China has an ambitious plan to upgrade its manufacturing power within the next 10 years with the release of Premier Li Keqiang ‘Made in China 2025’ plan. The plan includes special funding and tax incentives to promote 10 major industrial sectors. The plan will be able to transform them into a more competitive industry in the international market. It concentrates on intelligent manufacturing with a more green, internet-connected and quality oriented style of production for the Chinese economy.
The initiative behind the plan is to upgrade the nation from being a big manufacturer to a manufacturing superpower. This will be crucial to allow China to maintain its current medium-to-high level of economic growth and allow China to progress up the global value chain. China has managed to become the world’s largest economy driven by its success in manufacturing goods for foreign markets. However, recently growth has slowed down, veering away from the double digit growth that the country has been previously used to. The reduction in growth is partly credited to the lack of high-end manufacturing and inefficient manufacturing methods, all of which will be addressed in the ‘Made in China 2025’ policy.
‘Made in China 2025’ lead sectors
1. Information technology
2. High-end numerical control machinery and automation
3. Aerospace and aviation equipment
4. Maritime engineering equipment and high-tech vessel manufacturing
5. Rail equipment
6. Energy-saving vehicles
7. Electrical equipment
8. New materials
9. Biomedicine and high-performance medical apparatus
10. Agricultural equipment