Page 64 - 2020 White Paper on the Business Environment in China
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0 White Paper on the Business Environment in China
Remarkably, Shenzhen is also a robust generator of Committee of the CPC made a high-profile pledge
international patents, accounting for nearly half of to “allocate resources from the entire province” to
China’s applications in 2018. support it2. Indeed, Shenzhen is already equipped
with strong support from all levels of leadership, as
Fig 6 Rising share of technology in Shenzhen’s evident from its positioning in both the Guangdong-
economy Hong Kong-Macao Greater Bay Area (GBA) and the
Belt and Road Initiative (BRI). The new designation,
Fig 6 Rising share of technology in Shenzhen’s economy
45 New industries as such, will likely reinforce its existing advantages
with targeted favorable policies and take the city’s
40 development to a new level.
35 AnEcosystemforTechnologicalDevelopment
% of GDP 30 Technology Infrastructure
25 Shenzhen’s technology industry is already
successful and market-oriented, such that the
20
15
10
5
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Others Information technology and digital economy
Source: Wind
Source: Wind
Fig 7 Tech products accounted for nearly half of Shenzhen’s exports in 2018
60As such, Shenzhen is aExports champion in China’s government’s role is mainly to strengthen its
ec55o05 nomic reform, from high-speed growth to high- ecosystem by providing favorable infrastructure
qu45ality growth. First proposed in the National People’s
40
Leveraging the city’s strengthsFCig 6o35Rnisigngrshearse osf teicnhnolo2gy0in1Sh7en1zhe,n’sheciognohmy-quality growth represents the
% of total and an accessible pool of professional talents. On
4 September 2019 Shenzhen announced that it
Go3250vernment’s drive to ensure productivity gains and FWohllaotweilnsgewtwhiiellllathnbenogeuonvceternhmmeeenntttfhdiaorttsSohtreenicnzfhioetrncyewSothuoeldnzbaheeccno’hms deieeavvedleoempmofneusnttrl?altio5nGareac, tohevGeuarnagdgoeng Cboymmittee of
su1250s44t05ainable growth. As New industries Xi Jinping, the CPC mAaudegauhisght-p2rof0ile2p0le3d.geAtos“alsloucactehre,so4ur5ce,s0fr0om0theseingtinreaprlovbincae”steo susptpaortt iito4. nIndseed,
noted by President Shenzhen is already equipped with strong support from all levels of leadership, as evident from its positioning in
th1i0s35is an objective that embodies various supply-side both thewGuailnlgdboneg-HconognKosntg-rMuaccatoeGdreataernBady Arceao(GnBtAr)aancdtthoerBselt tahndaRotadcIonitmiativpel(eBRtIe). The new
cdietys’isgndaetvcieolono,pnamssesnuttcrthou, wacinltleliwiokelenlyverel.oinfnorcetiitsmexeistinwg aidlvlanbtaeges awiwth taarrgedteeddfavoRrabMle Bpo1lic0ies,0an0d0take the
% of GDPstru3205c20t00ura2l00r2 efoH20ir-0tem4ch psrodu2tc0t0hs6 at2w008illmake China’s2010 2012 2014 ec20o16nom2018ic
Processing trade
todFASShoifgiprsourainurresvcsrtrceetnuei:enp,:oWctemWoerihF nio121nfodb,wne50500fdpSionicovdhsgdisteuieeeanhrndlsetzy2,thvi7p0nuaei0.rrrot9vnbmihodaieTeusunsNcaieo,ztasiecvuct2Odhiri0pttoa,hh1ymepnime0nglarysnapl-oisiPapnoimvedsnaroreat2ipin0knovsol1etedC1re,’duhssdmcuitCnutasuea-otrra’nkocas2riegln0ettrrnr1a-ecseo2bsoifrso,lenieeroiamnIngnmnotrfs2eocoi2ct0dtrw0phmc1er1taaea7h3ontfte3.diodow,Arunhnmiesltilnegn,nmc,vhfo2hair0-ranttoqo1eokmeen4undleoamgdbhfCdlyieyifhtganyPiihnntgrd-cf2aaesr0dolos’epl1isiyigw5eedreifnetterachidnnleoervtngnnectXrdoopioi2n,lmerry0wJoe.i1mionstac6heuypgnnitrnrotroslghmwyb,tihttg2hhe0hai1em-shG7qnioousnavraaeeilntlzrimtnfyao2meogb0dle1rjodeeol8ncyrwtnf’t,tsi,hve.AmtScATaeouhnalcngeeihsnunnentlsztrysochtu.lte2ocooOntiwpm0gsinns’oy2syten4r0iitsceanleo5rStnfll.cnrnegeuahAtptmbsnshiadttmoesserelugunmefoitccongiwebathtyurseib,glrmtirlte4enieb2acd5oeo0tcu,es0s1rsahny0te9nwasrn0.ytaSdenotrishmsd.ilegseoaInnbodlpngzrayehRilnpaoecMbrdnaoarByvasplt1tisenddhu0anasicn,eot0etcagruve0itntfieos0aocisnlvnecpfnoousdeuerlpwra,tahsbmeilnlatpalldaetdbetruimieitnnos,wfacnbtrori.alknIloslencsibttrctpef-uorouactrchrtnsi1uteteierencs0efdutierctalasadrnnturr,d,udcsecirautcocynicolntahtntsaoytittctrrhaocaueaceccanhtsttdoiitsneohirbvnseedlstepghpfrouepaivoluortlecroc5iirtrnlootGyommbowfrcepioparilnllvrtestoebnyt’fsree,earsbgosaeliesobeniysdal
Shenzhen’s exports in 2018Fig 7 Tech products accounted for nearly half of Shenzhen’s exports in 2018 on the needs oFf 1ig0 re8latedSsehcetonrs,zinhcleudningistrantshpoertamtiona, ipnublidc sreicvueritry abndeuhrbiann dmanCagheminenat.’s
Exports Fig 8 Shendzhoenmis thienmaainndcriveer bienhin5d CGhinat’es dcohminnanoceloin 5gGiteecshnologies
60
% of total55 Nokia (Finland) Patents for 5G technologies 15.1
50 LG Electronics (South Korea) 8.2 13.8
45 12.7
40 QUALCOMM (US) 12.3
35 11.7
3 ww3w0 .gov.cn/zhuanti/2017-10/27/content_5234876.htm
25
20 7.9
15 Intel (US) 5.3
10 Sharp (Japan) 5.3
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 4.5
Hi-tech products Processing trade 2.0
Source: Wind Fujitsu (Japan) 0.2
Source: WindAs such, Shenzhen is a champion in China’s economic reform, from high-speed growth to high-quality growth. 0 4 8 12 16
% of total patent filings
First proposed in the National People’s Congress in 20173, high-quality growth represents the Government’s
productivity gains and sustainable growth. bCyhPinraes’sideecnotnXoimJiincpginrogw, tthhims iosraenmoobdjeecrnti,vSNeoouterc:eA:sIPoflyMticasrch 2019
various supply-side structural reforms that
Leveraging the City’s Strengthsdriveto ensure
Note: As of March 2019that embodies
As noted
will make
open, efficient, urbanized, innovative, market-oriented and environmentally friendly.
SShuepnpzlyheonf plarocfkSessoasinuon“raacclateadle:emnItiPc lleygtaiccy”swhen it comes to supplying home-grown research talents. This is mostly
What else will the government do to reinforce because as a new city that emerged economically in the past four decades, Shenzhen does not have an
gernaddouwamteesnftroomfStotuhpeprerespsetalorycfhmouaninfivleaPrnsdirtCioehsif.nIeansastnesdadiH,ooSnnhgeKnaozhlnegTn, icanrealadetdeinstioittns talent pool mainly through attracting
Shenzhen’s development? to opening branches of famous
universities in the city. Among the top 100 universities in Greater China ranked by Shanghai Ranking
Consultancy6, 6 are located in Hong Kong, 2 are in Macao and 3 are in Guangzhou, but none of the universities
Following the announcement that Shenzhen in Shenzhen mSahdeethne lzisht. en lacks an “academic legacy” when it
would become a demonstration area, the Guangdong Neverthecleossm, thies iss antoareaswuheprepHolynginKogng hhasocmompea-ragtirveoawdvanntargees,saes aasrigcnhificatnat slhearne tofsit.s
technology R&D spending goes to academic institutions and the public sector. It is also home to some of the
best research2un. igvedrs.pitiesoipn ltehe.croegmion.c. nHo/nng2K/o2n0g’1s 9pi/p0el9in1e3o/fcte1c2h3ta9le3n2t m-3a3y c3o5m2p0le1m1en.ht Stmhenlzhen’s
1. www.gov.cn/zhuanti/2017-10/27/content_5234876.htm
3 www.gov.cn/zhuanti/2017-10/27/content_5234876.htm 3. www.xinhuanet.com/info/2019-09/05/c_138366324.htm
4 gd.people.com.cn/n2/2019/0913/c123932-33352011.html
5 www.xinhuanet.com/info/2019-09/05/c_138366324.htm
64 6 www.shanghairanking.com/Greater_China_Ranking/Greater_China_Ranking2018.html
Remarkably, Shenzhen is also a robust generator of Committee of the CPC made a high-profile pledge
international patents, accounting for nearly half of to “allocate resources from the entire province” to
China’s applications in 2018. support it2. Indeed, Shenzhen is already equipped
with strong support from all levels of leadership, as
Fig 6 Rising share of technology in Shenzhen’s evident from its positioning in both the Guangdong-
economy Hong Kong-Macao Greater Bay Area (GBA) and the
Belt and Road Initiative (BRI). The new designation,
Fig 6 Rising share of technology in Shenzhen’s economy
45 New industries as such, will likely reinforce its existing advantages
with targeted favorable policies and take the city’s
40 development to a new level.
35 AnEcosystemforTechnologicalDevelopment
% of GDP 30 Technology Infrastructure
25 Shenzhen’s technology industry is already
successful and market-oriented, such that the
20
15
10
5
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Others Information technology and digital economy
Source: Wind
Source: Wind
Fig 7 Tech products accounted for nearly half of Shenzhen’s exports in 2018
60As such, Shenzhen is aExports champion in China’s government’s role is mainly to strengthen its
ec55o05 nomic reform, from high-speed growth to high- ecosystem by providing favorable infrastructure
qu45ality growth. First proposed in the National People’s
40
Leveraging the city’s strengthsFCig 6o35Rnisigngrshearse osf teicnhnolo2gy0in1Sh7en1zhe,n’sheciognohmy-quality growth represents the
% of total and an accessible pool of professional talents. On
4 September 2019 Shenzhen announced that it
Go3250vernment’s drive to ensure productivity gains and FWohllaotweilnsgewtwhiiellllathnbenogeuonvceternhmmeeenntttfhdiaorttsSohtreenicnzfhioetrncyewSothuoeldnzbaheeccno’hms deieeavvedleoempmofneusnttrl?altio5nGareac, tohevGeuarnagdgoeng Cboymmittee of
su1250s44t05ainable growth. As New industries Xi Jinping, the CPC mAaudegauhisght-p2rof0ile2p0le3d.geAtos“alsloucactehre,so4ur5ce,s0fr0om0theseingtinreaprlovbincae”steo susptpaortt iito4. nIndseed,
noted by President Shenzhen is already equipped with strong support from all levels of leadership, as evident from its positioning in
th1i0s35is an objective that embodies various supply-side both thewGuailnlgdboneg-HconognKosntg-rMuaccatoeGdreataernBady Arceao(GnBtAr)aancdtthoerBselt tahndaRotadcIonitmiativpel(eBRtIe). The new
cdietys’isgndaetvcieolono,pnamssesnuttcrthou, wacinltleliwiokelenlyverel.oinfnorcetiitsmexeistinwg aidlvlanbtaeges awiwth taarrgedteeddfavoRrabMle Bpo1lic0ies,0an0d0take the
% of GDPstru3205c20t00ura2l00r2 efoH20ir-0tem4ch psrodu2tc0t0hs6 at2w008illmake China’s2010 2012 2014 ec20o16nom2018ic
Processing trade
todFASShoifgiprsourainurresvcsrtrceetnuei:enp,:oWctemWoerihF nio121nfodb,wne50500fdpSionicovdhsgdisteuieeeanhrndlsetzy2,thvi7p0nuaei0.rrrot9vnbmihodaieTeusunsNcaieo,ztasiecvuct2Odhiri0pttoa,hh1ymepnime0nglarysnapl-oisiPapnoimvedsnaroreat2ipin0knovsol1etedC1re,’duhssdmcuitCnutasuea-otrra’nkocas2riegln0ettrrnr1a-ecseo2bsoifrso,lenieeroiamnIngnmnotrfs2eocoi2ct0dtrw0phmc1er1taaea7h3ontfte3.diodow,Arunhnmiesltilnegn,nmc,vhfo2hair0-ranttoqo1eokmeen4undleoamgdbhfCdlyieyifhtganyPiihnntgrd-cf2aaesr0dolos’epl1isiyigw5eedreifnetterachidnnleoervtngnnectXrdoopioi2n,lmerry0wJoe.i1mionstac6heuypgnnitrnrotroslghmwyb,tihttg2hhe0hai1em-shG7qnioousnavraaeeilntlzrimtnfyao2meogb0dle1rjodeeol8ncyrwtnf’t,tsi,hve.AmtScATaeouhnalcngeeihsnunnentlsztrysochtu.lte2ocooOntiwpm0gsinns’oy2syten4r0iitsceanleo5rStnfll.cnrnegeuahAtptmbsnshiadttmoesserelugunmefoitccongiwebathtyurseib,glrmtirlte4enieb2acd5oeo0tcu,es0s1rsahny0te9nwasrn0.ytaSdenotrishmsd.ilegseoaInnbodlpngzrayehRilnpaoecMbrdnaoarByvasplt1tisenddhu0anasicn,eot0etcagruve0itntfieos0aocisnlvnecpfnoousdeuerlpwra,tahsbmeilnlatpalldaetdbetruimieitnnos,wfacnbtrori.alknIloslencsibttrctpef-uorouactrchrtnsi1uteteierencs0efdutierctalasadrnnturr,d,udcsecirautcocynicolntahtntsaoytittctrrhaocaueaceccanhtsttdoiitsneohirbvnseedlstepghpfrouepaivoluortlecroc5iirtrnlootGyommbowfrcepioparilnllvrtestoebnyt’fsree,earsbgosaeliesobeniysdal
Shenzhen’s exports in 2018Fig 7 Tech products accounted for nearly half of Shenzhen’s exports in 2018 on the needs oFf 1ig0 re8latedSsehcetonrs,zinhcleudningistrantshpoertamtiona, ipnublidc sreicvueritry abndeuhrbiann dmanCagheminenat.’s
Exports Fig 8 Shendzhoenmis thienmaainndcriveer bienhin5d CGhinat’es dcohminnanoceloin 5gGiteecshnologies
60
% of total55 Nokia (Finland) Patents for 5G technologies 15.1
50 LG Electronics (South Korea) 8.2 13.8
45 12.7
40 QUALCOMM (US) 12.3
35 11.7
3 ww3w0 .gov.cn/zhuanti/2017-10/27/content_5234876.htm
25
20 7.9
15 Intel (US) 5.3
10 Sharp (Japan) 5.3
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 4.5
Hi-tech products Processing trade 2.0
Source: Wind Fujitsu (Japan) 0.2
Source: WindAs such, Shenzhen is a champion in China’s economic reform, from high-speed growth to high-quality growth. 0 4 8 12 16
% of total patent filings
First proposed in the National People’s Congress in 20173, high-quality growth represents the Government’s
productivity gains and sustainable growth. bCyhPinraes’sideecnotnXoimJiincpginrogw, tthhims iosraenmoobdjeecrnti,vSNeoouterc:eA:sIPoflyMticasrch 2019
various supply-side structural reforms that
Leveraging the City’s Strengthsdriveto ensure
Note: As of March 2019that embodies
As noted
will make
open, efficient, urbanized, innovative, market-oriented and environmentally friendly.
SShuepnpzlyheonf plarocfkSessoasinuon“raacclateadle:emnItiPc lleygtaiccy”swhen it comes to supplying home-grown research talents. This is mostly
What else will the government do to reinforce because as a new city that emerged economically in the past four decades, Shenzhen does not have an
gernaddouwamteesnftroomfStotuhpeprerespsetalorycfhmouaninfivleaPrnsdirtCioehsif.nIeansastnesdadiH,ooSnnhgeKnaozhlnegTn, icanrealadetdeinstioittns talent pool mainly through attracting
Shenzhen’s development? to opening branches of famous
universities in the city. Among the top 100 universities in Greater China ranked by Shanghai Ranking
Consultancy6, 6 are located in Hong Kong, 2 are in Macao and 3 are in Guangzhou, but none of the universities
Following the announcement that Shenzhen in Shenzhen mSahdeethne lzisht. en lacks an “academic legacy” when it
would become a demonstration area, the Guangdong Neverthecleossm, thies iss antoareaswuheprepHolynginKogng hhasocmompea-ragtirveoawdvanntargees,saes aasrigcnhificatnat slhearne tofsit.s
technology R&D spending goes to academic institutions and the public sector. It is also home to some of the
best research2un. igvedrs.pitiesoipn ltehe.croegmion.c. nHo/nng2K/o2n0g’1s 9pi/p0el9in1e3o/fcte1c2h3ta9le3n2t m-3a3y c3o5m2p0le1m1en.ht Stmhenlzhen’s
1. www.gov.cn/zhuanti/2017-10/27/content_5234876.htm
3 www.gov.cn/zhuanti/2017-10/27/content_5234876.htm 3. www.xinhuanet.com/info/2019-09/05/c_138366324.htm
4 gd.people.com.cn/n2/2019/0913/c123932-33352011.html
5 www.xinhuanet.com/info/2019-09/05/c_138366324.htm
64 6 www.shanghairanking.com/Greater_China_Ranking/Greater_China_Ranking2018.html
