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Made in China cannot replace all foreign manufacturing

Some foreign media have expressed concern that "Made in China 2025" is to replace Chinese technology with foreign technology in high-end industries, replace Chinese manufacturing with foreign manufacturing, and increase the competitiveness of Chinese high-tech companies on a global scale.

Impossible to replace all foreign manufacturing

"Some foreign media believe that" Made in China 2025 "is an import substitution, which is misunderstood and misunderstood." Li Beiguang, deputy director of the Planning Department of the Ministry of Industry and Information Technology, said in an Economic Daily that China is still a developing country. There is a great demand for both products and products. The formulation and implementation of "Made in China 2025" is aimed at accelerating the transformation and upgrading of China's industry. The independent innovation and the development of high-end manufacturing are also to meet the needs of China's economic development, improve people's livelihood, and protect national security.

In response to the voice of "Chinese technology must replace foreign technology" in the foreign media, Xu Zhaoyuan, a researcher at the Industrial Economics Research Department of the Development Research Center of the State Council, said that "Made in China 2025" mainly emphasizes the development of high-end manufacturing, and it is exactly this strategic goal that aligns with The United States, Japan, and Germany are mainly developed countries with high value-added and high-end industries. Therefore, some foreign media will claim that China is to replace foreign manufacturing in high-end industries.

"Foreign media are a little bit worried, and it is impossible for any country to monopolize or replace all high-tech industries." Xu Zhaoyuan said that from the experience of the major developed countries in the world, the developed countries generally have to follow industrial upgrading and continue to expand. The path of the proportion of high-end industries, and in this process did not have a significant impact on the world manufacturing landscape. For example, Japan, South Korea, and Germany have not completely replaced American manufacturing in the process of manufacturing catch-up and rise.

In other words, the implementation of "Made in China 2025" will definitely promote further technological breakthroughs in some industries and develop China's own high-end technology. It will also generate competition for high-end industries in other countries, but each country has its own advantageous industries. It is impossible for a country's manufacturing industry to completely replace foreign manufacturing.

Since this year, some international organizations including the Mercator China Research Center in Germany, the European Union Chamber of Commerce in China, and the American Chamber of Commerce have published research reports on "Made in China 2025". In this regard, Li Beiguang emphasized that the relevant development indicators of the “Made in China 2025” and other related domestic market shares mentioned in the report are all based on the research report prepared by the Strategic Advisory Committee on Manufacturing Power, which is predictive and mainly plays a guiding role. . In addition, the Strategic Advisory Committee is a research and consulting organization composed of experts, scholars, and corporate executives. When the roadmap was released, it was stated that the above indicators are predictive, not binding, and not government actions.

No unfairness

After the "Made in China 2025" was released, there was also the argument that China would increase investment in domestic enterprises and bring unfairness to foreign companies. In this regard, Li Beiguang frankly stated that for more than two years since the implementation of "Made in China 2025", domestic and foreign companies have been applying the same standards and treated equally. In January 2017, the State Council issued a notice that foreign-invested enterprises and domestic-funded enterprises equally apply the "Made in China 2025" strategic policies and measures.

For example, in terms of establishing a manufacturing innovation center, the National Power Battery Innovation Center and the University of Western Ontario in Canada have jointly established a joint laboratory. The National Additive Manufacturing Innovation Alliance already has 3 overseas member units. In terms of intelligent manufacturing, Nantong COSCO Kawasaki Marine Engineering The “Pilot Demonstration of Intelligent Workshop of Shipbuilding” was listed as a pilot demonstration project of intelligent manufacturing.

Li Beiguang added that C919 is an example of cooperation between Chinese and foreign companies. Its engines, avionics and flight control systems come from a number of European and American joint ventures or wholly-owned companies. Suppliers include General Electric and Honeywell, among which are Tier 1 suppliers. There are more than a dozen international companies in China, and hundreds of Tier 2 and Tier 3 suppliers.

"Questioning that the view of 'supporting only local companies and bringing pressure on foreign companies' is misunderstood and misunderstood and deliberately misunderstood." Qiao Biao, director of the CCID think tank planning research institute, said on the surface that this is correct. The focus of China's manufacturing development strategy is essentially to use the hegemony of international discourse to exert pressure on the development of China's manufacturing industry, and even stir up the dissatisfaction of foreign-funded enterprises and reduce the attractiveness of China's manufacturing development environment. Further analysis shows that European and American countries' doubts on "Made in China 2025" are mainly worried that the rise of China's high-end manufacturing industry will seize the international market.

It should be noted that at present, many high technologies and their products in developed countries impose strict restrictions on China and export embargoes. "Controlling core technology by people is the crux of China's manufacturing industry, which is large but not strong." Qiao Biao believes that if this problem is not solved, not only will the transformation and upgrading of traditional industries become empty words, the development of strategic emerging industries will also lack foundations. The starting point of Manufacturing 2025 is to rely on independent innovation to solve the shortcomings of our development and meet the demand for products in the escalating domestic market.

Will bring huge business opportunities to Chinese and foreign markets

Qiao Biao admits that any country is willing to improve the quality and level of its own equipment, which is beyond reproach, but closing the door to improve the quality and level of its own equipment, under the conditions of globalization, is equivalent to building cars behind closed doors. with reason.

"China is actively promoting 'Made in China 2025' to provide companies in various countries with broad market opportunities and cooperation prospects." Li Beiguang said that after the release of "Made in China 2025", China has carried out active exchanges and cooperation with some countries. For example, a cooperation mechanism has been established with "Industry 4.0" in "Made in China 2025" and has achieved positive results.

However, due to cost and other reasons, the advantages and focus of developed countries in Europe and the United States are mainly in the field of high-end manufacturing. The development of China's manufacturing industry from the low-end to the high-end still requires a process. Li Beiguang revealed that in the coming period, China and the United States and Japan and other manufacturing powers will still maintain complementary relations. The already established global industrial division of labor and the competitive situation are unlikely to have subversive changes in the short term.

What is certain is that the improvement of the Chinese market in pursuing product quality and equipment improvement will certainly promote the expansion of the world market. Qiao Biao analyzed that, on the one hand, the implementation of "Made in China 2025" will bring huge market opportunities for Chinese and foreign enterprises. To improve the quality of product manufacturing, Chinese enterprises must improve their technological level and equipment level. In this process, they need to cooperate with developed countries, and more foreign equipment manufacturing products and technologies will enter the Chinese market.

On the other hand, with the implementation of "Made in China 2025", more Chinese and foreign enterprises will strengthen cooperation in the field of equipment technology. China is the world's largest consumer market and the largest market for advanced technology applications. To enter the Chinese market with foreign equipment, products must be localized. For example, GM in the United States now has a 17% market share in China. It has been transformed according to China's road conditions and climatic conditions, and its market share has been continuously expanded.

Li Beiguang said that the release and implementation of "Made in China 2025" is by no means "not buying foreign products" or "replacing foreign manufacturing." On the contrary, in the process of implementing "Made in China 2025", China will always adhere to the concepts of open development and win-win cooperation, cooperate with more foreign enterprises, and create a good environment for pragmatic cooperation among enterprises.

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