“Establishing a new development pattern where domestic and foreign markets can boost each other with the domestic market as the mainstay is a strategic choice to raise the level of China’s economic development, as well as to forge new advantages in global economic cooperation and competition.” --Xi Jinping

On November 17th, hosted by the Organization Department of the Huangpu District Party Committee and the Organization Department of the Party Working Committee of Guangzhou Development District (ODPWC-GDD), Sino-Singapore Guangzhou Knowledge City Investment & Development Co., Ltd(GKC Co), and organized by Centre of Excellence for Software Transfer (CEST), a lecture of the 2020 “Inbound Training Series” on the theme of “New Ideas for Regional Economic Development under the New Pattern of Dual Circulation” was successfully held at the Guangzhou Science City Conference Center.

Accelerating the establishment of a new development pattern featuring dual circulation, which takes the domestic market as the mainstay while letting domestic and foreign markets boost each other, is a strategic decision made in accordance with changes in China’s development stage, environment and conditions, and a systematic deep-level reform concerning the overall situation of the country. It has attracted great attention both at home and abroad.

In order to give the public an insight into the dual circulation development strategy, CEST invited Professor Liu Hong, Tan Lark Sye Chair Professor of Public Policy and Global Affairs Chair, School of Social Sciences Director, Nanyang Centre for Public Administration Nanyang Technological University, Singapore and Professor Zhao Jianzhi, Associate Professor of Economic and Public Policy and deputy director for the Center for Global Governance at the School of International Relations and Public Affairs of Fudan University to discuss and analyze this important strategic deployment.

Xiao Cong, Director of the Veteran Cadre Bureau of the Huangpu District Committee and the Party Working Committee of Veteran Cadre Bureau in the Guangzhou Development District, Deputy Director of the Organization Department of the Huangpu District Committee and the Party Working Committee of the Guangzhou Development District, attended the speech and presided over the lecture.

Yu Lintao, Deputy Director of the Organization Department of the Conghua District Committee, Guangzhou City, and Secretary of the Party Working Committee of Non-public Economic and Social Organizations, also attended the lecture.

The lecture attracted about 200 participants, including officials from various departments of Huangpu District, managers from various state-owned enterprises, representatives and personnel from various economic enterprises.

Xiao Cong, Director of the Veteran Cadre Bureau of the Huangpu District Committee and the Party Working Committee of Veteran Cadre Bureau in the Guangzhou Development District, Deputy Director of the Organization Department of the Huangpu District Committee and the Party Working Committee of the Guangzhou Development District, attended the speech and presided over the lecture.

ONG Bee Hong, DCEO of Sino-Singapore Guangzhou Knowledge City Investment & Development Co., Ltd, attended the lecture and delivered a speech.

Professor Liu Hong shared online

In the lecture, Professor Liu Hong mainly focused on the following four points from a Singapore and ASEAN perspective:

1. The Necessity and Possibility of a Dual Circulation Strategy

2. How can the International Circulation Unfold in the New Situation

3. Singapore Perspective and Experience

4. ASEAN and the Maritime Silk Road

Professor Liu Hong gave an in-depth analysis of the challenges facing the world economy, the new situation of world economic development, the bilateral trade development between China and Singapore, and the international circulation of global talents. The lecture received great responses from the audience. In the end, Professor Liu Hong concluded that the COVID-19 pandemic has a great impact on the international political and economic situation and the development of China; the Sino-US relationship is complex and changing, and may face more challenges and constraints in the future; the global industrial chain may face new challenges.

Professor Liu Hong also provided six suggestions on how to start the international circulation under the new situation:

1. Seek a niche in the global value chain

2. Align with existing national and global strategies (Guangdong-Hong Kong-Macau Greater Bay Area, Belt and Road Initiative)

3. Strengthen cooperation mechanisms (national, local, industrial levels)

4. Study local needs and promote mutually beneficial cooperation

5. Foster an enabling business environment

6. Attach greater importance to the talent strategy

Professor Zhao Jianzhi

Professor Zhao Jianzhi analyzed the current situation of world economic development in three aspects:

1. The impact of COVID-19 epidemic on the global economy (GDP per capita)

2. Changes in global trade and global chain

3. Trade logic

Combing some cross-year economic data and other data such as the China-US trade surplus data, Professor Zhao Jianzhi shared his detailed insights on the strategic connotations of the “dual circulation”, factors contribute to the success of “dual circulation”, and the relevant regional economic growth and public policy making.

Keywords: Openness, Domestic demand

1. Build a new pattern of all-round and high-level open development

2. Boost the allocation efficiency of resources and the economic growth should be more sustainable

3. Attach greater importance to the restructuring of urban and regional development as it is essential for promoting a balance between domestic and foreign demand

4. Deepen regional cooperation mechanisms

In addition, Prof. Zhao shared the importance of “increasing the flexibility of land and housing management”, “strengthening the role of the metropolitan area as a growth pole”, “deepening the reform of the household registration system” and “optimizing the quality of public services and urban management.

Finally, Prof. Zhao mentioned six pitfalls that China needs to bypass in the next 10 years.

1. Middle-income group growth and efficiency

2. Distribution of social resources

3. Technological development and innovation

4. Aging society, fewer children, lower savings

5. International and regional economic debt leverage, and ineffective monetary stimulus

6. Competition in international markets