Top-down planning key to science and technology development

Note: The following article is taken from the Chinese-language "Commentaries on International Affairs."

Top-down planning has played a leading role in promoting science and technology development in China.

A full-size mock-up of "Tianhe", core module of China's planned space station, is displayed during the 12th China International Aviation and Aerospace Exhibition, also known as Airshow China 2018, in Zhuhai city, south China's Guangdong province, November 7, 2018. [File Photo: IC]

As early as in 1956, the Chinese government formulated a long-term plan for science and technology advancement. At the outset of the reform and opening up drive, science and technology was further established as primary productive forces. And since the 18th CPC national congress in 2012, the government has decided to fully implement an innovation driven development strategy.

Over the years, China has blazed a new trail of development that is supported by talents and innovation in science and technology, which propelled industrial development and economic growth. Chinese enterprises, as a key driving force for technological progress, account for over 70 percent of the nation's investment on research and development. They also contribute the highest number of researchers and patents of invention. China is now leading in artificial intelligence, 5G, mobile payment, high speed railway, new energy vehicles and financial technology, among other sectors, thanks to this development strategy.

In 2018, China's spending on research and development totaled over 1.97 trillion yuan (about 278 billion US dollars), taking up 2.19 percent of the country's GDP and ranking second in the world. Its total number of research and development personnel has ranked first in the world for 6 consecutive years. Also last year the added value in high-tech manufacturing increased 11.7 percent year-on-year, and the country's information service industry registered a stellar growth rate of 30.7 percent. China now ranks number one in the world in both the number of patent applications and patents licenced.

A recent report by McKinsey Global Institute suggests that engagement between China and the world could potentially drive an economic value of 22 trillion to 37 trillion US dollars by 2040, which equals 15 to 26 percent of global GDP. The results are based on a growth model that examines China as an import destination, as well as its role in the liberalization of service, globalization of financial markets, collaboration on global public goods and the flow of technology and innovation.