The Study Of Industry Upgrade In China From The Perspective Of Product Space Structure

Nowadays China's industrial development is under internal and external pressure.On one hand,industrial development is under double pressure externally from both developed and emerging economies.On the other hand,with the fundamental changes in the environment and conditions that support the extensive growth mode in China,the development mode of industries with high investment and high energy consumption needs to be changed urgently,and the industrial transformation and upgrading is imminent.It is also worth noting that the US launched a trade war against China in the first half of this year,which has a negative impact on China's import and export.In particular,the US imposed strict restriction on the import of technologies and products of high-tech industries,curbing China's industrial upgrading and development in many aspects.Therefore,both the external environment and the internal development requirements urge our country to continuously strengthen the research on industrial upgrading and provide theoretical support and relevant policy suggestions for speeding up the process of industrial upgrading.This paper combines the theory of product space structure with China's industrial upgrading.It uses the product export data of enterprise-level of China Customs Administration from 2001 to 2013(about 132 million articles)and the data of China's invention patent applications from 1998 to 2013(about 2.51 million articles)to construct China's product space structure.This paper systematically analyzes the evolution process and path of China's industrial upgrading by calculating multiple indicators such as comparative advantage,product density and product space position,etc.Specifically,this paper uses the product export data to construct the network of product space structure in China,and analyzes it dynamically from the overall level of China and the eight comprehensive economic areas.In the analysis process,the paper not only uses the product density index widely used in previous studies,but also innovatively uses the product space position index to discuss the regional product space structure network more comprehensively.Further,the paper discusses the path of China's industrial upgrading from the perspective of products by using export data.It innovatively uses both product density and product space position indicators to measure the regional cumulative capacity endowment,and discusses its impact on the industrial upgrading path from multiple perspectives.Finally,the paper discusses the development of new technology industries from the perspective of technologies by using the data of invention patent application.It not only discusses the influence of technology density in the province,but also considers the spillover effect of technology density in other regions.Based on this,it further expands and innovatively analyzes the influence of a new technology specialization degree in neighboring provinces on the technology development in the target province from various angles.The main findings are as follows:Firstly,from the perspective of the country as a whole,the product space shows obvious core-edge structure both in 2001 and 2013,but the structure of product space changes significantly during this period and experiences a process of evolution from sparse to dense.The specific performance is the increase of product types,the enhancement of links between products,the increase of the links between products and the increase of product density.These characteristics are conducive to the accumulation of production capacity and ultimately to the promotion of industrial upgrading process.From a sub-regional perspective,the product space structure of the eight comprehensive economic areas has experienced a similar evolution process to that of the whole country from 2001 to 2013,although each has its own characteristics.At the same time,the evolution of product space structure shows that the resource allocation efficiency and industrial upgrading efficiency are still low in China.Secondly,cumulative capacity endowment has a positive role in promoting industrial upgrading,and their leading power in this process is stronger than its supporting power.Regions with low level of economic development rely more on cumulative capacity endowment than regions with high level of economic development in promoting industrial upgrading and maintaining the comparative advantages of existing industries.All industries are more dependent on labor,capital and technology than on natural resources.Finally,the existing technology accumulation level(technology density)determines the direction of the development of the new technology industry to a certain extent.In addition,the technology density in other regions,especially in neighboring regions,has obvious spillover effect on the development of new technology industries in the province;but the technology density in the province plays a greater role.Furthermore,no matter from which perspective the influence of neighboring provinces is measured,“weaker neighbors” have a greater positive spillover effect on the development of new technology industries in target provinces than “stronger neighbors”.According to the research findings,since the existing cumulative capacity endowment in the region largely determines its industrial upgrading direction,this paper believes that each province should closely combine the development characteristics of their existing industries,choose appropriate new technologies and new industries as the development direction.We will improve the relevant systems and mechanisms,increase efforts to study the key technologies and common technologies needed for industrial upgrading,and continuously improve the correlation between industries development.At the same time,focus on the technology and capabilities needed for products at the core of product space,providing the possibility for leapfrog upgrading of the industry.Establish effective circulation channels of production factors and use spillover effect to promote the development of new industries.Finally,in line with the characteristics of industrial development in different regions,formulate different regional industrial policies to promote the industrial upgrading process in different regions.