China's northern port city of Tianjin is expected to see an increase in foreign investment in 2011, partly due to the city's efforts in improving its soft environment, a senior city official said.

Yang Dongliang, executive vice-mayor of Tianjin municipality, told China Daily that the scale of foreign investment to be utilized by the city in 2011 is very likely to be "no less than" last year's, despite the stricter criteria in project selection.

The city attracted a record $10.8 billion foreign direct investment in 2010, up 20.3 percent compared with the previous year.

"Tianjin maintains strong momentum in attracting foreign investment, as investors with real strength prefer business efficiency, better services and high-level labor resources to preferential policies," Yang said in an interview during the three-day China-Europe High-level Political Parties Forum.

The city is also making efforts in building a low-carbon economy and has accordingly raised standards on project selection for investors.

In addition to high energy-consuming and high-polluting projects, low-end processing projects, largely relying on cheap labor costs, are no longer welcomed by the city.

"The strategy for utilizing investment for the next five years has been fine-tuned. We are paying more attention to investors' vision and sustainable developments, including projects that present potential benefits to the industry," Yang said.

The improvement of the soft environment is the key issue for attracting more high-quality investment, he said.

Many Fortune Global 500 companies have invested and established branches in Tianjin. And its Binhai New Area, an industrial park, has been set as an economic growth engine for the nation.

Jean-Luc Charles, general manager of the Airbus Tianjin, a joint venture between Airbus SA and Tianjin Aviation Industry Investment Company Ltd, called Tianjin a city that "never stops".

"I have been living in Tianjin for more than three years and have seen what is happening here.

"New enterprises and new buildings emerge every day; the pace of growth is visible and impressive," he said.

It took the joint venture around 18 months from constructing a factory to getting the aircraft assembly operations started in August 2008. In early June, Airbus Tianjin will be on stream to deliver 50 aircraft, he said.

Emerging industries including aerospace, biotechnology and a new generation of information technology are expected to account for 30 percent of Tianjin city's GDP by the end of 2015.

In addition, the city has aggressive plans for its service sector and urbanization, which are expected to create new opportunities for investors.

The service industry will account for more than 50 percent of the city's GDP by the end of 2015, from 45.3 percent in 2010, according to the city's 12th Five-Year Plan (2011-2015).

Tianjin will invest 75 million yuan ($11.5 million) during the next five years to build the service industry, including modern logistics, exhibitions, technology consulting services, and financial leasing, said Zhang Zhiqiang, the director of the Tianjin Development and Reform Commission.

The city also plans to spend 25 million yuan on new rural construction during the next five years, he said.