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Tian Jietang, DRC

2017-3-14

Innovation is a booster and a key driver for the swift transformation and upgrading of the real economy. More specifically, the three major tasks for innovation development in 2017 include the continuous improvement of basic research and the original innovation ability, the persistent promotion of mass entrepreneurship and innovation and the development of emerging industries, and the enhancement of the quality and technical level of traditional industries.

Enhancing the ability of scientific and technological innovation is the basis for real economic upgrading. Since the convention of the 18th CPC National Congress, China's has achieved remarkable results in scientific and technological innovation ability, yet China's real economy is large in quantity but weak in quality as the core technology and products still have a heavy dependency on some other countries and this fact has not been fundamentally changed. Therefore, we need to strengthen basic research, improve the original innovation ability and the incentive mechanism of scientific workers, and stimulate the enthusiasm and wisdom of talents.

Cultivating new industries and promoting mass entrepreneurship and innovation is the engine for the upgrading of real economy. As the high-quality incremental part bolstering China’s real economic structure, strategic emerging industries and the emerging services industries with the application of new technologies are the engines leading real economic upgrading. The development of emerging industries needs an easy institutional environment and efficient governance. We need to adopt an open mind and an inclusive approach towards emerging economy, and adopt new management tools and rules for the rapid and healthy development of emerging economy.

The transformation and upgrading of traditional industries is the foundation for the upgrading of real economy. 1. The changes in production, management and marketing model of the traditional industry are promoted by new technologies, new business forms and new models. 2. The quality of traditional industries needs to be comprehensively improved in order to achieve the transformation and upgrading of the real economy.