Veröffentlicht · Liechtenstein

China Pushes Deep Integration of Tech Innovation and Industrial Innovation: What Foreign Founders Need to Know

A policy document from China's central authorities sets out how science and technology innovation will be tied more closely to industrial development. Here is a practical overview for foreign founders registering or operating a company in China.

Why This Policy Matters for Foreign Founders

China's central authorities have issued an opinion on promoting the deep integration of technological innovation and industrial innovation. For foreign founders building or running a company in China, the document signals how government support, funding channels, talent policies and market access are likely to be organized around companies that commercialize technology. The policy is framed around developing new quality productive forces and building a modern industrial system, with an innovation system led by enterprises and coordinated across participants.

The document sets out guiding principles rather than specific benefits for individual firms. It repeatedly emphasizes giving enterprises a stronger role in innovation, aligning science and industry policy, and removing institutional barriers. Foreign founders should read it as a map of where policy attention and public resources are heading, not as a guarantee of grants or approvals.

Enterprises at the Center of Innovation

A recurring theme is that companies should lead research and the conversion of results into products. The policy calls for more enterprise demand to be collected when national science and technology programs are designed, and for more experts from companies and venture capital institutions to be involved in guideline drafting, project review and acceptance. It also encourages enterprise-led projects and mechanisms such as open calls for solutions, milestone management and staged funding.

For foreign-invested companies, the practical relevance lies in how research projects are organized and evaluated. The document states that projects with clear industrial application goals should in principle be led by enterprises, which then take the lead in commercializing results. It also calls for universities and research institutes to set up technology transfer offices and to license results to small and medium-sized enterprises on a pay-later basis.

Support for Different Types of Companies

• Large technology leaders: the policy supports leading technology enterprises in acting as chain leaders and forming innovation consortia with other participants.
• High-tech enterprises and specialized SMEs: it calls for improved cultivation mechanisms for high-tech enterprises, specialized and sophisticated small giants, and manufacturing single-champion firms.
• Startups: it emphasizes support for technology-based startups, including incubation and financing services.
• State-owned enterprises: they are encouraged to establish research reserve funds with independent accounting, exemptions from value-preservation assessments and error-tolerance arrangements.

The document also calls for the national natural science foundation to open pilot programs to private enterprises and for expanded joint funds for enterprise innovation. It mentions raising the super-deduction ratio for research and development expenses for technology-based SMEs. Foreign founders should note that eligibility for such instruments depends on the specific rules of each program and on the company's structure and registration status.

Priority Sectors and Application Scenarios

The policy identifies several areas for concentrated effort. It calls for decisive breakthroughs in core technologies in integrated circuits, industrial machine tools, high-end instruments, advanced materials and biomanufacturing. It also emphasizes rebuilding the industrial base, tackling weaknesses in basic components, basic software, key materials and advanced processes.

For emerging and future industries, the document lists new energy, new materials and aerospace as strategic emerging sectors, and calls for healthy and orderly development of the low-altitude economy. It names quantum technology, biomanufacturing, hydrogen and fusion energy, brain-computer interfaces, embodied intelligence and sixth-generation mobile communications as frontier fields where multiple technical routes, typical application scenarios and viable business models should be explored.

Traditional industries are also addressed through major manufacturing upgrades, large-scale equipment renewal, industrial internet development and the integration of the digital and real economies. The document calls for full implementation of an "AI plus" initiative to apply artificial intelligence across sectors. It also mentions seed industry and agricultural machinery research and the development of technology services.

Scenarios, Market Access and Standards

The policy promotes demonstration of new technologies, products and scenarios, and encourages local governments to open application scenarios in government services, smart cities and rural construction. It calls for pilot programs to relax market access in new business forms and fields, exploration of a commitment-based entry system, and sandbox regulation for new technology applications. It also calls for stronger protection of trade secrets and intellectual property in new fields, full implementation of the patent open licensing system, and development of national and international standards in frontier areas.

Finance, Talent and Platforms

On financing, the document calls for a science and technology finance system suited to the full life cycle of technology companies. It mentions the role of the national venture capital guidance fund and states that government-funded and state-owned venture capital funds should focus on early-stage, small, long-term and hard-technology investments, with long-cycle assessment, differentiated regulation and exit mechanisms. It also mentions promoting an innovation scoring system, building a science and technology board in the bond market and establishing a science and technology insurance policy system.

On talent, the policy calls for coordinated education across science, industry and national strategic needs, adjustment mechanisms for academic disciplines, joint university-enterprise training, dual-mentor systems, and policies allowing researchers to take temporary posts, part-time roles or leave to start businesses. It supports enterprises hiring innovation talent as industry mentors and professors, and encourages young science and technology talent to start businesses.

On platforms, it calls for coordinated development of national emerging industry innovation centers, national industrial technology engineering centers, national technology innovation centers and national manufacturing innovation centers. It also calls for proof-of-concept centers, pilot testing platforms, industry technology research institutes and locally developed new research institutions.

Local Pilots and Regional Implementation

The document encourages local governments to carry out pilot programs for deep integration, guided by local endowments. It calls for central-local coordination, shared investment in science and technology, joint implementation of major tasks, and cross-regional collaborative innovation. It supports national high-tech zones and national independent innovation demonstration zones in piloting policies, and encourages international and regional science and technology innovation centers and qualified localities to run reform pilots. It also mentions building vibrant innovation cities and sources of original innovation.

For foreign founders, these provisions suggest that local implementation may vary. The policy sets direction; specific measures, eligibility rules and procedures will be determined by the relevant departments and localities. Companies should verify current requirements with local authorities or professional advisers before making decisions.

Practical Takeaways

• Enterprise-led innovation is a central theme, so foreign founders with technology commercialization plans should structure their China operations to show clear industrial application pathways.
• Several support instruments are aimed at technology-based SMEs, high-tech enterprises and startups. Eligibility should be checked against the specific program rules.
• Priority sectors and frontier fields indicate where public attention is concentrated, but the document does not promise funding or market access to any particular company.
• Local pilot programs may create differences between regions. Founders should confirm local rules before registering or expanding.

Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for help registering and operating a company in China.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.