The People's Republic of China has realized that it is time for a rejuvenation of its great nation. The goal is no longer just to be the workbench of the world, but also to catch up to other industrialized countries in terms of quality and efficiency. The country intends to be the world-leading high-tech manufacturer.
For this reason, the strategy paper "Made in China 2025" was introduced in 2015. The efforts to achieve those ambitions are analyzed in this publication.
Martin Rambach focuses on the Chinese high-tech industries of Artificial Intelligence, Mobility, E-commerce, financial technology and its involved major players and considers the international perspective of the Chinese development ambitions.
Keywords:
- China;
- Artificial Intelligence;
- High Technology;
- Made in China 2025;
- E-Commerce
Table of Contents
1 PREFACE
2 Made in China 2025
2.1 Background
2.2 Main content
2.3 Threats and Limitations
3 HIGH TECHNOLOGY FROM THE MIDDLE KINGDOM
3.1 Future of mobility
3.2 E-commerce and Financial technology
3.3 Artificial Intelligence
4 CHINA AND THE WESTERN WORLD
4.1 Chinese influence on Europe
4.2 China, the United States and the new tech world order
5 THE SOCIETAL PERSPECTIVE
5.1 Internet in China
5.2 The Social Credit System
6 METHODOLOGY
7 INTERPRETATION OF RESULTS
8 CONCLUSION
Research Objectives and Core Topics
This thesis examines China's strategic ambition to transition from a manufacturing-heavy economy to a global high-tech superpower, analyzing the political, economic, and societal implications of the "Made in China 2025" initiative.
- The political and economic framework of the "Made in China 2025" industrial policy.
- Technological advancements in key sectors such as AI, e-commerce, and mobility.
- International relations and trade conflicts, particularly between China, the USA, and the EU.
- Societal impacts, focusing on internet censorship and the development of the Social Credit System.
Excerpt from the Book
3.1 Future of mobility
One of those industries is the automotive and mobility industry. With 29 million vehicles produced in 2017 and therefore a 29.8 percent share of the world's automobile sales, the Chinese automotive market is the largest in the world ahead of the United States (17m) in 2009. According to the Organisation Internationale des Constructeurs d'Automobiles (OICA), this means a fourteen-fold increase in absolute terms since the turn of the millennium. The Chinese vehicle market is developing rapidly (Lee, A. 2018). However, in the volume segment of smaller vehicles as well as in the upper class, a strong dominance of Western manufacturers can be seen, even while applying Chinese governmental restrictions, such as the joint venture coercion.
The German premium brands Daimler, BMW and Audi have a market share of 70 to 80 percent in the luxury class and two-thirds of the small cars (Zand 2015). But according to the Chinese government the times of Western dominance are over (Fasse et al. 2018). This technological change can be seen in the example of electro-mobility. At the 2018 Beijing Motor Show, 17 percent of the featured vehicles had an electric drive. 71 percent of those vehicles were conceptualized and assembled by Chinese manufacturers. According to the China Association of Automobile Manufacturers, the number of electric vehicles (EVs) sold will be 770,000 units in 2017, making the People's Republic the largest market for electric vehicles. In 2018, sales of 1 million NEVs are expected, compared to 400,000 units in the USA (Lee, A. 2018). Accordingly, the PRC is taking advantage of the emerging electro-mobility and increasing digitalization. More specifically, there are young start-ups and technology-driven firms that take advantage of the situation with massive support from the Chinese state in the form of tax relief (Fasse et al. 2018).
Summary of Chapters
1 PREFACE: Provides a historical overview of China's economic rise and outlines the research scope regarding technological and societal developments.
2 Made in China 2025: Explains the government's top-down industrial strategy, its goals for high-tech supremacy, and the associated threats and limitations.
3 HIGH TECHNOLOGY FROM THE MIDDLE KINGDOM: Analyzes the progress of Chinese innovation in mobility, e-commerce, financial technology, and artificial intelligence.
4 CHINA AND THE WESTERN WORLD: Investigates the international dimension of China's growth, focusing on trade relations, foreign takeovers, and geopolitical tensions with the US and EU.
5 THE SOCIETAL PERSPECTIVE: Examines how the Chinese state uses digitalization for social control through internet restrictions and the Social Credit System.
6 METHODOLOGY: Describes the qualitative research design and the selection process for the sources used in this study.
7 INTERPRETATION OF RESULTS: Uses a SWOT analysis to synthesize the strengths, weaknesses, opportunities, and threats associated with China's global leadership ambitions.
8 CONCLUSION: Summarizes the study’s findings and provides a critical outlook on China’s role as an emerging global power.
Keywords
Made in China 2025, Artificial Intelligence, E-commerce, Social Credit System, Digitalization, Geopolitics, Trade War, Innovation, Manufacturing, Mobility, Internet Censorship, Technology Policy, Economic Reform, Foreign Direct Investment, Global Power.
Frequently Asked Questions
What is the core focus of this research paper?
The paper examines China's transition from a low-cost manufacturing hub to a global leader in high-technology sectors, as guided by the "Made in China 2025" government initiative.
Which key sectors are analyzed in the work?
The work primarily addresses Artificial Intelligence, the automotive and mobility sector, e-commerce, and financial technology.
What is the primary goal of the "Made in China 2025" plan?
The objective is to establish China as a world-leading high-tech superpower by increasing domestic innovation and reducing dependence on foreign core components.
Which scientific method is utilized in this paper?
The author uses a qualitative research design, focusing on document analysis and the interpretation of reports to evaluate China's technological and societal trajectory.
What does the main body cover regarding international relations?
It covers Chinese investment strategies in Europe, such as corporate takeovers, and the escalating trade conflict between China and the United States.
How is the "Social Credit System" characterized in this thesis?
The system is depicted as a form of "gamified" social control that uses data collection to reward or punish citizens' behavior, effectively moving towards an Orwellian surveillance society.
How does the author evaluate the "Tesla Challengers"?
They are described as young, state-supported technology firms that leverage high digitalization and massive government subsidies to compete with established global automotive brands.
Why is the role of the Communist Party considered critical in this analysis?
The party's control over the state and its ability to enforce technology transfers and data policies are seen as both drivers of China's rapid innovation and significant sources of friction with Western liberal democratic values.
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- Martin Rambach (Autor:in), 2018, Silicon China. A country of boundless opportunity?, München, GRIN Verlag, https://www.grin.com/document/443107
