Wang Yutian
 

Shanxi Should Accelerate Its Economic Structural Readjustment
Vice-Chairman of the Standing Committee of the Datong Municipal People¡¯s Congress in Shanxi Province Wang Yutian said during the annual NPC session

 
 

 

 

this year that, against the background that the state is moving its strategic focus of economic development westward, Shanxi Province, with its geographic, transportation and resource advantages, has the potential to become a key industrial area in the country. Shanxi should seize this opportunity with both hands. Great efforts should be made to change the mode of economic growth in order to accelerate economic development. In the meantime, the state-owned sector forms the biggest proportion of the local economy, over 80 percent, while the development of the non-public economic sector is seriously deficient, making up just 12 percent of the province¡¯s GDP. This contribution rate matches badly its position as an important part of the market economy. As a result, readjustment of the industrial structure should be closely associated with the readjustment of the structure of ownership. Attention should be paid to the development of the non-public economic sector.

Wang said that readjusting the industrial structure is crucial to the solution of the bottleneck issue restricting the local economy, since Shanxi is characterized by a resource-type economy. The major problems in the province¡¯s industrial structure include the fact that primary industry has a weak foundation, secondary industry is marked by low efficiency and tertiary industry is insufficiently developed. Wang accordingly put forward three proposals:

First, the development of the fine processing of coal and clean energy. Shanxi¡¯s position as a national energy base will not change for a long period of time to come, he noted, and efforts should be made to implement the sustainable development strategy and to build the province into the largest clean energy region in China. To realize this goal, it is necessary to adopt clean coal technology during the process of coal development and utilization, to turn out products which produce no or less pollution and fully have the effect of improving the comprehensive utilization of coal and enhancing environmental protection, and thereby raise the economic benefits of the coal industry.

Second, the coordination of adaptive readjustment and strategic readjustment. Technological transformation should be relied on to raise the scientific and technological content of industries and products. Priority should be given to the development of non-coal substitute industries, including metallurgy and building materials.

Third, paying more attention to the development of tertiary industry, represented by tourism.

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