Suggestions on Promoting Innovation and Development of Tianjin
Advanced Manufacturing
Hongyin Liu
, Xin Li
College of Humanities, Tianjin Agricultural University, NO.22, Jinjing Road, Tianjin, P.R.China
Keywords: Advanced manufacturing; Innovative development; Tianjin.
Abstract: Cultivating and strengthening high-tech industry is an urgent requirement for improving quality benefits and
transforming kinetic energy. However, there are some problems in Tianjin advanced manufacturing. They
are slow upgrading of advanced manufacturing industry, lacking cultivation of technological innovation,
lagging transformation of manufacturing service, insufficient combination of technology and finance, and
deficient introduction and cultivation of technology and skilled talents. There problems lead to poor ability
of transformation, R&D, and slow development of production service. This paper proposes that industrial
core-technologies and common technologies should be tackled and the intelligent development of advanced
manufacturing should be promoted. At the same time, advanced manufacturing innovation micro-center and
regional cooperation and promotion center should be set up. Scientific and technological innovation alliance
and technological innovation network should be established. Intellectual property pledge financing of
advanced manufacturing enterprises and the service system of new third board transaction market should be
promoted. Talent market intermediary service institutions should be encouraged and developed. Business
environment should be optimized and private technology enterprises are expanded.
With the advent of the fourth technological
revolution, developed countries have implemented
development plans of advanced manufacturing, such
as the German industrial 4.0 plan and the American
“advanced manufacturing strategy” plan[1]. In April
2015, the Beijing-Tianjin-Hebei Collaborative
Development Plan set Tianjin as the national
advanced manufacturing R&D base. In May,
advanced manufacturing was listed in the “made in
China 2025” plan. Tianjin has industrial base,
economic conditions and policy advantages. By
2020, the proportion of Tianjin advanced
manufacturing industry will be raised to more than
There is a certain gap between the development
target of advanced manufacturing and innovation
ability, industry level, supporting service and so on.
2.1 The Upgrade and Transformation
of Traditional Manufacturing is
Slow and the Industrial Level is not
First, traditional manufacturing, like petrochemical
with low-added value, metallurgy and textile,
accounts for more than 50% of industry in the city.
The expansion of industry is not enough. Many
manufacturing enterprises focus on the low-end
industrial chain, while fewer enterprises gather at the
high-end industrial chain, such as design, testing,
marketing, service and so on.
Second, modern manufacturing has not formed a
dominant position. The proportion of strategic
industries, like intelligent manufacturing, new-
generation information technology, accounts for less
than 20% of the industry. The supporting industries
are not driven strongly by high-end industries like
aerospace. The degree of industrial clustering is not
high enough.
Third, leading enterprises and major projects
are in short. There are more than 500 famous
industrial products, which only take up half of
2.2 The Cultivation of Scientific and
Technological Innovation is
Insufficient, and the Ability of
R&D and Transformation of
Enterprises is not Strong
First, less than 40% of the enterprises carry out
innovative activities in Tianjin. The number of high-
tech enterprises occupies only 1/7 of Beijing, 1/4 of
Shanghai, and 1/2 of Shenzhen. The innovation and
creation of private enterprises are active. The
number of private enterprises in Tianjin is large, but
their scale is small. In 2014, the total industrial
output value in Tianjin was more than 3 trillion
yuan, of which private industrial output occupied
only 1 trillion yuan.
Second, the investment of R & D is insufficient.
In 2014, the investment in R & D was 3%, taking up
only 1/3 of Beijing and 1/2 of Shanghai. Among
them, the investment of enterprises which are above
the scale of the whole city, accounted for a low
proportion of the main business income.
Third, the scale of Tianjin technology trading
market is small. The ability to undertake, incubate
and transform technology is low. The capacity of
absorbing technology outside the city, especially
Beijing, is weak. In 2014, the number of technical
contracts that flowed from Beijing to other provinces
reached 37212, among which the number to Tianjin
and Hebei was 3475, accounting for only 9.3% of
the output technology contracts[2].
2.3 The Transformation of
Manufacturing Service is Lagging
Behind, and the Development of the
Productive Service is Inadequate
First, the added-value of productive service occupies
only 50% of Beijing and Shanghai. The ratio of
industrial added-value to productive service added-
value is only 1: 0.74, while the ratio in Beijing and
Shanghai are respectively 1: 3.06 and 1: 1.38.
Second, transformation of enterprises from
production to service is lagging behind. The industry
chain and value chain of manufacturing is not
extended enough to R & D and marketing services .
The service transformation has not been realized in
manufacturing industry.
2.4 The Combination Between Finance
and Science and Technology is
Insufficient. The Financial Support
for Scientific and Technological
Innovation is not Enough. Indirect
Financing and Direct Financing are
Both Low
First, the proportion of indirect financing is low. In
the period of “11th Five-Year” and “12th Five-
Year”, the loans from financial institutions takes up
less than 10% of the total funds of scientific and
technological activities, with limited rising space.
The proportion of loans for scientific and
technological activities has always been around
0.3% of total financial institutions funds.
Second, there is very few direct financing. The
number of listed companies in Tianjin takes up only
16% of Beijing, 18% of Shanghai and 20% of
Shenzhen[3]. The number of enterprises “going out”
and utilizing overseas innovation resources is even
2.5 There is Deficient Introduction and
Cultivation of Scientific and
Technical Talents. R & D Talents
and Transformation Talents are in
First, a barrier-free mobility mechanism of Beijing-
Tianjin-Hebei talents has not been formed. The
siphon effect of Beijing talents has not been
reversed. Tianjin gets little benefit from the spillover
of Beijing talents.
Second, the supporting policies are not in
designed position. There are difficulties in the
introduction of high-end talents outside the city and
abroad. Third, the agglomeration effect of industrial
population in Binhai New Area has not been
released. The training of high-skilled talents is
insufficient. The R & D talents and transformation
talents of advanced manufacturing are in short[4].
3.1 Infrastructure of Advanced
Manufacturing R & D Should Be
Strengthened, and the Development
of Intelligent Manufacturing
Should be Enhanced
First, with the great demand of economic and social
development, the major technical bottleneck which
restrict the development of advanced manufacturing
should be solved. A large number of major projects,
such as intelligent manufacturing, big data and
information security, new drug discovery, high-end
medical equipment and key materials are
implemented. These projects will enhance related
technical fields.
Second, some key enterprises are selected to
carry out intelligent production demonstration
projects. They can enhance the function,
performance and degree of automation of production
system. The enterprises can develop into flexible
manufacturing system, intelligent workshop,
intelligent plant and intelligent manufacturing
system. At the same time, collaborative planning and
decision optimization management are achieved in
all the links of product life cycle.
Third, the construction of physical system can
be sped up through organic integration and deep
collaboration of computation, communications,
network and control technology. Real-time
interconnection, accurate perception, effective
interaction and intelligent control of production
system can be achieved.
3.2 Advanced Manufacturing
Innovation Micro-center and
Regional Cooperation and
Promotion Center Should be
Established. Technology Innovation
Alliance of Industry-University-
research and Science and
Technology Innovation Network
Should Be Built
First, relying on large enterprises or industrial parks,
advanced manufacturing innovation micro-centers
should be established, in key areas of the new
generation of information technology, high-end
equipment manufacturing, new energy, new
materials and biomedicine. The micro-centers can
explore a new trinity innovation mode of
“technological innovation + enterprise incubation +
Second, an innovation and development platform
should be established, from the constructive
experience of advanced manufacturing in Binhai
New Area Central Industrial Park and the
experiences of R & D manufacturing links and
supporting industries of Beijing high-tech industry.
The platform includes high-end equipment
manufacturing, new generation of information
technology and biological medicine. Regional
cooperation promotion center should also be built
Third, the postgraduate training in colleges can
be combined with achievements transformation of
advanced manufacturing. They can build key
laboratories, engineering laboratories, enterprise
technology centers and Engineering (Technology)
research centers with famous universities and R & D
institutions at home and abroad. The industry
associations should integrate innovation resources of
Beijing-Tianjin-Hebei to establish industrial
innovation alliance. Research institutes, R & D
centers, Industrial Innovation Alliances and
technology service institutions should be integrated
to form Beijing-Tianjin-Hebei manufacturing
technology innovation network.
Fourth, standardized promotion plan should be
implemented to construct standard system. The
system follows international standard in aspects of
quality, safety, health, environmental protection and
energy saving. Enterprises are encouraged to adopt
international standards of production. Leading
enterprises are supported to participate in the
revising of international standards, national
standards and industry standard.
3.3 The Transformation of
Manufacturing Service Should Be
Accelerated. The Level of the
Advanced Manufacturing Service
Can Be Improved
First, manufacturing services demonstration projects
can be carried out in bidding, third party logistics,
optimization of supply chain management and
solutions in engineering. Large enterprises and
equipment manufacturing are leaded to transform
from production-oriented manufacturing to service-
oriented manufacturing and from production-center
to customer-center.
Second, the development of the production and
service industry can be sped up. Productive services
in modern logistics, e-commerce, technology
services, information services, quality certification,
product identification and inspection are vigorously
developed. The capacity of production service for R
& D, production, business operation and
management of advanced manufacturing industry is
Third, the development of science and
technology service industry should be sped up.
Specialized technology service enterprises should be
cultivated in R & D, design, technology transfer and
business incubation. The scale of science and
technology service enterprises is expanded. A
scientific and technological service system which
covers the whole technological innovation process is
3.4 The Utilization of Foreign Capital
and International Cooperation Level
of Manufacturing Industry Should be
Improved. Intellectual Property
Pledge Financing of Advanced
Manufacturing Enterprises and the
Service System of New Third Board
Transaction Market Should be
First, the advantages in free-trade pilot area system
should be fully utilized. For example, the key areas
of manufacturing are increased; the foreign capital is
guided to high-end manufacturing fields, like new
generation of information technology, high-end
equipment, new materials and bio-medicine.
Second, it is suggested to establish Tianjin
science and technology Guarantee corporation. The
loans on intellectual property rights will be
guaranteed to protect patents and trademarks. The
government can incorporate commercial banks,
which engage in the pledge loan business, and
Technology Guarantee Corporation into the patent
pledge compensation funds. According to the risks
of guarantee and realization of the patent right, the
government can determine risk level so as to give
corresponding risk compensation.
Third, specialized intermediary service
organizations and professional associations of new
third boards are established. A competitive and
orderly socialized OTC market service system is
formed, which is composed of joint organizations,
intermediary organizations, self-discipline
organizations and service centers.
Fourth, the policy of reducing the burden on the
advanced manufacturing R & D enterprises is
carried out. Private scientific and technological
enterprises become bigger and stronger. The tax
burden and non-tax burden of the advanced
manufacturing industry are reduced. The halving of
income-tax preference is expanded to advanced
manufacturing R&D enterprises. The R&D
expenditure deduction years of the advanced
manufacturing R&D enterprises is extended. The
proportion of deduction in R&D expenditure is
increased to 75%.
3.5 The Marketization of Talent
Intermediary Service Institutions
Should Be Encouraged. It is
Suggested to Adopt the Complex
Method of “Team + Project” to
Attract Talents With Achievements
and Cultural Characteristics
First, there should be policies to encourage and
develop market-oriented talent intermediary service
organizations. The monopoly of government talent
service institutions should be broken. Medium and
high-end talent intermediary service agencies should
be cultivated to absorb all kinds of talents and
provide professional services in Tianjin.
Second, with the help of Zhongguancun
resources, Tianjin can set up a talent incubator and
purchase professional R & D institutions in
Zhongguancun. That will be beneficial to oriental
training of senior technical talents and management
talents for Tianjin advanced manufacturing industry.
Third. necessary conditions should be provided
for the introduction of talents in Tianjin
Development Zone, High-tech Zone and Binhai New
Area. The development of key technology and the
transformation of scientific and technological
achievements should be promoted. A cultural
environment of tolerating talents, respecting talents
and preferentially treating talents should be built.
Talents should be retained by achievements and
characteristic culture.
A key project of Tianjin science and technology
development strategy research project Study on
Promoting the Construction of Advanced
Manufacturing R & D Base under the Background
of Beijing-Tianjin-Hebei Collaborative
Development (17ZLZDZF00510).
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