This document discusses the development of China's hi-tech zones and their role in promoting hi-tech industries and achieving industrialization. It outlines that China established its first hi-tech zone in 1988 and now has 146 zones. The zones have played a key role in China's economic growth, contributing over 10% of China's GDP. The document also discusses the experiences gained from developing the zones, including reforming policies, focusing on innovation, attracting global resources, and developing characteristic industries. It envisions the zones continuing to serve as platforms for regional innovation and building new industries through international cooperation.

1. Promote Hi-tech and achieve
Industrialization: the Exploration and
Perspective of the Development of
Chinese Hi-tech Industrial Development
Zones
Yan Yuecheng
Plenary Session 1: Asian Cluster Model: New Perspective and Trends

2. 2
Promote Hi-tech and achieve Industrialization:
the Exploration and Perspective of the
Development of Chinese Hi-tech Industrial
Development Zones
Torch Center, MOST, China
Nov, 2015

3. China's Hi-tech Zones have
successfully developed a path with
Chinese characteristics of hi-tech
industry
1
The Main Experience of the Development
of Chinese Hi-tech Zones2
Outlook of Chinese Hi-tech Zones3
2
Contents

4. The National Hi-tech Zones are seen as the vital carrier
and key platform to implement “develop Hi-tech and
achieve industrialization”.
The change in the 1980s of Chinese
economic society: liberate the mind,
reform and open up.
In order to embrace the new technology
revolution’s challenge, Chinese
government decided to rapidly develop hi-
tech industry, and made the National Hi-
tech Zones as the vital carrier and key
platform to implement “develop Hi-tech
and achieve industrialization”.
In May, 1988, the first national Hi-tech
Zone, Beijing New Technology Industry
Development Zone was approved by the State
Council.
4

5. There has been more than 20 years’ development for
Chinese Hi-tech Zones
The First National High-
tech Zone was established.
Established 52 National
High-tech Zones.
146 National High-tech Zones
are established.
The layout of national Hi-tech Zones
• Relying on the central cities with
solid industry foundation and intense
knowledge resources.
• Relying on coastal cities with better
opening-up situation.
• Relying on cities with military
enterprises and traditional
industries.
• Actively building support platforms
1988 1989-1992 2015
So far, there are 146 Hi-tech Zones.
5

6. China has explored a characteristic path to develop
hi-tech industries to achieve industrialization and
urbanization.
•Mainly depend on our own strength, elaborate the functions of the
local city and develop in roll.
•Make good use of policies.
•Create an innovation-driven path to develop.
Independent
innovation
Entrepreneurship
incubation
Market mechanism
Exit of land
Ecological economy
Professional parks
Management system
Industry alliance
High-level human
resource
Technological finance
International
cooperation
Overseas students’
entrepreneurship
Communication between
parks
 Radiation and guidance
Intensive
Development
Opening
Development
Innovation
Development
Endogenous
Development
6

7. Hi-tech Zones now have become the core engine
leading the development of Chinese regional
economy.
• By the end of 2014, the total revenue of Chinese National Hi-tech Zones was
22.7 trillion RMB, the industrial output value was 17 trillion RMB, the net
profit was 1.5 trillion RMB, the export amount was 435 trillion USD. There
were 7.6 million companies and the amount of employees was 0.15 billion.
Revenue GDP
GDP reached 6.96 trillion RMB, accounting
10.9% of Chinese GDP.
Revenue reached 22.7 trillion RMB in 2014.
7

8. Hi-tech Zone is the core carrier for China to build
regional innovation system and enhance the ability of
independent innovation.
Hi-tech Zone is
• the backbone to support
National Innovation System
• the region with most
intense innovation
resources, with most active
innovation activities, with
most powerful innovation
and with most abundant
achievements.
8
 R&D spending was 399.57 billion
RMB in 2014,accounting 39% of
the national R&D funds。
 R&D accounts 5.74% of GDP,2.7
times of the national average。
 14.5% of the finacial funds(54.5
billion RMB) was used for S&T
purpose in 2014。
 58 thousand invention patents
was licensed in 2014,accounting
24.9% of the total number of the
country。

9. Hi-tech Zone is the vital incubator for new industry
to develop.
Fields
Representative enterprises &
organizations
Z-Park
Internet
New mobile communication
Baidu, Lenovo, Sohu, Sina, Mi
Donghu Hi-tech
Zone
Photoelectron FiberHome Technologies Group
Hangzhou Hi-tech
Zone
E-commerce Alibaba
Shenzhen Hi-tech
Zone
Information network
service
Communication
Tencent, Huawei, ZTE
Wuxi Hi-tech
Zone
Photovoltaic new energy
Internet of Things
China IOT Research Institute
Wuxi IOT Industry Research Institute
Tianjin Hi-tech
Zone
New energy Lishen Battery, Youda Solar Energy
9

10. There come a large amount of industry clusters with
worldwide competitiveness in Hi-tech Zones.
Characteristic
industry
clusters in Hi-
tech Zones
Z-Park
IT industry
cluster
Donghu,
Wuhan
Photoelectron
industry
cluster
Shenzhen
Communication
industry
cluster
Zhangjiang
Biological
medicine
industry
cluster
10

11. Hi-tech Zones are splendid symbols of China,
leading the regional economic development.
•Hi-tech Zones have become the vital factor to lead the regional
economic growth: the percentage of GDP of 33 Hi-tech Zones has
exceeded 20%, 13 exceeded 30% and 4 exceeded 50%.
•The infrastructure and city functions of national Hi-tech Zones have
been improved. The ecological environment has been built gradually.
National Hi-tech Zones have become the key of green development around
the country.
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Wuhan Guanggu Hangzhou Hi-tech Zone Ningbo Hi-tech Zone

12. Hi-tech Zones are key matching points of worldwide
innovation network to expand the linkage radiation.
Zhangjiang
Shenzhen
Donghu
Hangzhou
Z-park
Hi-tech Zones actively match the
Belt and Road Initiative, and
enhance the ability of worldwide
innovation resource radiation. By
the end of 2014, there were 2703
people selected into Thousand
Talents Program, 111 thousand
overseas students, and 56 thousand
foreign staff.
Developed a large number of
international professional service
organizations.
More and more national Hi-tech
Zones already began to build
overseas incubators and industry
parks, exploring international
energy cooperation, technology
spillover and radiation of mature
model. 12

13. China's Hi-tech Zones have
successfully developed a path with
Chinese characteristics of hi-tech
industry
1
The Main Experience of the Development
of Chinese Hi-tech Zones2
Outlook of Chinese Hi-tech Zones3
2
Contents

14. The main experience of China Hi-tech Zones’
development
•Deepen the reforming, opening-up and
cooperation, innovation development
•Fully play the effects of local government and
market
•Gather innovation factors, build innovation
environment, and foster innovation bodies.
14

15. First, insist on reforming development, promote
the reforming of technology system and build
service-oriented government.
 Chinese Hi-tech Zones have practiced the
comprehensive reforming of technology, economy,
society and management, continue to enhance the
supply of public service and optimize the quality
of public service.
 Through the system reform, Chinese Hi-tech Zones
further liberate people and productive forces, let
people show effects and value, shaping the
situation which consist of entrepreneurial freedom
and the booming development of private economy.
15

16. Secondly, insist on innovation development,
continuously gather innovation resources and
factors, and build innovative ecology.
• Through the internal cycle of talents, knowledge and
capital, China Hi-tech Zones are forming continuous
development of economy.
16
External System
(talent,
knowledge and
capital input)
External System
(talent,
knowledge and
capital output)
Technology service
environment
Colleges and
research institutes Enterprises
talents
knowledge
capital

17. Thirdly, insist on opening up, from limited opening
to gathering worldwide innovation resources.
•China Hi-tech Zone is the outcome of globalization and
also benefits from the process.
1.The core of new
tech revolution is
the introduction
and re-development
of advanced
technologies.
2.The manufacturing
and R&D of
transnational
companies is the
double transferring
of innovation
3.Worldwide linkage is the
new stage of
globalization:
interregional
entrepreneurship,
transnational technology
transferring,
transnational incubation
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The globalization of China Hi-tech Zones

18. The fourth is to insist on endogenous development,
explore the innovation model which core is
“entrepreneurship-incubation-cluster”
Entrepreneurship Incubation Cluster
•Entrepreneurship of R&D
people
•Entrepreneurship of
overseas top talents
•Entrepreneurship of
college students
•Internal Entrepreneurship
of large companies
•interregional
entrepreneurship
•Massive entrepreneurship
•Makers’ Space
• Makers’ Space
• College S&T Parks
• Angel Venture
• VC
• Accelerator
• Professional Parks
• Gazelle enterprises
• Hi-tech large
companies
• VC
• Industry & Tech
research institution
•There are different needs of factors for different industries
and enterprises in different development stage. A region, in
order to keep fast industry growth and build industry clusters,
it needs to obey the regulations of industry growth and value.
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19. Fifth, insist on characteristic development, create
peaks in the flat world.
• Flat World and Innovation Peak are like the two sides of a
coin. In globalization, the free and rapid movement of
production factors leads to the “Flat World”. But, these
factors also form professional clusters and create peaks in
the Flat World.
− Z-park，China Silicon Valley, center of worldwide innovation；
− Donghu Hi-tech Zone，China Optics Valley；
− Shenzhen Hi-tech Zone，Peak of communication tech；
− Hangzhou Hi-tech Zone，E-business cluster；
− Dalian Hi-tech Zone, Outsourcing cluster of China
19

20. China's Hi-tech Zones have
successfully developed a path with
Chinese characteristics of hi-tech
industry
1
The Main Experience of the Development
of Chinese Hi-tech Zones2
Outlook of Chinese Hi-tech Zones3
2
Contents

21. Implement innovation-driven development strategy
comprehensively, build the platform of Chinese
regional innovation and promote completed innovation
Platform
of
innovation
platform
of
technology
service
Platform of
developing
new
industry
Platform of
internation
al
cooperation
Chinese
Hi-tech
Zones
Platform
of policy
model
Platform
of
technology
transfer
21

22. Actively build innovation ecology and implement
Public Entrepreneurship & Innovation
22
Maker’s
Space
Accelerator
Innovation Ecology
mechanism &
environment effects
Innovation
circulation
Incubator
entrepreneur
investor Entrepreneurial
enterprise
• Main Body：Public
entrepreneurs,
start-up
enterprise, angel
capital,
crowdfunder and
etc.
• Carrier：Maker’s
Space-Incubator-
Accelerator
• Service：Completed
process from idea
to enterprise

23. Implement Internet+, develop new economic
growth points and lead the new normality of
Chinese economy.
Hi-tech
Manufacturing
Service
• Tech blogs
• Big data
• Internet
finance
• 3D Printing • New energy car
• Social media
• Wearable devices
• crowdsourcing
• Super service
• Remote
education
• Internet car
• robot
• Location service
• Crowdfunding
• Cloud
• Open-source hardware
• Digital medical
treatment
• Internet
catering
• E-business
• Modern
logistic
• New media
• IOT
• Digital
convention
• digital
household
appliances
•Take Internet+
as the core
method
•Develop
actively the new
industry
•New type of
industry
organization:
platform
economy, social
economy, shared
economy and
crowdfunding
platform
23

24. Integrate with Belt & Road Initiative, gradually
promote the ability of gathering global innovation
resources.
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 Enhance the link with worldwide innovation peaks and the
radiation to emerging economic bodies, and build several
innovation centers and hubs with global influence.
Trans-regional
entrepreneurship
Promote transnational
technology transfer
• Gather various
talents with rich
experience and
worldwide
entrepreneur teams;
• Attract international
top innovation
resources.
• Promote trade and
transferring of
international
advanced technologies
• Encourage enterprises
join overseas
technology merge and
take part in the
international
standard making
Match international
financial capital
• Match overseas
angel capital, VC,
Mergers and
acquisitions fund
• Cooperate with
international
investment banks
• Support
enterprises to
finance abroad

25. Thank you!
Chinese Hi-tech Zones looking forward
to cooperating with the world and hope
to have more comprehensive effects on
Asian and worldwide economic
cooperation!
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