On December 6-7, the 19th Summit Forum of China's Top 100 Listed Companies and the 5th Forum on Comprehensive Development of China's Top 100 Cities were held in Shanghai. 7 a.m., Hong Yinxing, a famous economist and former Secretary of the Party Committee of Nanjing University, delivered a keynote speech on the theme of "Urban-Rural Integration Strategies in the Development of the Yangtze River Delta Region" in the forum, which is below as the full text of the speech.

Good morning, everyone!

I am very glad to come to this forum, what I want to talk about today may be different from the previous ones, who talked about enterprises, I want to talk about the region, because one is the Top 100 Enterprises Forum and the other is the Top 100 Cities Forum, and cities are also related topics. The background now is again Yangtze River Delta integration, so we have to study whether our enterprises can find new development opportunities in the integration of the Yangtze River Delta and in the modernization of urban and rural areas.

 The background of the study is that we now need to seek new impetus for development. Our supply-side reform has actually been carried out for more than three years, and the achievements have been obvious, but its effect is also diminishing, so in such a background, I think our supply-side structural reform should turn to development, and one of the most important issues of this development is to seek new impetus for development. I think our next supply-side reform should focus on seeking to cultivate new kinetic energy for development.

The report of the 19th National Congress puts forward six areas of new kinetic energy: medium- and high-end consumption, innovation leadership, green and low-carbon, sharing economy, modern supply chain and human resources, which are what we need to focus on promoting, and the supply-side reforms should be directed to this aspect, so as to stop the downward trend of the economy, and to find a new supportive force through the development of new kinetic energy. The new kinetic energy is the issue of Yangtze River Delta integration, which has been elevated to a national strategy and has provided a new impetus for the Yangtze River Delta to take the lead in modernization. The goal is still to achieve modernization, and the central government's planning for the integration of the Yangtze River Delta has put forward the strategic positioning of "one pole, three zones, and three highlands", which will make it a strong and active growth pole for the nation's economic development, a model zone for the nation's high-quality development of the economy, a leading zone for taking the lead in the basic realization of modernization, a demonstration zone for the integrated development of the region, and a new high ground for reform and opening up in the new era. A new high ground for reform and opening up in the new era. What I am going to say today is just the requirements of the leading zone for taking the lead in modernization.

We have to see the modernization of cities as a new kinetic energy for urban development, and drive the modernization of urban and rural areas through the modernization of cities. We have been industrializing for more than 30 years, and our urbanization basically belongs to the rural-encircled city, which first promoted the industrialization and urbanization of the countryside, and then came to the city, with reforms and development focusing on the countryside. And now it is important to note that the modernization of our cities has shifted to focus on the cities, and is no longer a rural-encircled city. The center of our modernization, the source of modernization, has shifted to the city, which is to become an innovation center of science, technology and culture, and to push the elements of urban modernization to the countryside.

 Therefore, we should study the basic path of urban modernization, which is to increase the supply of modern urban factors. The previous round of industrialization and modernization basically relied on absorbing the development factors of the countryside, but now we need to cultivate the modern urban factors, and expand to the countryside through the modern urban factors. The first thing to focus on in urban modernization is the goal, highlighting two objectives, one is the requirement to take the ability as the center to lead the need for a better life, the consumption of the middle and high-end people, the consumption of the middle and high-end city should be as a central issue of urban modernization. Another is that we should build a modernized urban and rural regional system that manifests its advantages and coordinates and links up.

We are here today to talk about strategies for urban modernization, and I have four main points to make.

The first is to highlight innovation and green development; the driving force for development should be a shift from input resources to innovation, and ecological construction should be highlighted as a very important aspect of modernization.

 Secondly, the modernization of the city should be matched with the modernization of the city's industry, I am talking about the modernization of the city's industry, especially with the Fourth Plenary Session of the Fourth Plenary Session of the concept of "industry chain modernization", this time the United States suppression of Huawei, is in the industry chain, Huawei was able to cope with the United States of America to deal with the suppression of the industry chain, precisely in the industry chain to cultivate the chain of innovation, this is to tell us the next step in the development of the industry. This is telling us in the next stage, in the industry where our enterprises are located, how to deploy the establishment of high-end technology-led industrial chain, and to deploy the innovation chain around the industrial chain, which is an issue that our listed companies should also consider.

Thirdly, we have to solve the urban modernization and new urbanization to match the urbanization of towns. City modernization and urbanization of towns and cities are combined, and modernization is achieved through the integration of our urban and rural areas.

Fourthly, we have to solve the problem of matching urban modernization with new urbanization. Our demographic structure has three levels, one low-income level, one middle-income level, and one high-income level. The potential for a region's development is in the middle-income population, not just in driving consumption, but more importantly in the most active and vital piece of the population. Modernization must be about the middle-income population, and this is what we have to consider in modernizing our cities. We have some cities that have been boasting that they have the largest foreign population. If the foreign population is mainly wage earners, it means that the industrial standard of your place is still labor-intensive, so we have to study this issue.

Three Values of Urban Modernization

In the study of urban modernization, it is necessary to highlight the value of the modern body of the city. In the past, we generally only talk about the economic value of the city, but today I would like to point out that the city is the sum of the three major values of the economy, culture, and ecology, and the modernization of the city is the integration and development of industry, city, and ecology.

(I) Economic Value

First of all, the economic value of the city is mainly expressed in its market value, it is a market center, trade center, and is the gathering place of people, logistics, information flow, capital flow, should be the gathering of the headquarters of the company, the modern market system is the most complete.

 The second is its industrial value, that is, the integration of industry and city, developed service industry and developed manufacturing industry to match, in order to become a strong economic city, especially we have to study its modern service industry, do not think that the Yangtze River Delta region, Shanghai is a financial center, other cities can not engage in the financial sector, the development of modern service industry, or to finance as the center of the regional financial center is still to be built up.

The third is its innovation value, to become a science and technology innovation center, Shanghai to become a science and technology innovation center, Hefei should also become a science and technology innovation center, with these science and technology innovation center, the city will have its science and technology innovation value. To establish a platform for industry, academia and research.

The fourth is the value of the growth pole, the role of the center is strengthened, the driving effect on the periphery should also be strengthened.

(II) Ecological value

The second is the ecological value, our city is now not only seen as an economic city, first of all, it should be regarded as an ecological city, with ecological value, now many cities have begun to put forward the idea of "urban park". The most typical is Yangzhou, Yangzhou, 15 minutes out of the door can enter a park, the ecological environment is better, the people's sense of access is also obvious. Xuzhou, originally a coal city, people feel dirty, but today it has become a city of lakes and mountains, beautiful scenery, air quality and greening problems have been solved, which makes the people have a sense of gain, highlighting the ecological value.

(III) Cultural value

 The third is cultural value, to become a cultural and sports center, science and technology education center, health and medical center.

Path of realization of urban modernization

The key to urban modernization is to increase the supply of elements for modern cities; the demographic structure of cities should be dominated by middle-income; they should be transformed into science cities, striving for the value of innovation; and the industry of cities should be reorganized to gather service industries such as finance, trade, information, service, culture and education, and to upgrade to high-end service industries. A center is not just an economic center. Another one is the development of headquarters economy, actively attracting headquarters and marketing centers into the city, especially the gathering of high-tech headquarters, focusing on the gathering of global value chain headquarters mainly for me.

The first is the internationalization of the city, especially emphasizing how to build modern urban facilities. There is a hub but also the economy, if there is a hub without the economy, still can not form a regional center, so we have to build a hub, especially the construction of our smart city, the information network is now in the era of 5G, which city first into the era of 5G, which city's modern facilities at a higher level.

The second is to innovate and develop high-end industries. In modern competition, industrial competitiveness is more important than enterprise competitiveness, competitiveness is measured in terms of industry, in the past, we generally learn to improve the competitiveness of enterprises, and now we find that the competitiveness of enterprises is even stronger, but the competitiveness of the industry that you hold on to is not strong, and the overall situation is still not strong, so we emphasize that the competitiveness of industry is more important than the competitiveness of enterprises, and we have to rely on high-end industries to improve the competitiveness of the city according to such a theory. According to this theory, we have to rely on high-end industries to enhance the city's energy level.

The third is the high-end of our industry, we should study the layout of the global value chain. Our listed companies, especially the top 100 listed companies, the next step in the direction of industrial development is the most important to layout the global value chain. Some of our high-end industries cannot be isolated in a certain link, but must be in the middle of the whole global value chain, and also need to layout the innovation chain around the industrial chain. According to this requirement, the headquarters of the global value chain led by high-end technology should be established, especially in our Yangtze River Delta region to establish an intra-regional innovation alliance.

The fourth is to address the PR and breakthroughs in key and core technologies. In industrial upgrading, we have to pay attention to the industrial upgrading effect of "Internet+" and "+Internet", now we have Internet+traditional industries and traditional industries+Internet coexisting and interacting, forming a series of new industries. Now there is Internet + retail, Internet + finance, etc., each industry facing the impact of the Internet, also need to join the Internet. Sany Heavy Industry is a typical heavy industry enterprises, on behalf of the two sessions of the channel to answer the reporter's question said three sentences. The first sentence is the core business all online, the second sentence of the whole management process all rely on software, the third sentence of the product must be highly intelligent. This is our current manufacturing industry upgrading of the three directions, our listed companies are very competitive, we have to find from his three sentences in the direction of our industrial upgrading.

The key to urban modernization is to build innovative cities, not only by basic research, but more importantly, the transformation of basic research results into new technologies. There are two options for building innovative cities, one is to become a center of high-tech industries, like Shenzhen, and the second is to become a center of high-tech innovation, an incubator of innovative institutions and new technologies, so that data can become a factor of innovation. Each city has to study the problem of gathering innovation factors and build up the institutional environment and innovation.

Innovation center needs the construction of innovation environment, especially to solve the problem of talent, high-end innovation talent livable and workable environment, our past development focus is on growth, various factors are followed by capital, now the focus of development is shifted to innovation, various innovation factors are followed by talent, so in each region and good enterprises, the focus is to solve the problem of talent.

Today's world to enhance the level of regional development, to overcome regional differences in the important trend is to enhance the level of regional development, to overcome regional differences in the important trend is to reshape the economic geography, and its important path is to promote regional integration in the neighboring cities. To solve the problem of homogenization, the relationship between the center and the periphery must be resolved. The ultimate goal of our Yangtze River Delta integration is to take the lead in modernizing the whole region, and the relationship between the center and the periphery is one of manifesting advantages and coordinating and linking up. In the process of the integration of the Yangtze River Delta, there are centers and peripheries, and not all of them are at the same level of development, so it is important to note that it is impossible to modernize the center alone, and it is necessary to have a periphery, and the center cannot rely on the elements of the periphery to modernize, and the trend should be that the center and the periphery are modernizing together.

We have to be clear that one is the center can not siphon, the second peripheral areas to take the initiative to dock the center, accept the center of radiation, the relationship between the center and the periphery must be handled properly. Shanghai's center can not drive the Yangtze River Delta, one is the center of the siphoning of foreign development elements, the second is the center itself to expand, that is, adjacent cities and Shanghai co-city, bigger and stronger kernel, the formation of new development plate, adjacent cities and Shanghai co-city, Shanghai's non-central functions can be moved to the urbanized areas, to enhance their level of development, to a higher level to docking Shanghai, to strengthen the cooperation. Cooperation.

(Organized by the Walton Economic Institute based on the audio recording of Hong Yinxing's speech)