Strategic Emerging Industries Setting the Pace in the First Year of the 12th Five-Year Plan Period

It’s explicitly stated in the Outline of the 12th Five-Year Plan for National Economic and Social Development of the People’s Republic of China that efforts shall be made to promote the in-depth integration of emerging science & technology with emerging industries by being based on important technical breakthroughs and important development demands; and to develop strategic emerging industries into guiding and pillar industries by uplifting hi-tech industries. Nowadays, various local governments in China regard the development of emerging industries as a starting point that they cannot afford to lose. Emerging industries have gained vitality in various provinces, cities and regions and set the pace in the first year of the 15th Five-Year Plan period.

Core Force of the Green Transformation
Tian Jinchen, Deputy Head of the Department of Development Planning under the National Development and Reform Commission, participated in the drafting and compiling of the 12th Five-Year Plan. He believes that scientific development and transformation of the economic development model are the essence and soul of formulating the guiding principles on the 12th Five-Year Plan. As a good dose of medicine for scientific development, emerging industries will undoubtedly improve the quality of GDP and increase the proportion of green GDP. In the 2011 Strategies on China’s Sustainable Development released by the Chinese Academy of Sciences, realizing green economic transformation is the center of the report and strategic emerging industries becomes the core force of the economy’s green transformation.

Strategic emerging industries will play an extraordinary role in the adjustment of our country’s economic structure and industrial strategic upgrading. In the process of upgrading industrial structure, strategic emerging industries will play a prominent role in stimulating the development of core technologies and other industries. Take as an example the flat panel display technology, one of the three fundamental industries in the new-generation information technology, BOE Hefei 6th-generation production line, the first 6th-generation LCD panel production line in mainland China, was put into operation. This was an important breakthrough in the domestic production of LCD panels of 32 inches or larger in mainland China. The 6th-generation LCD production line not only symbolizes our enterprise’s independent acquisition of the three core technologies for LCD panel manufacturing but also injects new life into China’s color TV industry.

Energy-Saving & Environmental Protection Ranked as No. 1 of the Seven Emerging Industries
The priorities in the development of our country’s emerging industries are given to energy-saving & environment protection, next-generation information technology, biology, high-end equipment manufacturing, new energies, new materials and new-energy vehicles.

Of the seven strategic emerging industries, energy-saving & environment protection is listed as the top priority. Energy-saving & environment protection enterprises have inaugurated the era of “growing bigger and stronger “. Wuhan Haoquan Environment Protection Science & Technology Co., Ltd is dedicated to the design R&D of acoustic materials. The plastic ceramic sound-absorbing material developed by the Company won the golden award in the 7th China International Environment Protection Exhibition.

Government Support and Core Technology Are Critical
In spite of good development momentum, the development of strategic emerging industries is confronted with many problems. Among all the problems, policy support and technology innovation are the most outstanding.

Most emerging enterprises are most concerned about the support and innovation of financial policies. Industrial and Commercial Bank of China, China Construction Bank, and Bank of China already began to set up teams dedicated to industrial analysis and industrial mix management of strategic emerging industries.

Professor Liang Xiaomin of Beijing Technology and Business University said in an interview that while developing strategic emerging industries, various local governments must lay emphasis on regional characteristics and avoid blindly investing while developing strategic emerging industries.

Innovation of core technology and business models is another critical factor to the development of strategic emerging industries. During the period of the 11th Five-Year Plan, our country has made breakthroughs in technical innovation but there is still a long way to go as far as core and cutting-edge technologies are concerned.

When speaking of business model innovation, Miao Yu, Minister from the Ministry of Industry and Information, said that the cultivation and development of strategic emerging industries must be driven by business model innovation and importance must be attached to the cultivation and development of local brands and support must be given to the development of competitive self-owned brands. (Source: Overseas Edition of People’s Daily)