1. Evaluation of the government procurement policy and its correlation of the implementing regulations in China Hefa, SONG ,Rongping, MU Institute of Policy and Management, Chinese Academy of Sciences Add.: NO. 55, Zhongguancun east road, Haidian district, Beijing, P.R.China P. code: 100190 Email: [email_address] Tel.: 8610 62540746 Fax : 8610 62540746

2. Main contents 1. Introduction 2. Literature review 3. Implementation of China's government policy 4. Correlation analysis between the government procurement policy and the implementation regulations 5. Main recommendations

8. Table1 Types of the enterprises whose products were included in the "Catalogue for Government Procurement of Indigenous Innovative Products" central-rate enterprise state-owned enterprise (non-central rate) enterprise transferred from institute or academy collective enterprise private enterprise foreign-funded enterprise others Unknown type total number 15 37 4 3 73 8 17 9 166 percentage 9.0% 22.3% 2.4% 1.8% 44.0% 4.8% 10.2% 5.5% 100%

9. Table 2 Reasons for the enterprises whose products weren’t included in the "Catalogue for Government Procurement of Indigenous Innovative Products" reason category enterprise didn’t know the policy policy was less attractive policy requirements were too high to enjoy policy was lack of operability Percentage of the number of the enterprises which were not included in the "Catalog of government procuring the indigenous innovative products 28.72% 4.03% 42.02% 19.00% Percentage of the number of the enterprises which didn’t enjoy the government's first buy of the indigenous innovative products and ordering policy 31.69% 4.18% 46.66% 19.45%

11. 4. Correlation analysis between the government procurement policy and the implementation regulations 4. 1 Analysis method: comparison study Supporting policy point1 point2 Point5 regulation1 regulation2 regulation7 Other laws or policies Other regulations consistency inconsistency contradiction deficiency …… ……

17. 4. Establishing a quick updating mechanism of Catalogue of Indigenous Innovative Products. Governments should issue the Catalogue of Indigenous Innovative Products and should update it timely. 5. Increasing the proportion of subsidy-based procurement. The major domestically made high-tech equipments and products that possess proprietary intellectual property rights can be given a post subsidy in accordance with its R&D costs and pre-state financial investment and the required years to amortize. 6. Expanding the government procurement policy scope to the individual indigenous innovative products and technologies. Non-service invention products and technologies should be treated as the indigenous innovative ones and should be purchased by the government too.