China : Technology Policy in a Transitional Economy : Engineering Research Centers to Bridge Research Units and Enteprises

Abstract

China is in a transition period from a planned economy to a market economy. The government recognizes that technology is a key to strengthen international competitiveness in gradually opening up the economy. China has a large stock of scientists and engineers and has invested much in science and technology. However, China has not made use of its science and technology stock well for industrial development. The paper analyzes the characteristics of the Chinese technology system that retains many characteristics of a planned economy. The separation of RD units and production units, ineffective technology transfer from RD units to production units, the low awareness of intellectual property rights, weak metrology and calibration infrastructures that affect technology development and product quality, are among them. To remedy the current situation and make RD contribute to economic development, new technology organizations, Engineering Research Centers, need to be established to bridge RD units and production units. In addition, strengthening intellectual property right protection and formulating RD promotion measures are needed as well as strengthening metrology and calibration capability.