Jiaotong University campus at Zhangjiang High Technology Park. (Photo : Reuters)
A Monday Shanghai Daily piece reported on a speech delivered by the mayor of Shanghai, Yang Xiong, who described the eastern commerce hub as a city at a "critical stage of innovation-driven economic transformation."
Speaking before the annual session of the Shanghai People's Congress, the mayor made the declaration as part of the work report that he was presenting on behalf of the city's government.
Yang also spoke of "steady growth" during his announcement, echoing the reassurance given by China's second-most powerful leader, Premier Li Keqiang, in Davos, Switzerland, last week. The premier spoke of the importance of a "medium to fast speed" in terms of economic growth that will complement Beijing's prudent monetary policy.
The mayor also emphasized "quality and efficiency" in his forecast of Shanghai's future economy, further reaffirming the "new normal" of China's slowed down economic status, which Alibaba's Jack Ma says represents China's commitment to quality, rather than a growth-at-any-cost mindset.
Paying heed to a recommendation from national lawmakers in 2013, whereby gross domestic product (GDP) targets are canceled, Yang omitted the details of any growth target in a historic first. The Shanghai mayor instead told the congress meeting:
"The year of 2015 marks the final year to deliver the targets of the 12th Five-Year Plan. Shanghai is standing at a critical point--although the fundamentals remain positive--we must be aware of the difficulties and challenges ahead."
According to a statement made by President Xi Jinping last week, China as a country has only another five to six years to complete its nationwide development activities, like those being undertaken in poverty-stricken rural areas.
In addition to efforts to speed up the completion of the Shanghai Free Trade Zone, the city will implement initiatives to transform Shanghai into a global center of scientific and technological innovation. Major 2015 projects will involve civil aviation engines and gas turbines, brain science and artificial intelligence, new energy vehicles, robotics and smart manufacturing.
The city committed 83.1 billion yuan ($13.6 billion) to research and development (R&D) in 2014 for the purpose of technological innovation as well as increasing the added value of its economy. Not only does the investment mean that Shanghai ranks alongside cities in developed countries as far as R&D is concerned, but the enormous sum is equivalent to 3.6 percent of the city's GDP.
