“Our relationship has come very far,” he added.

Lan was speaking at a symposium in Singapore on Tuesday at which prospective investors from Suzhou were eyeing business deals in the Southeast Asian city state. The official, who was on a five-day introductory trip after taking the reins as Suzhou party chief in September, had earlier met with Singapore’s Minister for Trade and Industry Chan Chun Sing.

Chinese ambassador to Singapore Hong Xiaoyong, also speaking at the event, described the park – now in its 25th year – as a “successful example” of “sincere cooperation”.

Singapore has two other government-to-government projects in China – the Sino-Singapore Tianjin Eco-city and the China-Singapore (Chongqing) Demonstrative Initiative on Strategic Connectivity.

The billion-dollar Suzhou park, which spans 288 sq km and houses 25,000 companies as well as facilities including a retirement village, accounts for about 14 per cent of the city’s gross domestic product, but its success did not come easily.

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Singapore agreed in 1994 to build an industrial park with China to spur innovation and entrepreneurship as well as attract hi-tech industries. But reports later surfaced citing challenges getting the park up and running that strained ties between the sides.

A December 1997 report by Singapore newspaper The Straits Times said Lee was unhappy with the progress amid stiff competition from Suzhou New District, a business hub located nearby. Within five years Singapore incurred losses of US$90 million, other reports said.

Singapore initially held a 65 per cent stake in the China-Singapore Suzhou Industrial Park Development Group (CSSD) but cut its share to 35 per cent in 1999.

In the past 25 years, the venture has since evolved, and now consistently ranks as one of the most successful among more than 200 industrial parks in China. It has contributed about 800 billion yuan (US$113 billion) in tax revenue, according to Chinese state media.

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Other parks have been modelled on the project, including the Suzhou-Suqian Park and Suzhou-Nantong Science and Technology Industrial Park.

Recent developments in the region have made Lan hopeful that the park will further thrive. Suzhou has been named one of six areas to be included in the China (Jiangsu) Pilot Free Trade Zone, as part of the Chinese government’s continuing reforms to open up the economy.

Lan said Suzhou would continue to leverage Singapore’s experience in order to open up the service industry. He added that the CSSD had been approved to list on the Shanghai stock exchange.

“This gives us the capital support in the Chinese market, and also gives us a strategic vehicle for higher level development,” he said.

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The official discussed in a Monday meeting with trade minister Chan how to cooperate further as well as strategies to ensure innovation-driven growth.

But analysts have noted that Sino-Singapore relations have since taken a turn for the better.

Younger Singaporean ministers have made frequent trips to Chinese cities in recent months. Trade ties have deepened, with agreements inked between Singaporean and Chinese firms. On Monday, six deals were signed with firms based in the Chinese region of Guangxi.

Building on the success of the industrial park and their “special friendship”, Luke Goh, deputy trade secretary at Singapore’s trade ministry, said the city state and China should now explore new opportunities.

“For many of us who have visited Suzhou and the industrial park, it feels more and more like home, and I believe the reverse is true as well,” Goh said.

“As we celebrate Suzhou Industrial Park’s 25th anniversary, we also look forward to the next 25 years and beyond. There is tremendous potential.”