ANNOUNCEMENT 25 May 2018

May 25th, 2018 - The Chinese government released details of a plan to boost various of its industrial sectors.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

PRC Ministry of Industry and Information Technology, May 25th, 2018. (工信厅联规〔2018〕36号 工业和信息化部办公厅 财政部办公厅关于发布2018年工业转型升级资金工作指南的通知)
http://www.miit.gov.cn/n1146295/n1652858/n1652930/n3757016/c6193268/content.html

Ibid., August 14th, 2018. (工信部规函〔2018〕279号 工业和信息化部关于发布2018年工业转型升级资金(部门预算)项目指南的通知)
http://www.miit.gov.cn/n1146290/n4388791/c6317176/content.html

PRC Ministry of Finance, 2018. (2018年工业转型升级资金对地方补助分配结果)
http://jjs.mof.gov.cn/zxzyzf/gyzxsjzj/201807/t20180724_2970987.html

Inception date: 15 Aug 2018 | Removal date: open ended

State loan

In May 2018, the Chinese Ministry of Industry and Information Technology released a plan for a new fund intended to boost industry in the nation, entitled the 'Industry Transformation Promotion Fund'.

The announcement promised financial support for various sectors of the Chinese manufacturing industry, thereafter, on August 14th, 2018, the Ministry published Gongxinbu Guihan 2018/279, a set of guidelines for firms wishing to apply to become recognised as a 'manufacturing innovation centre', in order to receive the support laid out in the May announcement.

Applicants must be of a native Chinese firm, as well as being Chinese nationals themselves.

Successful applicants will be able to apply for funding through other relevant government plans.

The document specifically focuses on secondary industries, excluding manufacturing services and R&D.

12 types of 'Manufacturing Innovation Centre' are proposed, along with subsidy amounts for each one, below.

The type of centre is shown first, with the subsidy amounts in brackets in format shown in the first entry. Total budget for the scheme was billed as USD 1.35bn (CNY 9.29bn). Please see sources for specific regional budget amounts.

  1. Collaborative innovation in communication equipment industry production chain (less than 50% of total investment; up to max. per investment of USD 29m/CNY 200m)
  2. Increase reliability of small-scale medicine production and supply (30%; USD 36.3m/CNY 250m)
  3. Special technology development and capacity building for children's medicines (30%; USD 7.3m/CNY 50m)
  4. Clinically urgent anticancer drug production and supply safeguarding (30%; USD 7.3m/CNY 50m)
  5. Verification and application of advanced manufacturing technology standards for large-scale production of traditional Chinese medicine (30%; USD 7.3m/CNY 50m)
  6. Traditional Chinese medicine safety standard guarantee mechanisms (30%; USD 7.3m/CNY 50m)
  7. Industrialised manufacturing of high-performance polymethacrylimide foam materials for light transportation equipment (30%; USD 1.45m/CNY 10m)
  8. Industrialisation of special glass fiber fine fabrics for aerospace (30%; USD 1.45m/CNY 10m)
  9. New materials testing and verification centres (30%; USD 11.6m/CNY 80m)
  10. New materials testing and verification regional centres (30%; USD 5.81m/CNY 40m)
  11. New material production and application demonstration centres (30%; USD 14.5m/CNY 100m)
  12. New material industry national knowledge sharing platforms (30%; USD 14.5m/CNY 100m)

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