China Innovation Ecosystem Development Report 2019

Rising Innovation in China

Amid a downtrend in the global economy, countries around the world are stepping up efforts in promoting technological innovation to sustain their strengths. Innovation has become a global focus. The Chinese government has also attached great importance to the core position of innovation in national economic development. China is entering into a new stage of development for innovation.   

Leveraging Deloitte's extensive hands-on experience, advanced observations and research, Rising Innovation in China – China Innovation Ecosystem Development Report 2019 brings insights into the development of China's innovation ecosystem as well as the potential challenges and opportunities ahead.

  • Each of the innovation ecosystems in developed countries has its own merits. The US emphasizes more on building an ecosystem led by innovation clusters; Israel is promoting robust innovation development with a risk investment system driven by its government; Germany focuses on a stable and sustained foundation for innovation.
  • China's innovation ecosystem is thriving. China, after prioritizing innovation as a national core strategy, continues to open up its market, committed to driving stable growth of its technological innovation capabilities through ongoing and increased investment in talent and technologies.
  • In the rankings of cities in China in terms of innovation ecosystems, the cities are divided into three tiers based on their total scores. Among the first tier, Tier 1 cities including Beijing, Shanghai, Shenzhen and Guangzhou remain at the top, with Hangzhou rising to the forth place in replace of Guangzhou. Nanjing, Chengdu and Wuhan are among the top few in the second tier. The third tier mainly includes cities that promote breakthroughs of innovation ecosystems via policy guidance, such as Dongguan, Foshan, Zhuhai and Guiyang.
  • On regional level, innovation ecosystems in China are distinct in characteristics. Innovation development in the Beijing-Tianjin-Hebei region is centered in Beijing; the overall level of development in the Yangtze River Delta region is higher than other regions; the development in the Guangdong-Hong Kong-Macao Greater Bay Area is promising; the central and western regions are accelerating development.
  • The best practice of innovation ecosystems in China is no doubt the AI industry. Fuelled by both policies and capital, the number of AI enterprises is rising rapidly, with the most located in Beijing-Tianjin-Hebei region, Pearl River Delta region and Yangtze River Delta region.
  • Manufacturing is the fundamental industry for China's innovation development. In China, the advancement of smart manufacturing ecosystem would not be possible without deep dive of user values. China has a complete set of supporting industries for manufacturing, and therefore could help manufacturing enterprises go even further on the journey of smart upgrade.

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For the English report or more information, please contact Deloitte China Innovation Department.



About Deloitte China Innovation Department

Founded in 2011, Deloitte China Innovation Department is dedicated to providing the clients with "high-value, high-tech and high-touch" services and experience, and promoting Deloitte's innovation development in China by collaborating with 17 innovation departments of Deloitte Global network. By leveraging SPEED SET, a revolutionary acceleration model on Greenhouse platform, Deloitte China Innovation Department senses and engages global cutting-edge and disruptive innovation technologies, connects internal and external resources, facilitates innovation transformation and builds win-win innovation ecosystem by connecting enterprises, government institutions, universities, incubators and innovative technology companies.

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