Late last week, shares on the CSI 300 index hit a seven-year high and their biggest weekly gain (nearly seven per cent) in two months. Investors are confident that a long period of consolidation is over.
The CSI 300 Information Technology Index stole the headlines after the government announced that it would take steps to boost the tech industry as part of a bold new blueprint.
China's cabinet unveiled a 10-year plan to upgrade the country's manufacturing capacity to help it catch up with leading economies such as Germany, and give China an advantage in innovation, green development and quality goods.
The focus of the plan is on 10 sectors, including high- end computerised machinery and robotics, aerospace equipment, renewable-energy cars and biological medicine.
China’s position as the world’s factory has been undermined by rising costs and the growing attractiveness of other developing economies.
“The ‘Made in China 2025’ plan will embrace the fourth industrial revolution concept – what some call Industry 4.0 – while opening itself to advanced ideas” from the likes of the US and UK, said the Ministry of Industry and Telecommunication Technology, which formulated the plan.
