How to Understand the Independent and Controllable Industrial System

2023-08-18

The new development pattern is based on a modern industrial system, and smooth economic circulation requires orderly and efficient linkage among various industries. This points out the direction for us to accelerate the construction of a modern industrial system. Autonomous and controllable refers to having strong control over key links in the industrial chain supply chain; Safe and reliable refers to the ability of the industrial chain supply chain to ensure safe and stable operation in the face of challenges; Strong competitiveness refers to the advantageous position of industrial development in global competition. Among them, achieving independent and controllable industrial system is an important foundation and prerequisite for building a modern industrial system. Controllable "essentially means ensuring safety, which is reflected in the controllable range of supply chain risks in the industrial chain. It has a certain degree of control and influence over various links, entities, and elements in the chain, ensuring the smooth operation of the industrial chain supply chain and ensuring basic safety during special periods. This involves both the supply of physical assets such as raw materials, components, production equipment, mechanical equipment, and the supply of intangible assets such as technology, software, and intellectual property. Autonomy and controllability "refers to achieving the goal of" controllability "through" autonomy ". The controllability of the industrial chain depends on the level of risk faced, which includes the risk of damage or supply interruption to various links of the industrial chain, the impact of supply interruption on the entire industrial chain, the time and effectiveness of finding alternative supply sources to restore supply, and so on. In practical work, there is no absolute safety industry chain, only a relatively high level of safety industry chain. To achieve independent and controllable industrial system is to pursue a relatively safe state. At present, the world's unprecedented major changes are accelerating and evolving, with a new round of technological revolution and industrial transformation deepening. Unilateralism and protectionism are clearly on the rise, and multiple challenges are intertwined and overlapping. Economic globalization is facing a reverse flow, and the global industrial chain division of labor pattern is deeply adjusted. The COVID-19 has accelerated the contraction process of the global industrial chain supply chain, and the trend of regionalization, nearshore and localization is obvious. In this context, we emphasize the importance and necessity of achieving independent and controllable industrial system. At the same time, it should be noted that achieving independent and controllable industrial systems does not mean pursuing comprehensive self-sufficiency. The division of labor in the global industrial chain supply chain has become more refined, especially driven by digital technology. Large multinational corporations are able to layout their supply chains on a larger scale, achieve overall coordination of various links and units, and interact more closely with different enterprises and supply chains, relying on and influencing each other. It is difficult for a country to fully rely on its own efforts to build all links of a certain industrial chain, and there is no need to achieve self-sufficiency in all industries and every link. Therefore, it is necessary to select key areas and links accurately, and improve the substitutability of key links in the industrial chain through "autonomy", including raw material substitution, intermediate product substitution, and end consumer product substitution, to ensure that in the event of external supply interruption, it is possible to rely on the domestic market to meet the demand

Edit:XiaoWanNing    Responsible editor:YingLing

Source:Economic Daily

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