China President Xi: we must boost manufacturing sector

Recently, China’s President Xi Jinping once again addressed the importance of the high quality development of manufacturing industry. In April 26th, President Xi Jinping had an inspection tour to Guangxi Liugong Group, he stressed that the high-quality development of the manufacturing industry is the top priority of the high-quality development of China's economy. The construction of a socialist modern power and the development of the real economy are inseparable from the manufacturing industry. We should continue to work hard to promote the optimization and upgrading of the industry. Only through innovation can we become stronger and take the lead. We should unswervingly take the road of independent innovation and firmly grasp the initiative of innovation and development in our own hands.

President Xi is interested in manufacturing industry and attaches importance to the development of manufacturing industry. And he made a number of key note speech addressing the importance of manufacturing industry.

First, without the development and growth of the manufacturing industry, the foundation of China's economy will not be so solid. Xi Jinping pointed out: "to build a modern economic system, we must focus the development of the economy on the real economy." The real economy is the capital of China's development, and the manufacturing industry is the main body of the real economy, the main battlefield of technological innovation, and the important support for building the strategic advantage of future development. However, a fact that can not be ignored is that in recent years, the proportion of China's manufacturing industry in GDP has been declining. Some data show that the proportion of China's manufacturing industry in GDP has dropped from 32.5% in 2006 to 27.7% in 2019. This phenomenon has aroused the vigilance of many people. They believe that the premature and rapid decline of the proportion of manufacturing industry in GDP will not only drag down the current economic growth and affect urban employment, but also bring industrial security risks and weaken China's ability to resist risks and international competitiveness. Therefore, people in the industry call for measures to curb the premature and rapid decline of the proportion of manufacturing industry in GDP, and protect the wealth we have accumulated through decades of hard work and unremitting efforts.

Second, the high-quality development of China's economy is inseparable from the high-quality development of manufacturing industry. To develop the real economy, the emphasis is on the manufacturing industry, and the difficulty is also in the manufacturing industry. After more than 40 years of rapid development of reform and opening up, the overall scale and comprehensive strength of China's industry have reached a new level. High speed railroad, aerospace, nuclear power, information and communication and other fields have global competitiveness, and have become the world's largest manufacturing country for 11 consecutive years. However, compared with the level of major industrial developed countries and the goal of building a powerful manufacturing country, the structural imbalance between supply and demand in China's manufacturing industry has become increasingly prominent, mainly reflected in the overcapacity of low-end manufacturing equipment and the insufficient supply of advanced manufacturing equipment. According to relevant statistics, in the field of high-end equipment, 80% of China's IC chip manufacturing equipment, 40% of China's large petrochemical equipment, 70% of China's key automobile manufacturing equipment, and 90% of China's flexible display processing equipment still rely on imports. The containment and suppression of China by developed countries are mainly concentrated in the field of high-end equipment manufacturing and its key parts. We must intensify the reform, accelerate the improvement of the system and mechanism conducive to the high-quality development of manufacturing industry, enhance the endogenous power and vitality of development, and strive to seize the commanding height of a new round of industrial competition.

President Xi has already set the tone for the manufacturing industry. Waiting and hesitating will only miss the opportunity. For China's manufacturing industry, the most urgent task is to further unify the ideological understanding of high-quality development of the manufacturing industry, pay close attention to the work of high-quality development of the manufacturing industry, effectively maintain the basic stability of the proportion of the manufacturing industry, speed up the pace of building a powerful manufacturing country, firmly promote industrial transformation and upgrading, strengthen independent innovation, develop high-end manufacturing and intelligent manufacturing, roll up the sleeves and work hard. Efforts should be made to boost China's manufacturing industry and real economy, promote China's economy from large quantity to strong quality, and strive to usher a new chapter in the construction of a manufacturing power.