Talent, Innovation and Industry Chain Resilience Report 2023

 The global industrial chain has emerged during the process of economicglobalization, in which enterprises from various countries cooperate in a specializeddivision of labor according to the market economy principles of efficient and freemovement of production factors and optimizing resource allocation. This is in line withthe trends of economic and social development. Currently, the world isundergoing “the significant transformation that has not been seen in a century”, withthe profound impact of the pandemic and the convergence of multiple challenges andcrises. Economic globalization is facing headwinds, and the security and stability of theglobal industrial chain are at risk. Maintaining the resilience and stability of the globalindustrial chain is essential for driving global economic development and is in thecommon interest of people around the world.

The Chinese government places a high priority on the resilience of industrial andsupply chains. The 20th National Congress of the Communist Party of China explicitlystated the need to “focus on enhancing the resilience and security of industrial andsupply chains”. Ensuring the stability and security ofindustrial chains while improvingtheir modernization is aimed at reducing the risks of “chain blockages”and “chaindisruptionsand laying a solid foundation for industries to move towards the high endof the global value chain. At the Central Economic Work Conference 2022, it wasfurther emphasized the importance of“strengthening weak links in the industrial chain”and that “industrial policies should prioritize both development and security.” In May2023, during the first meeting of the 20th Central Committee of Financial andEconomic Affairs, President Xi Jinping emphasized that it is necessary to leverageChina's vast market advantages, integrate the strategies of expanding domestic demandand driving innovation-led development, and strengthen open cooperation in industrialand supply chains.