China to Focus Attention to Value Added Industries to Boost Economy
As the government shifts it focus to value added industries to spur the economy, the government is planning to support companies that are manufacturing high tech equipment for different sectors ranging from energy, railways and agriculture. The National Development and Reform Commission stated that the government is ensuring that these industries will get financial support and is encouraged to have overseas acquisitions.
Plus the government is also procuring from these companies and the National Development and Reform Commission said that the efforts are part of a two year plan that will create a globally competitive brand that is home grown in six industries namely railway transport equipment, industrial robots, electric cars, high tech marine equipment, high end medical devices and modern agricultural machinery.
As the economy is growing even at its slowest rate in decades, rising costs has eroded China’s competitiveness as one of the world’s largest factory. The government is trying to move away from low value manufacturing and is looking into high value ones as it unveiled its Made in China 2025 plans. The government is also planning to merge its top train makers to create the biggest firm CRRC Corp. that will focus to export China’s rail technology.