Hangzhou Bay Shangyu Economic and Technological Development Zone was established in 1998. In 2013, it was upgraded to a national-level economic and technological development zone by the State Council. Covering a planned area of 133 square kilometers, the zone has so far introduced 205 enterprises and attracted investment of 130 billion yuan ($19.21 billion). 

The development zone is located on the south bank of Hangzhou Bay, adjacent to Shanghai, Hangzhou and Ningbo. It takes 90 minutes to drive to Shanghai, 40 minutes to Hangzhou Xiaoshan International Airport and Ningbo Airport. A 3,000-ton heavy-duty terminal in the zone has been put into trial operation, and an impounded harbor with an annual throughput of 10 million tons is under consideration. 

The development zone puts emphasis on developing modern medicine and new materials, automotive and parts manufacturing, and high-end equipment industries. There are currently 30 pharmaceutical manufacturing enterprises in the zone, with an output value of 15 billion yuan in 2016, 38 new material enterprises, 36 national high-tech enterprises, and 27 provincial-level high-tech research and development centers. 

In 2017, the zone achieved total industrial output value of 110 billion yuan, tax revenue of 2.6 billion yuan, and fixed asset investment of 15.7 billion yuan, ranking among the top in the comprehensive evaluations of national development zones.