China’s plans to dominate hi-tech sector with ‘Made in China 2025’ plan hit a stumbling block as US trade war takes its toll
- Production in a number of advanced manufacturing sectors dropped sharply late last year as US tariffs took effect
- Tighter US laws and regulations are likely to further impede progress of ‘Made in China 2025’ plan
Beijing’s push to dominate hi-tech industries in the next decade under the “Made in China 2025” plan has been hit by the US trade war with a number of advanced manufacturing sectors experiencing weakening demand.
Production of industrial robots fell by 12.1 per cent in December from a year earlier after a drop of 7.0 per cent in November, according to data published by the National Bureau of Statistics on Monday.
Meanwhile, growth in the new-energy car sector, which has been heavily subsidised by the government, slowed to 15.5 per cent in December from 24.6 per cent in November.
Production of integrated circuits, the semiconductors that power smartphones, computers and other electronic devices, as well as high-end industrial and military products, also fell by 2.1 per cent in December, although this was an improvement from November’s decline of 7 per cent.
Overall, output in China’s industrial sector, which includes manufacturing, mining, utilities and power generation, and makes up around 40 per cent of the nation’s gross domestic product, grew 6.2 per cent last year, a drop from 6.6 per cent in 2017.
