The twenty-first report of the party proposes a basic new type of industrialization by 2035, emphasizing the insistence on focusing the development economy on the real economy, advancing new industrialization and accelerating the construction of manufacturing power. How can new forms of industrialization be better advanced, thus contributing to high-quality development in our industrial and information industries? In response, the journalist interviewed Liu, Research Fellow, Institute of Industrial Economics, Chinese Academy of Social Sciences, Editor-in-Chief, Economic Management Press. New forms of industrialization are important engines for China-style modernization
“The full realization of the socialist modern State cannot be achieved without a solid material technological foundation laid by new industrialization.” Liu brave said that taking the new path of industrialization is an inherent requirement for our country to accelerate the construction of new development patterns and to invest in high-quality development, and a strategic option for the full realization of the socialist modern State.
Liu brave believes that the next step in advancing the new industrialization should focus on the following five areas:
First, new industrialization has focused more on inclusive development, relying primarily on innovative drivers to improve quality and competitiveness, and to enhance the inspiring, value-added, quality and branding advantage of industrial development through quality change, efficiency change, driving change to enhance industrial competitiveness and factor productivity.
Second, the new industrialization focuses on strengthening industrial chain control and leadership capacity, focusing on building a chain-based industrial system, promoting “point breakthroughs” and “chaining synergies”, through the implementation of industrial infrastructure rehabilitation, etc., and promoting the extension of manufacturing to the high ends of value chains, such as R&D design, medium- and high-end manufacturing and marketing.
Thirdly, new industrialization emphasizes industrialization and deep integration of information, promoting the development of the Internet, large data, artificial intelligence and physical integration through the promotion of widespread infiltration and in-depth application of information technologies, especially new generations of information technologies, in the industrial sphere, and expanding the use of information technology in upgrading traditional industries.
Fourthly, the new industrialization attaches great importance to resource conservation and environmental protection, emphasizing the treatment of the relationship between economic development and population, resources and the environment, the development of green industries, such as cleaner production, clean energy and energy efficiency, through the promotion of energy transformation and industrial restructuring, the development of modern green manufacturing systems and the creation of a green and low-carbon industrial development.
Fifthly, the new industrialization also emphasizes adherence to open cooperation, win-win development, thinking and planning in the context of global industrial re-engineering, strengthening deep integration into the global industrial chain supply chain, and working to advance the growing comparative advantage, the continuous division of labour among industries and the growing benefits of cooperation.
At the heart of building a modern industrial system is promoting new forms of industrialization.
“The manufacturing value chain is long, relevant, power-driven and determines the overall strength and international competitiveness of a country, which is the product of our economic life and the basis of the country’s strength and strength.” Liu is of the view that the promotion of high-quality development in our manufacturing industries, at the core of new industrialization, is an important element in furthering and expanding Chinese-style modernization in the construction of modern industrial systems.
Liu brave indicated that, according to the 20 major deployments of the party, the specific tasks of building a modern industrial system consisted mainly of three aspects:
The first is the construction of manufacturing powers, including the implementation of industrial infrastructure re-engineering and major technological equipment for customs clearance, support for innovative enterprise development, the promotion of high-end manufacturing, intellectualization, greening and so forth, especially in areas of secure development, and the upgrading of the inertia and security of the industrial chain supply chain.
The second is to build strategic and emerging industries and foster new growth engines. The creation of new frontiers, the construction of a new generation of strategic emerging industries, such as information technology, will also accelerate the development of the digital economy and the creation of internationally competitive digital industry clusters.
The third is the construction of a new system of high-quality and efficient services, the promotion of the deep integration of modern services with advanced manufacturing industries, modern agriculture, the accelerated development of physical networking, the construction of efficient and smooth systems of communication and the reduction of logistics costs.
Seizing the opportunities to build strong manufacturing power
At present, our manufacturing industries are at a critical stage of structural adjustment and efficiency gains, as well as at a critical stage of large-scale, far-speed and far-reaching downturns, facing both opportunities and challenges. Liu brave suggested that opportunities and difficulties should be seized, starting with five areas to accelerate the building of the manufacturing power and to work towards a focused breakthrough.
The first is to put the key core technology back on track and to work towards a breakthrough in critical areas of “cabies” technology. In-depth implementation of innovative, catalytic development strategies, the self-sustaining science and technology, the integrated promotion of major, major engineering and major project implementation, and the breaking of a critical mass of “Carbon” technologies, such as photo cameras, chips, etc.
The second is the accelerated development of advanced manufacturing industries. The development of a new generation of strategic and emerging industries driven by new technologies such as information technology, biotechnology and so forth, the promotion of technological transformation and scaled-up production of advanced technologies, front-line technologies, and efforts to create an irreplaceable bundle of punching products, while taking over the development of the new industries.
Thirdly, greater efforts have been made to promote the upgrading of traditional industries. Supply-side structural reforms focus on accelerating the upgrading of the industrial value chain by strengthening innovation-driven, improved quality and branding, improved labour productivity and overall factor productivity. In the direction of smart manufacturing, manufacturing is being transformed through a new generation of information technologies, with full elements, processes, industry-wide chain transformation, accelerated development of smart management, intelligent production and intelligent services, advanced manufacturing towards high-endization, intelligentization, greening and service-type manufacturing.
The fourth is to enhance the autonomous control of the industrial chain supply chain. Enhancing the existing industrial size advantages, concomitant advantages and the pre-emptive advantages of some areas, consolidating, improving, innovating the industrial chain supply chain, promoting advanced industrial infrastructure and modernizing the industrial chain, based on an internal recycle alternative.
The fifth is to strengthen the dynamic and development capacities of market agents. Support enterprises in market-oriented, expanded business size, including through merger acquisitions, improved product chains, innovation chains and better performance through focus, enhanced technological transformation and innovation.