Given the circumstances that we are in, this could be yet another article where you have read about China.  Like as they say, if you know your rivals plan, you can prepare a counter plan. Although this time we better hurry. MSME and the Indian manufacturing need to know, the fine prints of China Vision – 2025.  Given the pandemic, we need to know in black and white, will my industry or manufacturing unit have relevance or existence in the next two to three years.

So, we at, thought before we decipher the innovation blue print of China Vision -2025. Before we do that. FIRST lets clearly break some myths or simply state the matchup between India and China figuratively speaking.

  • China started SEZ’s in the year 1979. India’s SEZ’s are a little over a decade old in totality.
  • Will US manufacturers leave China, in a hurry? That may not happen, as they have already invested Billions in their manufacturing as well as their market. US went in for capital management, while China went after the available opportunity to set up manufacturing base
  • Their IP laws, may take some criticism, but their labour law is what brings more companies to China. India is now scoping for execution, which will take time.
  • Repetitive jobs get outsourced across sectors. Our erstwhile neighbour, has the highest sourcing of repetitive jobs in the world.
  • In the important match up of Unit economics, quality & quantity, we are still found wanting.
  • Independent experts believe by the end of the financial year 2020-21, over 25% of SME’s will be out of business in India. On the contrary China is expected to maintain or increase the number of industry units.
  • Access to capital for manufacturing in China, could hit a road bump, if US and Europe stops funding their projects. While we need to work hard, to get the smart capital access to our SME’s.
  • Strong brand building has been done for China, much before the pandemic. So, if Bloomberg spoke about China between 50 to 100 times, India was barely spoken twice. Perception game has already found a victor.

Transition Roadmap – Masterplan?

Now let’s look at China Vision 2025. Let’s highlight the six areas that are driving the Chinese economy as part of the blue print.

Rethink the role of State and Private sector to foster competition.

– Encourage innovation with links to global R&D networks.

– Promote Green energy and environment development for new growth.

– Promote equality of opportunity and social protection for all.

– Strengthen fiscal system and improving fiscal sustainability.

– Ensure China continues to integrate with global markets.

The realignment above started in China’s 12th 5 year plan. This changed in the 13th 5 year plan (2016–20), where the economy acquired a new focus:

1. Innovation; move up the value chain from industrial to digital.

2. Everyone is an entrepreneur (“creativity of the masses”).

3. Build/acquire a core global technology platform in each industry.

The success of the 12th and 13th 5 year plans remains to be seen. Given the pandemic has not passed and the prevailing sentiments of Threat by China. Make no mistake that their program aims to use government subsidies, mobilize state-owned enterprises, and pursue intellectual property acquisition to catch up and then surpass, western technological prowess in advanced industries.   Without question the government of China is attempting to shift from an economic strategy that leverages the massive national scale for manufacturing alone. The new focus attempts to leverage the highly educated mass to innovate.

What will be our response? Is there an India advantage!  Of course, there is one as India is the emerging growth story. We at, in the coming days will bring to forefront the counter plans from top notch blue print MSME India strategy. We are in this together! Time to STAND-UP for India’s MSME.