and financial centre, and building a Disney park would create jobs and be a key draw for tourism.
Speculation over progress on the Disney park has become a frequent theme for stock market players. Shares in local property companies, and others likely to benefit from its construction, rallied at the weekend.
However, Disney's theme park in Hong Kong has suffered disappointing attendance, raising questions over the prospects for success of the Shanghai park.
