Evolution of spatial pattern and influencing factors of manufacturing industries in Yangtze River Delta region

The paper figures out driving forces of the spatial pattern transformation of manufacturing industries since 2000 and the influencing factors in Yangtze River Delta(YRD) using firm level data and spatial econometric method. The result shows that, the spatial pattern displays the typical Shanghai-centered and main transport axis orientation pattern. Since 2000, the manufacturing industries have been apparently diffused to peripheral areas and have displayed significant industrial differences, in that more technology-intensive industries tend to diffuse to nearer neighborhood and more labor-intensive industries tend to diffuse to longer distance. The spatial econometrical result shows that, the distribution of manufacturing industries has significant spatial spillover effect. After controlling such spillovers, we found the most influencing factors are location factors, including the distance to Shanghai and airport, and whether it belongs to urban regions, while the former two factors' influences have been intensified. The paper also reports that there are significant differences of influencing factors among different industries.