Circular of the State Council on Issuing the Made in China 2025
Circular of the State Council on Issuing the Made in China 2025
Circular of the State Council on Issuing the Made in China 2025
Guo Fa [2015] No. 28
May 8, 2015
To the people's governments of all provinces, autonomous regions and municipalities directly under the Central Government, all ministries and commissions of, and all departments directly under, the State Council,
The Made in China 2025 is hereby issued to you for your implementation. (This is the abridged version of the original document.)
Made in China 2025
The manufacturing industry, as the backbone of national economy, serves as the foundation to found, instrument to thrive and cornerstone to power a nation. Since the start of industrial civilization in the middle of the 18th Century, the history of rise and fall of world powers and the history of struggle of the Chinese nation have repeatedly proven that there would be no prosperity of a country and nation without a strong manufacturing industry. Therefore, to build an internationally competitive manufacturing industry is the inevitable course for China to increase its aggregate national strength, safeguard its national security and be developed into a world power.
Since the founding of New China, especially since the reform and opening up, China's manufacturing industry has witnessed a sustained and rapid development to be built into an independent and integrate industry system which is complete in range, with a strong impetus to drive the industrialization and modernization process, and a remarkable increase in the aggregate national strength, to support China as a great power in the world. However, compared to the world's advanced level, China's manufacturing industry is still big but not strong, with apparent gaps in independent innovation capability, resources use efficiency, industrial structure level, informationization level, qualitative benefits, etc., having urgent and arduous tasks in transition and upgrade as well as leapfrog development.
Currently, a new round of scientific and technological revolution and industrial transformation historically meets with the accelerated change in economic development approach in China, and the industrial division of labor is reshaping its landscape internationally. This significant historic opportunity must be firmly seized to implement "manufacturing to power the nation" strategy in accordance with the requirements of the strategic mapping out of "four comprehensives" by strengthening the overall planning and forward-looking deployment to strive to build China into a world's manufacturing power that leads the development of world manufacturing industry, through three decades of efforts, up to and till the 100th anniversary of the founding of New China, laying a solid foundation to achieve the Chinese dream of the great rejuvenation of the Chinese nation.
The Made in China 2025 is the first ten-year action plan to implement China's "manufacturing to power the nation" strategy.
I. Development trends and environments
1. The global manufacturing landscape facing major adjustments.
With the deep fusion between the new generation of information technology and manufacturing industry, the far-reaching industrial transformation is being triggered to develop new production patterns, industrial forms, business models and points of economic growth. Countries are beefing up their efforts on the scientific and technological innovation to propel new breakthroughs in fields such as three-dimensional (3D) printing, mobile internet, cloud computing, big data, bio-engineering, new energy and new materials. Cyber physical system-based intelligent manufacturing, such as intelligence equipment and intelligent plants, are leading the transformation of manufacturing approach; network crowdsourcing, collaborative design, mass customization, precision supply chain management, full lifecycle management and e-commerce are reshaping the industrial value chain system; and intelligent terminal products such as wearable intelligent products, intelligent appliances and intelligent cars are continuously expanding new fields of manufacturing industry. China is facing a significant opportunity for transition and upgrade and innovative development in manufacturing industry.
With significant adjustments in the global industrial competitive landscape, China is facing huge challenges in the new round of development. After international financial crisis, the developed countries have implemented "re-industrialization" strategy to reshape the new competitive advantages of manufacturing industry, accelerating towards the new landscape for a new round of global trade and investment. Some developing countries are also accelerating the planning and mapping out by actively participating in the re-division of labor of global industries and receiving industrial and capital transfer to expand their international market space. With its manufacturing industry facing severe challenges of "bi-directional squeezing" from both developed countries and other developing countries, China must think globally and step up strategic deployment by focusing on developing into a manufacturing power, consolidating itself to bring vigor, and turning challenges into opportunities, to seize the competitive high ground in the new round of manufacturing industry.
2. Major changes taking place in the environment to develop economy in China.
With simultaneous development of new industrialization, informatization, urbanization and agricultural modernization, the ultra-large-scale potentials of domestic demands are released continuously, offering a vast ground to develop China's manufacturing industry. The new demands of equipment in the industrial sectors, new consumption demands of the people, new livelihood demands for social management and public services, and new security demands of national defense construction, all require the manufacturing industry to rapidly elevate its levels and capabilities in aspects such as major technical equipment innovation, quality and safety of consumption products, public service facilities and equipment supply and national defense equipment support. Full deepening of reforms and further opening up will continue to stimulate the vitality and creativity to develop the manufacturing industry and facilitate the transition and upgrade of the manufacturing industry.
As China's economic development has entered a new normality, the development of manufacturing industry is facing new challenges. With increasingly strengthening of resource and environmental constraints, the continuous rising of production factor costs, such as labor costs, and significant slowing down in the investment and export growth, the extensive development approach mainly relying on the resources factor inputs and scale expansion is hardly sustainable, so it is urgent to adjust the structure, conduct the transition and upgrade and improve the quality and efficiency. The manufacturing industry is the key, the difficulty, and the way out, to form a new driving force of economic growth and create new advantages in international competition.
3. The arduous and urgent task to develop into a manufacturing power.
After decades of rapid development, the size of China's manufacturing industry has been ranked first in the world, with an independent and integrate industry system, which is complete in range, built up to become an important cornerstone to support China's economic and social development and an important force to propel the world's economic development. Continuous technological innovation has greatly improved the aggregate competitiveness of China's manufacturing industry. With breakthroughs on a number of major technical equipment such as manned spaceflight, manned deep submergence, large aircraft, the Beidou satellite navigation, supercomputers, high-speed rail equipment, million-kilowatt power generation equipment and ten -thousand meter deep-sea oil drilling equipment as well as the arising of a number of advantageous industries and backbone enterprises with international competitiveness, China already has the foundation and condition to develop into an industrial power.
However, China remains in the process of industrialization, with a large gap as compared with the advanced countries. The manufacturing industry is big but not strong, with weak independent innovation capacity, high degree of external dependence in respect of key core technologies and high-end equipment, and incomplete "enterprise-as-player" manufacturing innovation system; the products are not in high grade, with a lack of world-renowned brands; the efficiency of resources and energy utilization is low, with prominent environmental pollution problems; the industrial structure is unreasonable, with lagging-behind development of high-end equipment manufacturing and producer service industries; the informationization is at a low level, with inadequate depth of fusion with industrialization; the industrial globalization is at a low level, with inadequate global operational capacity for enterprises. In driving to develop into a manufacturing power, efforts must be made to solve the above-mentioned problems.
In developing into a manufacturing power, the current rare strategic opportunity must be firmly seized by actively responding to challenges, strengthening overall planning, highlighting "innovation-driven", developing special policies, leveraging institutional advantages and mobilizing all social forces to struggle to work hard, with greater reliance on Chinese equipment and greater dependence on Chinese brands, to achieve the conversion from "Made in China" into "Created in China", from "Chinese Speed" to "Chinese Quality", and from "Chinese Product" to "Chinese Brand", so as to complete the strategic task for Chinese manufacturing to grow from "big" to "strong".
II. Strategic guidelines and objectives
1. Guiding ideologies
The spirits of the 18th National Congress of CPC and the Second, Third and Fourth Plenary Sessions of the 18th Central Committee of the CPC are to be fully implemented to adhere to the path of new industrialization with Chinese characteristics, with the facilitation of innovative development of manufacturing industry as the subject issue, the increase of quality and efficiency as the core, the acceleration of the deep fusion between the new generation of information technology and manufacturing industry as the main line, the promotion of intelligent manufacturing as the main direction, and the satisfaction of the demands of the economic and social development and national defense construction in respect of the major technical equipment as the goal, by strengthening the foundational capacity of industries, improving the level of overall integration, improving the multi-layer and multi-type talent training system, promoting the industrial transition and upgrade, and cultivating the manufacturing culture with Chinese characteristics, to achieve historical leapfrog growth of the manufacturing industry from "big" to "strong". The basic guidelines are as follows:
"Innovation-driven" basis. To follow the path of innovation-driven development by continuously placing the innovation at the core for the overall development of the manufacturing industry to improve institutional environment that is favorable to innovation, and to promote cross-field and cross-sectoral collaborative innovation, making breakthroughs on key generic technologies in key fields and facilitating the manufacturing industry to become digitalized, internet-based and intelligence-based.
Quality first. To continuously regard the quality as the lifeline to develop into a manufacturing power by strengthening enterprises as the responsibility takers for the quality to intensify the tackling of quality-related technological difficulties and cultivating of independent brands. To follow the path of "quality to win" by building the regulations and standards system, quality regulation system and advanced quality culture to create a market environment for operation in good faith.
Green development. To fully implement cleaner production by continuously adopting the sustainable development as an important focal point to develop into a manufacturing power to strengthen the promotion and application of energy saving and environmental protection technologies, processes and equipment. To follow the path of ecological civilization by developing the recycling economy to improve the efficiency of resource recycling unitization and build a green manufacturing system.
Structural optimization. To promote the conversion from production-oriented manufacturing to service-oriented manufacturing by continuously using the structural adjustment as the key element to develop into a manufacturing power to vigorously develop the advanced manufacturing industry and adapt and upgrade the traditional industries. To follow the development path to improve quality and efficiency by optimizing the geographic distribution of industries to cultivate a number of industrial clusters and enterprise groups having core competitiveness.
Talent-orientated. To accelerate the training of professional and technical talents, operation and management talents and skilled talents that are urgently needed by manufacturing industry by continuously regarding the talents as the fundamental factor to develop into a manufacturing power to establish and improve the mechanisms for scientific and rational selection, employment and cultivation of talents. To follow the "talent-led" development path by creating an atmosphere of mass entrepreneurship and innovation to build a high-quality and well-structured talent pool for manufacturing industry.
2. Basic principles
Market-driven and government-guidance basis. To stimulate the vitality and creativity of enterprises by fully deepening reforms to fully leverage the decisive role of the market in allocating resources to strengthen enterprises' position as player. To create a favorable environment for the development of enterprises by actively adapting the government functions to strengthen strategic research and planning guidance and improve relevant support policies.
Focus on current situation in a long-term perspective. To effectively improve the core competitiveness and sustainable development capability of the manufacturing industry by aiming at the bottlenecks and weaknesses constraining the development of the manufacturing industry to speed up the transition and upgrade and improve the quality and efficiency. To occupy the high ground in the future competition by accurately determining the trend of a new round of scientific and research revolution and industrial transformation to strengthen the strategic planning and forward-looking deployment and lay solid foundations.
Overall progress with key breakthroughs. To speed up the increase of the overall level of manufacturing industry by continuously combing the nationwide-based holistic approach and classified guidance for the manufacturing development to make overall planning and reasonable mapping out, clarify the direction of innovative development, and facilitate the in-depth development of military and civilian integration. To achieve first breakthrough by embracing the major demands of economic and social development and national security to implement a number of major projects on the basis of integrating resources and highlighting priorities.
Independent development with openness and cooperation. To form independent development capabilities in the fundamental, strategic and holistic fields that concern the livelihood and industrial security by making efforts to master key core technologies and improve the industrial chains. To increase the development and opening-up level of manufacturing industry by continuing to expand the opening up to actively leverage global resources and markets and strengthen industrial distribution globally and exchanges and cooperation internationally thereby forming new comparative advantages.
3. Strategic objectives.
To strive to achieve strategic objectives of manufacturing to power the nation through "three-step" plan by basing on national conditions and realities.
Step One: To strive to be among the world's manufacturing powers in ten years.
To basically accomplish the industrialization by 2020, with the manufacturing power position to be further consolidated and the level of informationization in manufacturing industry to be increased significantly. To master a number of key core technologies in key fields, with the competitiveness in the advantage areas to be further enhanced and the product quality to be greatly improved. Significant progress to be made in the digitalization, networking and intellectualization of manufacturing. The energy consumption, material consumption and pollutant emissions per unit of industrial added value in key industries to decrease significantly.
To improve the overall quality of manufacturing industry significantly by 2025, with substantial improvement in innovation capacity, significant increase in overall labor productivity, and a new level of the fusion between industrialization and informationization. The energy consumption, material consumption and pollutant emissions per unit of industrial added value in key industries to reach the world's advanced level. To form a number of multinational companies and industry clusters having strong international competitiveness, with significant increase of its position in global industrial division of labor and value chains.
Step Two: China's manufacturing industry as whole to reach the medium level of the world's manufacturing powers by 2035. The innovation capacity to be increased significantly, with major breakthroughs in the development of key fields, remarkable increase in the overall competitiveness and formation of capability to lead the innovation globally in the advantageous industries, to fully achieve industrialization.
Step Three: To further consolidate the manufacturing power position by the 100th anniversary of the founding of New China, with the aggregate strength among the world's top manufacturing powers. The key fields of manufacturing industry to have the capability to lead innovation and clear competitive advantages, with the buildup of the world's leading technology systems and industrial systems.
Key indicators of manufacturing industry in 2020 and 2025
| Category | Indicator | 2013 | 2015 | 2020 | 2025 |
| Innovation capability | Percentage of internal R&D expenses to the main business incomes in above-scale manufacturing industries | 0.88 | 0.95 | 1.26 | 1.68 |
| Number of valid invention patents per 100 million of the main business incomes in above-scale manufacturing industries1 | 0.36 | 0.44 | 0.70 | 1.10 | |
| Quality and Efficiency | Manufacturing quality competitiveness index2 | 83.1 | 83.5 | 84.5 | 85.5 |
| Increase of manufacturing value added rate | - | - | Increase by 2% compared to 2015 | Increase by 4% compared to 2015 | |
| Overall labor productivity growth rate in manufacturing industry (%) | - | - | Approximately 7.5 (average annual growth rate in "Thirteenth Five" Period) | Approximately 6.5 (average annual growth rate in "Fourteenth Five" Period) | |
| Fusion between industrialization and informationization | Broadband penetration rate 3 (%) | 37 | 50 | 70 | 82 |
| Penetration rate of digitalized R&D and design tools4 (%) | 52 | 58 | 72 | 84 | |
| NC rate of key processes5 (%) | 27 | 33 | 50 | 64 | |
| Green Development | Decrease of energy consumption per unit of above-scale industrial added value | - | - | Decrease by 18% compared to 2015 | Decrease by 34% compared to 2015 |
| Decrease of carbon dioxide emissions per unit of industrial added value | - | - | Decrease by 22% compared to 2015 | Decrease by 40% compared to 2015 | |
| Decrease of water consumption per unit of industrial added value | - | - | Decrease by 23% compared to 2015 | Decrease by 41% compared to 2015 | |
| Combined utilization rate of industrial solid wastes (%) | 62 | 65 | 73 | 79 |
(2) Manufacturing quality competitiveness index reflects the aggregate economic and technological indicator of China's overall manufacturing quality level, calculated from 12 indicators on quality level and development capability.
(3) Broadband penetration rate is represented by fixed broadband household penetration rate.
......