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By Hou Yongzhi, Research Department of Development Strategy and Regional Economy, DRC & Shen Junjie, General Office, DRC & Hua Ruoyun, China Center for International Knowledge on Development (CIKD)

Research Report, No.168, 2020 (Total 5912) 2020-7-3

Abstract: The sixth meeting of the Central Committee for Financial and Economic Affairs proposed to build an economic circle based on Chengdu and Chongqing cities, both in Sichuan province, and develop the circle into a pacesetter of strategic development in inland China and an important growth pole for high-quality development in the western region of China. The Chengdu-Chongqing area enjoys advantages in terms of geographic location, economic growth, industrial development and innovation activities. Building the Chengdu-Chongqing economic circle into an influential regional economic center in Southeast Asia and South Asia, making the pan-Asia strategic channel become smoother and developing stable and resilient regional industrial and supply chain systems are inevitable options for coping with the new global trend after the outbreak of COVID-19 as well as for improving the layout of high-level opening up and promoting the development of the western region in China in the new era. The measures are also necessary for China to take the initiative strategically and ensure strategic security. We need to develop the productive factor allocation, industrial chain layout, supply chain coordination and innovation leading centers based on existing industrial foundation of the Chengdu-Chongqing economic circle in a bid to build the area into an influential regional economic center in Southeast Asia as well as in South Asia.

Keywords: Chengdu-Chongqing economic circle, regional economic center, Southeast Asia and South Asia