Liu Zhibiao: Industrial Chain: From "Develop the Strong Points and Avoid the Weak Points" to "Develop the Strong Points to Make up for the Weak Points"

Release time:2020-08-13Author: Liu Zhibiao

 The recent meeting of the Politburo of the CPC Central Committee clearly stated that "we must improve the stability and competitiveness of the supply chain in the industrial chain, and pay more attention to making up for the weak points and develping the strong points ". This means that the guiding ideology of China's economic development strategy has changed from "developing the strong points and avoiding the weak points" to "developing the strong points to make up for the weak points". Currently, the strategic environment of China's participation in the global intra-product division of labor has undergone significant changes. At this time, it is necessary to fully foster "short-side" industrial sectors through government support and appropriate subsidies, striving to broaden the development bottleneck. Under the “dual circulation” development pattern, making up for the weak points is equal to supplementing the key technology, core components and special materials of the industry, as well as the institutional weaknesses of technology. We should not only focus on selecting the "core-deficient" industrial chain for technology upgrading, but also promote the implementation of documents, policies and regulations. Under the condition of dynamic changes in comparative advantage, not only the weak points should be made up for, but the strong points should be more optimized. We still have to make every effort to develop labor-intensive industries, since with the support of technological progress, labor-intensive industries may also obtain high added value. The implementation of the strategy of developing the strong points to make up for the weak points requires systematically reforming systems , adjusting policies, strengthening the rule of law, and remodeling culture. One is to innovate a new national system; the other is to form domestic and foreign "dual circulation" ideas; the third is to enhance the key weak points in the construction of a modern industrial system with national strength; the fourth is to create a fairer wealth distribution system.