technology industry output will triple in 2010 to become the world's largest,
a senior official from the National Development and Reform Committee said
Friday at a conference in Beijing.
Besides strong output, the country is also emerging as a leader
in technology, thanks to the growth of domestic companies, said Xu Qing,
vice director of the committee's high-tech division.
This year, the IT industry output is expected to hit 2.4 trillion yuan
(US$289.16 billion) to become the world's third-largest following the
United States and Japan, Xu said.
Xu's confidence is based on some new bright spots in the industry, including
digital television, integrated circuit manufacturing and third-generation
"Some domestic companies have been developing the related technologies
on their own, such as Legend Group Ltd on digital TV and ZTE Corp on 3G
research," Xu said.
Chinese companies now often play a manufacturing role in the IT industry
chain without a core technology patent, which brings them less profit,
compared with their foreign counterparts.
To buck this trend, the Ministry of Information Industry will spend
about US$200 million annually to help domestic IT companies develop their
The ministry also plans to launch a software developing platform that
domestic companies can share their technology at a low cost.
In addition, the Chinese government plans to establish more integrated
circuit manufacturing zones.
Domestic IC companies setting up in the zones will enjoy preferential
The output of existing and future chipmakers in the zones is predicted
to reach US$15 billion yearly.
In the first 10 months, China's IT industry output reached 1.8 trillion
yuan and the IT industry's output contributed 30 percent to the country's
Currently, China's IT output contributes the most to the economy among
39 domestic industries, according to Yao Jingyuan, chief economist of
the National Bureau of Statistics.
China's GDP will jump more than 8.5 percent to 11 trillion yuan this
year, Yao said.
"China's IT industry will have a bright future because the world's
economy has began to rebound, as well as fast growth of the Chinese economy,"
The two-day 2003 Annual Economic Conference of China IT Industry attracted
more than 400 participants.