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By Yang Jianlong, Research Department of Industrial Economy, DRC & Li Jun, Beijing Institute of Graphic Communication

Research Report, No. 51, 2020 (Total 5795) 2020-3-24

Abstract: To cope with the impacts of trade frictions in the short term and meet medium and long-term demands of China’s industrial restructuring and high-quality development, China should follow the trend of global industrial transfer and play a leading role proactively to steadily consolidate and enhance its position in the global value chain. With its advantageous position in the global manufacturing value chain gained over the past decades, China can make full use of the strategic opportunities brought by the Belt and Road Initiative, play a leading role proactively and design a scientific layout to build a manufacturing value chain system featured by made-in-China products, cutting-edge industrial and technological resources from advanced economies such as Japan, Republic of Korea and European countries, production and manufacturing systems covering India and Southeast Asian countries, and a greater presence in the global market. To this end, it needs to focus on improving division of labor and industrial cooperation with East Asia, Southeast Asia, South Asia and other neighboring countries and enhance the ability of the Chinese multinational enterprises on internationalized development. China should also encourage and support the transfer of transnational industries aiming for expanding overseas markets to facilitate domestic enterprises in going global .

Key words: global value chain, the manufacturing industry, transformation and upgrading, major and supporting industries