Table of ContentsChinaRecent Developments in STI SpendingGlobal STI StrategySTI Policy GovernanceScientific BasisR&D and Business InnovationEntrepreneurshipClusters and Regional PoliciesKnowledge Flow and CommercializationHuman ResourcesNew Sources of GrowthTechnology Transfers and CommercializationClusters and Regional PoliciesGlobalizationICT and Internet InfrastructureHistory of economic growth in Asia The People's Republic of China and India constitute a fairly popular subject of academic research and debate at different levels, national and international. These two Asian giants have brought a great change through their bold measures in almost every area of ​​their national life and the days of mass poverty are over. China has experienced a high rate of economic growth over the past three decades and is currently the world's second largest economy in terms of nominal GDP and the largest in terms of purchasing power parity (PPP). India, on the other hand, has been growing steadily for around fifteen years, except for a lull between 2012 and 2014, and currently ranks sixth in the world in terms of nominal GDP and third in terms of PPP . The two countries represent opposite sides of the political spectrum, India, a liberal democracy, and China, a highly centralized communist country. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get an Original Essay Both of these countries have large populations, China is the most populous country in the world while India is the second. However, it is this human resource whose better use has generated positive results for these two countries. Science, Technology and Innovation (STI) has played a vital role in educating and training the large population of these countries to effectively contribute to national growth. A holistic approach integrating STI and other important aspects of the economy and national life has made a real difference in the growth story of these countries. Almost all spheres of national life have been affected by STI, whether it is agriculture, manufacturing or services. However, the establishment of a policy dedicated to STI in these two countries is a recent phenomenon. Developed countries first implemented targeted STI policy, followed by developing countries such as China and India, but modified their policies to meet their specific national needs. International collaboration with various forums and organizations was also desired for these STI policies and guidelines. ChinaAfter three decades of unprecedented economic growth, China appears to have entered the so-called "new growth phase", highlighting key transitions and changes. in policy directions ranging from rapid growth to sustainable growth, from the public sector to the private sector, from investment to consumption and from manufacturing to services. The long road to success will depend on this transition to a new growth trajectory, but will require not only structural reforms, but also to make STI a key driver of growth. China has continued to increase its investments in STI, with its gross domestic expenditure on research and development (GERD) reaching 2.05% of GDP in 2014. After launching economic reforms and opening up to the world at large, China China has implemented many scientific projects. and technological programs and institutions, which played an important role in thestrengthening the country's scientific and technological (S&T) strength while supporting economic and social development. However, after recognizing that there is a significant level of duplication and inefficiency in these programs and in the allocation of S&T resources, China has launched an ambitious reform to transform its S&T system under the aegis of its S&T policy. 2012 of “National development strategy focused on innovation”. It was revised in 2016. The 13th Five-Year Plan, launched in 2016, and within its framework the 13th Five-Year Plan on STI, were released in 2016 to establish a set of goals for S&T development for 2016-20 , such as R&D to reach 2.5% of GDP by 2020. China is the world's second largest economy in terms of GDP, but its GDP per capita is still low. The STI system is transitioning from a Soviet-style scientific R&D system to a broader market-based innovation system. In recent decades, China's dependence on foreign technology has increased significantly due to its "open door" policy which has allowed it access to foreign capital and technology and which has also created pockets of knowledge-based activities. The national innovation system shows marked regional disparities. Beijing has a strong scientific base, with many PRIs, including the Chinese Academy of Sciences (CAS), and leading universities; they are national R&D centers with global connections. Shanghai has a large-scale, R&D-intensive industrial base. Guangdong province has an innovation system based on foreign (manufacturing) companies and accounts for more than half of China's PCT patent applications (nearly two-thirds in ICT). In contrast, China's western regions lack the absorptive capacity to capture knowledge flows from coastal areas. regions and abroad. Collaboration is weak between regions. Chinese R&D output in terms of patents is low, even though Chinese companies are active as both R&D performers and subcontractors. The business sector represents 72% of GERD (1.30% of GDP). Businesses fund 11% of university research (0.06% of GDP). China's RTA has increased in ICT over the past decade, but has lost considerable ground in biotechnology and green technology. Innovative entrepreneurial activities seem limited by regulatory and administrative burdens. The dominance of state-owned enterprises, particularly in public establishments, tends to reduce pressures for innovation. China's ICT infrastructure has developed rapidly but, in per capita terms, ICT usage and e-government readiness are still low compared to developed countries. 179 billion. Since 2009, China has been the second largest country in the world in terms of R&D spending after the United States. GERD reached 1.77% of GDP in 2010. The share of GERD in GERD reached the highest level in OECD countries (GERD is carried out by the business sector), and self-financed R&D by businesses reached 93%. The S&T Development Term Plan 2006-20 (MLP) provides a blueprint for China's transformation into an innovation-driven economy by 2020. R&D spending is expected to reach 2.5% of GDP. The 12th Five-Year Plan for S&T Development (2011-15) played a central role in the implementation of the MLP and emphasizes key technologies for strategic and emerging industries such as manufacturing, agriculture and ICT, thus alleviating pressures onenergy, resources and the environment. and meet the needs of an aging population. STI policy governance Chinese STI governance is characterized by strong leadership from the central government in defining strategic directions, objectives and policy frameworks. Provincial governments can adapt the national STI strategy to regional implementation conditions. Scientific base Public research is strongly oriented towards applied and experimental R&D. Despite a major reform that transformed many PRIs into corporations in the early 2000s, PRIs still dominate public research. In 2010, CAS launched Innovation 2020, an extension of the Knowledge Innovation Program, designed to improve CAS's R&D capacity and contribution to innovation by creating a series of research centers in the knowledge sciences. space, IT, energy and health, as well as science parks. in Beijing, Shanghai and Guangdong.Enterprise R&D and InnovationThe government has adopted various policy instruments to promote enterprise-centered innovation, with emphasis on local innovation capacity. Although direct government support for corporate R&D is limited, new tax incentives are boosting China's technological development.EntrepreneurshipCorporate income tax and value-added tax (VAT) have been significantly reduced for manufacturing sectors. high technology, businesses, SMEs and ICT companies to support the development and transfer of technology in the software industries. New regulations allowing foreign investors to purchase local currency to invest in private equity partnerships were adopted in early 2011, and the central government allocated $25 billion to strengthen credit guarantees and support the expansion of domestic demand. economic and high-tech zones. Recent policy initiatives aim to strengthen ties between them. Strengthen transport infrastructure, particularly to accelerate the construction of a high-speed rail network between Beijing, Shanghai and the Pearl River Delta. The Development and Reform Planning Framework for the Pearl River Delta Region (2008-20) was adopted to establish the region as an innovation center in the Asia-Pacific region. Knowledge flow and commercializationAttention has been given to strengthening the regulatory framework for IPR protection. and facilitate knowledge transfer and commercialization. A new national intellectual property strategy, adopted in 2008, aims to achieve a relatively high level of production, use, protection and management of intellectual property by 2020. A special fund was established in 2009 to support international patents and national interim arrangements for the management of intellectual property. major projects were adopted in 2010 and an action plan for the protection of intellectual property was launched in 2011. Human resourcesThe National Medium and Long-Term Plan for the Development of Scientific and Technological Talents (2010-20) was adopted to promote the mobility of highly qualified people, implement innovative platforms for S&T talents and create national research centers for high-level R&D personnel. Companies that invest in education and training programs benefit from tax incentives. Green Innovation In 2009, the Ten Cities and Thousands Lightening project aimed to promote the application of solid-state lighting technology in 37 cities. The same year, a program ofdemonstration involving 1,000 energy-saving or new energy vehicles in 25 cities was launched to direct the automobile market towards new energy vehicles and have 500,000 of these vehicles on the market by 2015. The Annual Plan ( FYP) has also paid considerable attention to energy and climate change, for example by gradually establishing a carbon trading market, and triggered a new wave of industrial policies favoring the clean energy and related technology industries. Fostering sustainable/green growthThe main priority is to strengthen the contribution of STI to China's transition to an environmentally sustainable development mode. China's green productivity was much lower than that of the EU. However, China's RTA in green technology has declined over the past decade. The government's 12th Five-Year Plan (2011-2015) set the green productivity growth target at 17% over the five-year period, thereby focusing considerable attention on energy and climate change and triggering a new wave of policies industrial initiatives in favor of clean energy. energy industries and associated low-carbon technologies. In the government's 13th Five-Year Plan (2016-2020), environment and ecological improvement are among the major tasks of the nation. By 2020, energy consumption per unit of GDP must be reduced by 15% compared to the 2015 level and CO2 emissions by 18%. Addressing societal challenges (including inclusiveness)China faces serious societal challenges in terms of food security, public health and aging, all of which will require contributions from STI. Major national S&T projects focus heavily on public health, ageing, food and drug security, and disaster prevention, while the national S&T plan has been adjusted to place greater emphasis on agriculture, energy resources, ecological environment and health. The fields of energy and health are also part of the four sectoral axes of the Innovation 2020 program of the Chinese Academy of Sciences (CAS). China has promoted “inclusive innovation”, that is, innovation by and for low-income people. Existing initiatives include the Spark program, which promotes agricultural and rural development by facilitating farmers' access to relevant technologies and associated training, as well as the S&T for Public Welfare program, which supports the commercialization of technologies that can benefit social development. Business R&D and innovation The share of BERD in GERD has risen to the highest level among countries with developed economies, with self-financed R&D by businesses reaching 94% of BERD in 2012. The review of the implementation implementation of the National Medium and Long Term Plan for S&T Development (2006-20), carried out in 2010, highlighted the need for greater vitality and dynamism with regard to business participation to technological innovation. It is recognized that close collaboration between companies, universities and research institutes is necessary, that high-level innovative S&T talents are relatively lacking, that the allocation of S&T resources needs to be more efficient and that the implementation implementation of local innovation policy must be strengthened. In April 2015, China launched a national strategy for mass entrepreneurship and innovation, which aims to enable more people to start their own businesses and get involved in innovation. Improve the attractiveness of scientific careers andresearch Although China has the largest pool of human resources in the world for S&T, the share of the population qualified in higher education is still extremely low. Additionally, China lacks world-class researchers. Both the Thousand Talents program and the CAS 100 Talents program aim to attract and retain high-level academics, including from abroad. The National Plan for S&T Talent Development (2010-20) addresses the business sector's needs for innovative personnel by supporting the mobility of highly qualified people and investing in innovation platforms and key national laboratories for train talented and leading R&D personnel. Strengthening public R&D capabilities and infrastructure Although many PRIs became corporations as part of the reform of the S&T system in the early 2000s, PRIs still dominate Chinese public research and are strongly oriented toward applied and experimental R&D. The government released the Implementation Plan for Deepening the Reform of the Science and Technology System in September 2015 to accelerate the construction of a national innovation system, including reporting instruments and an advanced system of management of research results. The latest round of PRI reforms aims to clarify the roles of the three types of PRI (business innovation, social protection and basic research) and establish appropriate governance, management and financing mechanisms to help them fulfill their missions. The Medium and Long-Term Plan for the Construction of National Key Technological Infrastructures (2012-30) aims to develop research infrastructures in life sciences, environmental sciences, materials science, space sciences and other areas. The manufacturer faces a challenge as Chinese labor costs have increased and multinationals, including Chinese, are increasingly offshoring their manufacturing operations to countries where labor costs are weaker. To address these challenges and seize the opportunity of the "next productive revolution", China launched "Made in China 2025" in 2015, as part of a 30-year strategy to strengthen China as a manufacturing country. . It is the first in a series of ten-year national plans, focusing on improving innovation, product quality and environmental sustainability, optimizing industrial structure and resource development human rights in the Chinese manufacturing industry. Ten key sectors have been targeted for support, including ICT, robotics, agriculture, aerospace, marine, railway equipment, clean energy, new materials, biological medicine and medical devices. The main objective of “Madeen China 2025” is modernizing the industry through increased use of digital technology. The “Internet Plus” initiative was launched in 2015 with the aim of digitalizing important sectors of the economy and building a smart, interconnected and service-oriented industrial ecosystem by 2025, thereby making digitalization a important growth engine. It aims to develop smart factories, improve the synchronization of production lines, better personalize manufacturing and promote manufacturing as a service. Combined with other policies, this initiative aims to bring about a “new industrial revolution”. The PRI is not very engaged in patenting activities. To foster collaboration between academia and industry, the government supports the Strategic Alliance for Chinese Industry Technological Innovation by funding the.