Around the World in TBED: China's Five-year Economic Plan Focuses Heavily on S&T

In a recent speech in front of China's National People's Congress, China's Premier Wen Jiabao outlined the country's 12th five-year plan (2011-2115). The plan will focus heavily on boosting consumption through sustainable growth fueled by renewable energies and state support of strategic, emerging industries. Expenditures on R&D should reach 2.2 percent of GDP. Much of this R&D investment will be targeted in three sectors — healthcare, energy and technology. Along with increased spending, the plan calls for tax-breaks and other incentives to achieve the lofty goals established by the national party. According to the Telegraph, the proposed key industries include: pharmaceuticals; biotechnology; wind energy; hydropower; nuclear power; power grid technology; information technology; and, educational services. The plan also proposes a rate of 3.3 patents be held per every 10,000 people (approximately 450,000 patents).

China also will establish a target of 11.4 percent of energy consumption from renewable energy sources by 2015. During this time, China will spend heavily in energy efficiency to reduce the intensity levels (energy consumed per unit of GDP) by 16 percent. Xinhau, China's official news agency, released a summary of the plan ...