By Deng Yusong, Research Institute of Market Economy, DRC

Research Report, No.372, 2021 (Total 6437) 2021-12-7

Abstract: China’s urbanization rate boasted 63.89 percent by 2020, ushering in the mid-to-later period with rapid progress for urbanization. Service industry has become the major booster for driving up urbanization rate, population moves faster to medium-to-large cities and city clusters and a new round of sci-tech revolution and industrial transformation are reshaping the drivers for urbanization and the related spatial layout. In face of the huge shift in urban economic structure and urbanization drivers as well as the in-depth progress of sci-tech revolution and industrial changes, it is more imperative for us to pay attention to innovation-oriented performance, divert production factor resources from declining industries to emerging ones and form a new development cycle based on the industrial upgrading cycle. Besides, we need to forge the mid-to-long-term competitive edge for cities by spurring the education and innovation system development and shifting the focus on infrastructure investment. A policy system adaptable to urbanization developments also needs to be established and fleshed out to advance urbanization development, transformation and upgrading in a sustainable manner. 

Keywords: urbanization, structural changes, policies