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Optimize the Productivity Layout through Technological Clustering against the Backdrop of China-US Tech Competition (No.269, 2020)

Dec 22,2020

By Sun Zhiyan, Department of Development Strategy and Regional Economy, DRC

Research Report, No.269, 2020 (Total 6013) 2020-11-11

Abstract: As one of the main source countries of new technologies, the United States has imposed harsh blockade on China in high and new technology in recent years. Meanwhile, some parts of China are plagued by technological limits and the economic growth and structural transformation in those areas prove hard to continue. Therefore, the following problems hold the key to China’s new development pattern: how to meet the challenge of future technological development and build a more foresighted productivity layout. This study concludes that China needs to focus on the emerging cutting-edge technologies and implement the “technology cluster” development strategy, which needs to be placed at the core of China’s efforts to optimize its future productivity layout. In terms of the spatial layout of technology clusters, this study proposes the “mix-and-match” model, namely “government choice plus market competition” and “macro balance plus micro clusters”, with the outskirts of urban clusters as the priority. It is also necessary to explore policy sandboxes based on “technology clusters” so as to create a more inclusive environment for the growth of these clusters. Technology cluster building funds need to be set up nationwide. And a more effective sharing mechanism needs to be established to expand the spatial network of technology clusters.

Keywords: China-US tech competition, technology clustering, productivity, layout optimization