The 2nd Sino-Sweden Science Week jointly sponsored by Chinese Ministry of Science and Technology and Swedish Ministry for Higher Education and Research were held in Beijing from September 17 to 19, 2007. DRC Vice President Liu Shijin attended the opening ceremony of the event and delivered a keynote speech entitled “More Attention Should be Paid to Incentive Policies to Promote Demand for Innovation”. On September 18 during the science week, DRC and Swedish Institute for Growth Policies jointly held a workshop on “Innovation in China and Sweden-Policies and Systems”. The workshop covered the subjects such as education for innovation, promoting user-driven innovation, impact evaluation of input in R&D and innovation and commercialization of innovation. DRC Vice President Liu Shijin made opening remarks and DRC research fellows Dr. Ding Ningning, Director General of DRC Research Department of Social Development, Ms Lu Wei, Director General of Research Department of Techno Economy, Mr. Xiao Qingwen from the Institute of Enterprises and Mr. Dai Jianjun from the Research Department of Techno Economy delivered speeches on different topics. Officials and researchers from both countries actively participated in the frank and dynamic discussions at the workshop and suggested to continue dialogue on innovation policies in China and Sweden by proposing more topics for further discussion.