China s Fifteen-Year Plan for Science and Technology: An Assessment
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1 asia policy, nmber 4 (jly 2007), research note China s Fifteen-Year Plan for Science and Technology: An Assessment Sylvia Schwaag Serger & Magns Breidne Sylvia Schwaag Serger is Senior Advisor Asia at the Swedish Institte for Growth Policy Stdies (ITPS) and Senior Research Fellow at the Research Policy Institte, University of Lnd. From she was stationed in Beijing where she analyzed China s innovation system. Dr. Serger can be reached at <sylvia.schwaagserger@itps.se>. Magns Breidne is Senior Analyst Science and Technology at the Swedish Institte for Growth Policy Stdies (ITPS). Since 2004, he has been stationed in Beijing where he mainly condcts stdies on Information Technology development in China. Dr. Breidne can be reached at <magns.breidne@itps.se>. Note An earlier version of this paper was presented at the conference New Asian Dynamics in Science, Technology and Innovation, Gilleleje, Denmark, September The athors wold like to thank Pete Sttmeier, Claes Brndenis, and Bo Göransson for valable comments. keywords: china; science & technology; fifteen-year plan; economic policy The National Brea of Asian Research, Seattle, Washington
2 asia policy exective smmary The essay provides a critical assessment of China s latest fifteen-year plan for science and technology. main argment The latest long-term plan for science and technology reflects China s determination both to overcome growing domestic social and environmental problems throgh technology and to become a world leader in innovation. The plan presents no radical departre from earlier strategies and contines to define policymaking by a strong belief that innovation can be decreed or steered by the government. The plan relies heavily both on spply-side policies for research and edcation and on a technology-driven view of innovation, rather than tackling less tangible and more complex isses sch as deficits in social capital, instittion-bilding, and bilding an innovation-friendly environment. New targets to strengthen independent or indigenos innovation raise concerns abroad over the emergence of techno-nationalism and implications for China s ftre economic openness. policy implications This essay identifies two policy implications for China: Rather than focs on a possible conflict between imported and indigenos innovation, policymaking wold benefit more by concentrating efforts on how to increase positive spillovers from foreign R&D. Helpfl wold be if policies aimed to improve the ability of companies, consmers, and instittions to generate bt also to receive, absorb, and internalize knowledge as well as new ideas, prodcts, and processes. In addition to natral sciences and technology-driven innovation, policy efforts wold benefit from focsing on markets and consmers, organizational and process innovation, social capital, and (particlarly) trst and instittion-bilding. The essay identifies three policy implications for the international commnity: China s development is part of a fndamental shift in the international distribtion of knowledge. Other contries wold benefit by responding positively and constrctively to this development and working to better nderstand China s innovation system. China s new ability to both attract and provide knowledge resorces offers significant opportnities for mtally beneficial exchange and cooperation in research and edcation. By working with China, the international commnity might prevent technonationalistic tendencies from steering China toward protectionism.
3 serger & breidne china s fifteen-year plan On Febrary 9, 2006 the State Concil presented its plan to strengthen China s scientific and technological (S&T) progress in the coming fifteen years. The annoncement of the plan was eagerly awaited both within and otside of China for several reasons. This annoncement marks not only China s first long-term plan in the new centry bt also the first plan China presented since becoming a member of the World Trade Organization (WTO) and since President H Jintao and Prime Minister Wen Jiabao came to power in For the international commnity, the plan indicates how Beijing aims to strengthen China s ftre economic and technical development ndobtedly having a profond impact on the rest of the world. The plan warrants carefl analysis becase it reflects Beijing s ambitions to make China one of the world s most important knowledge bases. Also of importance is that the plan contains an explicit target to redce China s dependence on foreign research and development as well as to se pblic procrement to strengthen China s domestic indstry. Additionally, rather than sing the word jiha (plan) which had been sed for previos long-term strategies the State Concil made a point of sing the word giha, or long-term program, distancing the plan from the notion of a traditional plan economy. 2 In practice, however, many government offices inclding the homepage of the Ministry of Science and Technology (MOST) still refer to the long-term plan. This essay provides a critical assessment of China s latest long-term plan for science and technology. The essay is organized as follows: pp provides a brief overview of recent developments in China s research, development, and edcational system pp smmarizes key components of the plan pp discsses key details of the plan pp examines the actors and processes involved in the development of the new plan pp looks at concrete steps ndertaken for its implementation National Otline for Medim and Long Term Science and Technology Development Planning ( ), Ministry of Science and Technology of the People s Repblic of China, China Science and Technology Newsletter, no. 456, Febrary 9, newsletters/2006/200611/t _37960.htm; and State Concil of the People s Repblic of China, State Concil Decision Notice of the Implementation of the Long-Term Plan for the Development of Science and Technology and the Increase of Independent Innovation (Beijing: China Legal Pblishing Hose, 2006). 2 State Concil of the People s Repblic of China, Gojia zhongchangji kexe he jish fazhan giha gangyao ( ), Febrary 9, 2006, See, for example, Ministry of Science and Technology photonews/200704/t _43489.htm. [ 137 ]
4 asia policy pp analyzes the plan in the context not only of China s rapidly increasing knowledge resorces and of the characteristics of its innovation system bt also in the context of China s larger socioeconomic challenges pp assesses how the fifteen-year plan reflects some of the principal weaknesses in China s innovation policy and system pp reflects on the implications of the analyses for other contries and attempts to formlate some policy recommendations backgrond: research and development in china Technological development in China is driven by long-term five-year plans, the first of which was presented in Until 1965 China followed a system of central planning patterned after the Soviet system. Althogh not implemented to the same extent as in the Soviet Union, the system reslted in a highly breacratic and hierarchical research and development (R&D) strctre. Althogh China developed both nclear weapons and ballistic missiles (with spport from the Soviet Union) dring this time, central planning severely hampered technological and scientific development. Dring the Cltral Revoltion ( ) many niversities sht down while professors were sent to the contryside to work in the fields and on farms, reslting in the loss of a generation of researchers. At the same time, China weakened its ties with the Soviet Union and came to realize the disadvantages of importing developed technology rather than developing its own. It was not ntil after Mao s death and Deng Xiaoping s accession to power that China began to open p economically to the rest of the world with the lanch of the for modernizations (in agricltre, indstry, science and technology, and national defense). 5 The farreaching transformation of these for sectors lead China into the modern era. Althogh the roadmap has since been adjsted, Deng Xiaoping s motto science is the first prodctive force (keji shi di yi shengchan li) remains the giding principle. Since the latter half of the 1990s China has strived for a more market-oriented and high qality research system by implementing a nmber of policy initiatives. R&D expenditre increased dramatically. Figre 1 shows 4 For a good overview of the historical development of China s science and technology system, particlarly its plans and policies, see Ke Yan, Zhonggo keji: Gaige y fazhan (Beijing: Wzho chanbo chbanshe, 2004). Translated by Chen R as Chinese Science and Technology: Reform and Development (Beijing: China Intercontinental Press, 2004). 5 Zhicn Gao and Clem Tisdell, China s Reformed and Technology System: An Overview and Assessment, Promethes 22, no. 3 (September 2004): ; and Kathleen Walsh, Foreign High- Tech R&D in China, The Henry L. Stimson Center, Report, Jne, [ 138 ]
5 serger & breidne china s fifteen-year plan figre 1 R&D Intensity in 2004 and Annal Average Growth Rate (AAGR) of R&D Intensity, * China 10 R&D intensity AAGR, Spain Rssia Trkey United Kingdom Ireland France Japan Germany Sweden United States 4 Poland R&D intensity Sorce: Erostat, R&D expenditre in Erope, Statistics in Focs, Eropean Commnities, Jne, * R&D intensity is R&D expenditre as a percentage of GDP. that China s R&D expenditre as a share of GDP has been growing mch more rapidly than in the United States, Japan, or any Eropean contry. This growth is even more impressive given that China s GDP has simltaneosly grown by close to 9% per year on average. Along with China s increasing R&D expenditres has come a far-reaching strctral transformation of the contry s R&D system. First, involvement of the bsiness sector in R&D fnding and performance increased dramatically; the bsiness sector s share of total R&D expenditre increased from 30% in 1994 to 64% in National Brea of Statistics and Ministry of Science and Technology, China Statistical Yearbook on Science and Technology 2005 (Beijing: China Statistics Press, 2005). [ 139 ]
China s 15-year plan for scientific and technological development a critical assessment
China s 15-year plan for scientific and technological development a critical assessment Schwaag-Serger, Sylvia Published in: Asia Policy Published: 2007-01-01 Link to publication Citation for published
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