Liu Zhibiao & Ling Yonghui: Building a New Mechanism of National Value Chain for the Coordinated Development of Yangtze River Economic Belt

Release time:2019-04-23Author: Liu Zhibiao & Ling Yonghui

The entry of the coastal areas of the Yangtze River Economic Belt into the global value chain has become one of the main reasons for the widening economic development gap in the three major regions of the East, Central and West since reform and opening up. Under the new round of expanding domestic demand strategy, the establishment of a domestic value chain controlled by local enterprises in the Yangtze River Delta region and the use of industrial transfer to drive the development of related industries in the middle and upper reaches of the Yangtze River is one of the important ways and countermeasures to reduce regional development differences, achieve regional coordinated development, and finally complete the construction of modern industrial system. The establishment of GVC in the eastern coastal areas of China has objectively widened the differences of development level and degree among China's three major areas of the East, Central and West. Practice has proved that the construction of NVC controlled by local enterprises in China to promote the development of related industries is a key to realizing the coordinated development of regional economy. Transforming the Yangtze River Basin into a golden belt to support China's economy will greatly help to narrow the economic development gap between the East, Central and West. Therefore, it is recommended to firstly, strive to cultivate the three major urban agglomerations in the Yangtze River Economic Belt into a world-class urban agglomeration, and use the coordinated development of urban agglomerations to drive coordinated development among regions; secondly, establish NVC with the support of the domestic demand market and promote industrial gradients transfer; thirdly, combine the strategy of the Belt and Road Initiative and the development strategy of the Yangtze River Economic Belt to construct open NVC and GVC led by ourselves.