Navigating the Opportunities and Challenges in China's Urban Parking Business

On May 21, 2021, the National Development and Reform Commission of the People's Republic of China issued the "Opinions on Promoting the Development of Urban Parking Facilities." This directive emphasized the goal of establishing urban parking systems in large, medium, and small cities across the country by 2025. The plan includes dedicated parking facilities, off-street public parking facilities, and on-street parking spaces. This initiative aims to involve social capital, integrate information technology with the parking industry, and optimize the utilization of parking resources.

The Birth of Jieshun Zhicheng Technology: Focusing on Industry Development

In recent years, China's steady economic growth, accelerated urbanization, and a surge in car ownership have led to an increasing demand for parking spaces. The issue of "difficult parking" in cities has become more prominent. Consequently, the development and management of urban parking in China have gained momentum, with government officials exploring intelligent solutions to address parking challenges. Numerous companies, including internet firms, traditional parking companies, and even central enterprises, have recognized the potential of this blue ocean market and entered the competition.

In response to the need for urban parking solutions, JIESHUN began its urban parking business in 2017, aligning with the government's call for "new infrastructure" and sustainable city development. With its extensive experience in the parking industry, JIESHUN swiftly identified the trends shaping the urban parking sector and transformed from a traditional intelligent hardware manufacturer to an ecological operator offering integrated operations and services.

As the urban parking business expanded, JIESHUN developed the SAAS platform, integrating technologies such as AIoT, big data, and cloud computing. This platform has facilitated the construction of urban parking big data centers and other platforms, driving innovation in the urban parking industry. In 2020, Jieshun Zhicheng Technology Co., Ltd., emerged as a subsidiary exclusively responsible for JIESHUN's city parking business.

Urban Parking: A Source of Opportunities

Each urban parking project requires comprehensive consideration of various factors. Jieshun Zhicheng Technology, as a consultant, expert, and practitioner, actively participates in the full-cycle operation of such projects. The company collaborates with the government and multiple partners to create a "smart hardware + IoT + blockchain" solution.

Through cooperation with the government, Jieshun Zhicheng Technology has planned and implemented city-level smart parking management systems. These systems adhere to an open and shared AIoT access model, ensuring compatibility with equipment from different manufacturers. The solutions enable large-scale and rapid access to off-street parking lots while achieving goals such as situational awareness of urban parking, big data analysis, scheduling management, coordination of public service resources, information supervision and governance, and urban information sharing.

Leveraging its parent company's nearly 30 years of technological expertise, Jieshun Zhicheng Technology focuses on the development of smart parking hardware and software. It employs various technologies such as video recognition, radar perception, and ultrasonic detection, which find extensive applications in on-street parking, three-dimensional garages, and other scenarios. Additionally, Jieshun Zhicheng Technology leverages the parent company's robust resources and strengths in delivery, operation, and capital, fostering cooperation models such as EPC, BOT, joint venture operation, and SaaS services.

Jieshun Zhicheng Technology tailors targeted solutions for core urban parking areas like schools, hospitals, office buildings, commercial areas, and tourist attractions. For example, the company provides technical support for hospitals in Shenzhen, developing the "reservation + sharing" service that integrates parking space reservations and facilitates the sharing of parking resources in surrounding parking lots. The system seamlessly recognizes vehicles with reserved parking and provides convenient and swift parking services for visitors.

Currently, Jieshun Zhicheng Technology has successfully deployed numerous city-level smart parking platforms in over 40 cities and regions nationwide, managing more than 1 million on-street parking spaces. The company has also established joint ventures with several partners, demonstrating rapid development momentum. Moreover, 深圳市捷顺科技实业股份有限公司 , as the parent company, has constructed over 100,000 parking lots across the country, with nearly 44,000 connected, facilitating quick access to on-street and off-street parking data.

Future Challenges

Professionals in the industry perceive the development of urban parking as an ongoing exploration. In March 2021, a smart parking cloud platform was launched in a city in Guangdong. Operational data revealed a significant increase in the turnover rate of parking spaces and improved utilization of public resources after the platform's implementation.

Nevertheless, the future development of urban parking necessitates legal supervision, adequate supporting resources, and a scientific management platform, which may require an extended period. JIESHUN remains committed to continually developing new technologies, upgrading and improving solutions, hardware, and platforms to provide products that align with market needs and cater to users' preferences.