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The PLA at Home and Abroad - Strategic Studies Institute - U.S. Army

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Industry Investment Fund:<br />

APPENDIX B - CHAPTER 10<br />

CURRENT CMI RELATED FUNDING<br />

Fund Amount (bn ¥) Organ in charge Purpose<br />

Bohai Rim 20<br />

Sichuan 6<br />

Guangdong 10<br />

Tianjin 20<br />

Dongbei 20<br />

Str<strong>at</strong>egic Industry Venture<br />

Capital 167<br />

N<strong>at</strong>ional High-tech Industrial<br />

Projects (including 54 [parks <strong>and</strong><br />

30 bases) 168<br />

Electronic Inform<strong>at</strong>ion Industry<br />

Development 169<br />

Technology Transform<strong>at</strong>ion<br />

140 bn for 10 industry<br />

investment funds 166<br />

9.2<br />

R<strong>at</strong>ified by NDRC (oper<strong>at</strong>ed by Fund<br />

Management Companies)<br />

Bohai Industrial Investment Fund<br />

Man. Co.<br />

CITIC Industrial Investment Fund<br />

Man. Co.<br />

Guangdong Nuclear Power <strong>and</strong> New<br />

Energy Industrial Invest. Fund Man.<br />

Co., Ltd.<br />

China Ships Industrial Investment Fund<br />

Man. Co.<br />

Controlled by China Development Bank<br />

<strong>and</strong> Liaoning SASAC<br />

NDRC, local governments <strong>and</strong> priv<strong>at</strong>e<br />

invest funds.<br />

549<br />

Capital from SOEs to invest in key industries including CMI<br />

Invest in industrial projects in Tianjin (50%), Bohai Rim (30%) <strong>and</strong><br />

other areas (20%) in China.<br />

Invest in financial services, energy <strong>and</strong> defense industry, mainly<br />

loc<strong>at</strong>ed in Mianyang.<br />

Invest in n<strong>at</strong>ional nuclear energy including dual-use nuclear<br />

capacity.<br />

Invest in ship building, transport <strong>and</strong> harbor construction.<br />

Invest in equipment manufacturing in northeast China.<br />

Support for medium <strong>and</strong> small enterprises in rising str<strong>at</strong>egic<br />

industries including new energy, integr<strong>at</strong>ed circuit, etc.<br />

Tax<strong>at</strong>ion advantages <strong>and</strong><br />

low interests loan. NDRC <strong>and</strong> MoST Transform high technology to applied industries including CMI.<br />

3.9 bn— central<br />

government, >200<br />

bn—local governments.<br />

(1986-2005)<br />

MITT <strong>and</strong> local governments<br />

Electronic inform<strong>at</strong>ion industry technology progress <strong>and</strong><br />

transform<strong>at</strong>ion.<br />

21.7 bn (783 items, 29<br />

CMI). 170 MIIT Enforce tech transform<strong>at</strong>ion including CMI technology development.<br />

Innov<strong>at</strong>ion Fund for Small Techbased<br />

Firms 171 >1 billion every year. MoST <strong>and</strong> local governments<br />

863 (N<strong>at</strong>ional High-tech Research<br />

<strong>and</strong> Development Plan)<br />

973 (N<strong>at</strong>ional Important<br />

Fundamental Research Dev Plan)<br />

Defense S&T Industry<br />

Fundamental Research<br />

Innov<strong>at</strong>ion Fund 174<br />

Defense S&T Prelim Research<br />

<strong>and</strong> N<strong>at</strong>ional Security<br />

Fundamental Research 175<br />

>10 billion/year (11th<br />

FYP, 10 high-tech<br />

areas <strong>and</strong> 38 special<br />

projects. 172 )<br />

8.2 bn from 1998-2008<br />

384 projects, 1998-<br />

2008. 173<br />

No exact amount SASTIND<br />

Facilit<strong>at</strong>e scientific transform<strong>at</strong>ion <strong>and</strong> support technological<br />

innov<strong>at</strong>ions of Small Technology-based Firms.<br />

MoST, GAD, SASTIND Support high-technology research <strong>and</strong> development.<br />

MoST, GAD, SASTIND<br />

No exact amount SASTIND <strong>and</strong> Defense Corpor<strong>at</strong>ions<br />

GAD Weapon Preliminary<br />

Research 176 50,000 – 2 million/year GAD<br />

N<strong>at</strong>ional Industrial Tech<br />

Innov<strong>at</strong>ion <strong>and</strong> Reform<br />

370 bn 177 St<strong>at</strong>e Council<br />

Support important fundamental science <strong>and</strong> technology research<br />

<strong>and</strong> development.<br />

Promote research in advanced industrial technology, fundamental<br />

technology <strong>and</strong> civil-military dual use applic<strong>at</strong>ions.<br />

Fund research centers in universities <strong>and</strong> defense research<br />

institutions to enhance defense research.<br />

Fund universities <strong>and</strong> defense research institutions to research<br />

weapon projects.<br />

Remove technology bottlenecks <strong>and</strong> transfer technology to<br />

engineering <strong>and</strong> industrializ<strong>at</strong>ion.

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