Building a New Development Pattern to Seize the Initiative in Future Development

Building a new development pattern with domestic circulation as the mainstay and domestic and international circulations reinforcing each other is a major decision made by the Party Central Committee with Comrade Xi Jinping at its core, based on a judicious assessment of the changes in China’s development stage, environment, and conditions. General Secretary Xi Jinping emphasized: “Only by accelerating the building of a new development pattern can we consolidate the foundation of our country’s economic development, enhance the security and stability of development, and strengthen our country’s viability, competitiveness, development capacity, and sustainability amid all foreseeable and unforeseeable storms and turbulent waves, ensuring that the great rejuvenation of the Chinese nation is not delayed or even interrupted, and successfully achieving the goal of building a great modern socialist country in all respects.” On the new journey of the New Era, we must continuously deepen our understanding of the strategic significance of building a new development pattern, accurately grasp the strategic concept of accelerating its construction from an overall and strategic perspective, and firmly seize the initiative in future development.

构建以国内大循环为主体、国内国际双循环相互促进的新发展格局，是以习近平同志为核心的党中央根据我国发展阶段、环境、条件变化，审时度势作出的重大决策。习近平总书记强调：“我们只有加快构建新发展格局，才能夯实我国经济发展的根基、增强发展的安全性稳定性，才能在各种可以预见和难以预见的狂风暴雨、惊涛骇浪中增强我国的生存力、竞争力、发展力、持续力，确保中华民族伟大复兴进程不被迟滞甚至中断，胜利实现全面建成社会主义现代化强国目标。”新时代新征程，我们必须不断深化对构建新发展格局战略意义的认识，从全局和战略的高度准确把握加快构建新发展格局的战略构想，牢牢把握未来发展主动权。

01 Deeply Understanding the Strategic Significance

01深刻认识战略意义

First, building a new development pattern is an inevitable choice to meet the requirements of the new stage of China’s development and the changes in the principal contradiction in society.

第一，构建新发展格局是适应我国发展新阶段要求、社会主要矛盾变化的必然选择。

Since the 18th National Congress of the CPC, socialism with Chinese characteristics has entered a New Era, and the principal contradiction in Chinese society has transformed into the contradiction between the people’s ever-growing needs for a better life and unbalanced and inadequate development. The new development stage, environment, and conditions have placed new demands on economic and social development.

党的十八大以来，中国特色社会主义进入新时代，我国社会主要矛盾已经转化为人民日益增长的美好生活需要和不平衡不充分的发展之间的矛盾。新的发展阶段、环境、条件，对经济社会发展提出了新的要求。

China faces new development environments and conditions. On the one hand, building a moderately prosperous society in all respects and achieving the First Centenary Goal [1]1 The First Centenary Goal refers to the goal of building a moderately prosperous society in all respects by the centenary of the CPC’s founding in 2021. have created favorable conditions for comprehensively building a modern socialist country. On the other hand, the overall entry of China’s 1.4 billion-plus population into a modernized society will surpass the total population of existing developed countries, and its arduousness and complexity are unprecedented; the dominant power over development must be firmly held in our own hands. Objectively, China is a super-large economy, possessing the characteristics of a large-country economy with domestic demand as the mainstay and internal circulation. Against this backdrop, we can and must achieve internal circulation.

我国面临新的发展环境和条件。一方面，全面建成小康社会、实现第一个百年奋斗目标，为全面建设社会主义现代化国家创造了有利条件。另一方面，我国14亿多人口整体迈进现代化社会，规模将超过现有发达国家人口的总和，其艰巨性和复杂性前所未有，必须把发展的主导权牢牢掌握在自己手中。客观上看，我国是一个超大规模经济体，具备内需为主导、内部可循环的大国经济特征。在此背景下，我们可以也必须实现内部可循环。

The principal contradiction in society is an objective reflection of the level of development of productive forces and the stage of social development. The people have not only put forward higher requirements for material and cultural life but also have growing demands in areas such as democracy, the rule of law, fairness, justice, security, and the environment. However, there are still shortcomings and weaknesses in many aspects of China’s economic and social development. Unbalanced development mainly refers to imbalances among various regions, fields, and aspects, which constrain the improvement of the overall development level; inadequate development mainly means that China still has a long way to go to fully realize socialist modernization, and the development tasks remain heavy. Realistically, the relationship between China’s domestic economic circulation and the international economic circulation has long had an objective need for adjustment.

社会主要矛盾是生产力发展水平和社会发展阶段的客观反映。人民群众不仅对物质文化生活提出了更高要求，而且在民主、法治、公平、正义、安全、环境等方面的要求日益增长。但是，我国经济社会发展在很多地方还存在短板弱项。发展不平衡，主要是各区域各领域各方面存在失衡现象，制约了整体发展水平提升；发展不充分，主要是我国全面实现社会主义现代化还有相当长的路要走，发展任务仍然很重。现实地看，我国国内经济循环同国际经济循环的关系客观上早有调整的要求。

Second, building a new development pattern is a strategic measure to better coordinate the strategic overall situation of the great rejuvenation of the Chinese nation and the changes unseen in a century in the world.

第二，构建新发展格局是更好统筹中华民族伟大复兴战略全局和世界百年未有之大变局的战略举措。

The world today is undergoing changes unseen in a century, and China is in a critical period of realizing the great rejuvenation of the Chinese nation. The two overall situations are interwoven and interact with each other. General Secretary Xi Jinping pointed out, “Leading cadres must keep in mind the two overall situations: one is the strategic overall situation of the great rejuvenation of the Chinese nation, and the other is the changes unseen in a century in the world. This is the basic starting point for our planning of work.”

当今世界正经历百年未有之大变局，我国正处于实现中华民族伟大复兴的关键时期，两个大局同步交织、相互激荡。习近平总书记指出，“领导干部要胸怀两个大局，一个是中华民族伟大复兴的战略全局，一个是世界百年未有之大变局，这是我们谋划工作的基本出发点”。

At present and for some time to come, China’s development remains in an important period of strategic opportunity, but both opportunities and challenges have undergone new developments and changes. Domestically, China has entered a new stage of development and already possesses a solid material foundation for embarking on a new journey and achieving new, higher goals, but the problem of unbalanced and inadequate development still exists. Internationally, a new round of scientific and technological revolution and industrial transformation is deepening, the balance of international forces is undergoing profound adjustment, and the world has entered a new period of turbulence and transformation. With changes in the global political and economic environment, the trend of deglobalization is intensifying, some countries are engaging in unilateralism and protectionism, and traditional international circulation is clearly weakening. Facing changes in the world, the times, and history, we must concentrate on handling our own affairs well, ensuring that under extreme circumstances, China’s economy can operate basically normally and the overall social situation remains stable. To accurately grasp the overall situation and trends, we must base the foothold of development on the domestic sphere and rely more on the domestic market to achieve economic development.

当前和今后一个时期，我国发展仍处于重要战略机遇期，但机遇和挑战都有新的发展变化。从国内看，我国已进入新发展阶段，已经拥有开启新征程、实现新的更高目标的雄厚物质基础，但发展不平衡不充分问题仍然存在。从国际看，新一轮科技革命和产业变革深入发展，国际力量对比深刻调整，世界进入新的动荡变革期，随着全球政治经济环境变化，逆全球化趋势加剧，有的国家大搞单边主义、保护主义，传统国际循环明显弱化。面对世界之变、时代之变、历史之变，必须集中精力办好自己的事情，确保在极端情况下我国经济基本正常运行和社会大局总体稳定。准确把握大局大势，必须把发展立足点放在国内，更多依靠国内市场实现经济发展。

Third, building a new development pattern is a strategic choice to better leverage China’s comparative advantages and shape new advantages in international cooperation and competition.

第三，构建新发展格局是更好发挥我国比较优势、塑造国际合作和竞争新优势的战略抉择。

At present, the environment for China’s economic development has changed, especially the relative advantages of production factors. Labor costs are gradually rising, and the carrying capacity of resources and the environment has reached a bottleneck. At the same time, advantages such as the super-large market, demographic quality dividends, and innovation-driven development are gradually emerging. From the demand side, China has a population of over 1.4 billion and a middle-income group of over 400 million, possessing the world’s most promising consumer market. From the supply side, China has the world’s most complete and largest industrial system and supporting capabilities, and is the only country in the world with all industrial categories in the United Nations industrial classification. With economic and social development, the characteristics of a domestic-demand-led national economic cycle based on new comparative advantages will become more pronounced.

当前，我国经济发展环境出现了变化，特别是生产要素相对优势发生了变化。劳动力成本逐步上升，资源环境承载能力达到瓶颈。与此同时，超大规模市场、人口质量红利、创新发展等优势逐步显现。从需求侧看，我国有14亿多人口、4亿多中等收入群体，拥有全球最具发展潜力的消费市场。从供给侧看，我国拥有全球最完整、规模最大的工业体系和完善的配套能力，是全世界唯一拥有联合国产业分类中全部工业门类的国家。随着经济社会发展，基于新比较优势的内需主导国民经济循环特征将更加明显。

At the same time, it must be recognized that accelerating the building of a new development pattern is a proactive layout to achieve internal circulation in a large-country economy. In recent years, with changes in the external environment and China’s factor endowments, the momentum of the international circulation that relied on markets and resources both abroad has clearly weakened, while China’s domestic demand potential has been continuously unleashed, and the vitality of domestic circulation has grown increasingly strong. Better meeting the people’s ever-growing needs for a better life also objectively places higher demands on the domestic market leading economic circulation. Only by accelerating the building of a new development pattern can we better conform to the development trend, rely on the advantages of the super-large market, fully tap the potential of domestic demand, enhance development resilience, and shape new advantages in international cooperation and competition.

同时要看到，加快构建新发展格局是实现大国经济内部可循环的主动布局。近年来，随着外部环境和我国发展要素禀赋的变化，市场和资源两头在外的国际大循环动能明显减弱，而我国内需潜力不断释放，国内大循环活力日益强劲。更好满足人民日益增长的美好生活需要，客观上也对国内市场主导经济循环提出了更高要求。只有加快构建新发展格局，才能更好顺应发展大势，依托超大规模市场优势，充分挖掘内需潜力，增强发展韧性，塑造国际合作和竞争新优势。

02 Identifying Key Points and Making Systematic Arrangements

02找准重点系统布局

The comprehensive establishment of the new development pattern is a long-term and arduous task. We must adhere to a problem-oriented approach and systematic thinking, identify key points, make systematic arrangements, and strive to remove the main contradictions and problems that constrain the acceleration of building the new development pattern.

全面建成新发展格局任重道远，必须坚持问题导向和系统观念，找准重点、系统布局，着力破除制约加快构建新发展格局的主要矛盾和问题。

First, enhance the endogenous driving force and reliability of domestic circulation. Economic activities require the organic connection of various production factors in the links of production, distribution, circulation, and consumption to achieve circular flow. The key to building a new development pattern lies in the unimpeded flow of economic circulation.

一是提升国内大循环内生动力和可靠性。经济活动需要各种生产要素的组合在生产、分配、流通、消费各环节有机衔接，从而实现循环流转。构建新发展格局的关键，在于经济循环的畅通无阻。

We must continue to expand domestic demand. Against the backdrop of instability and uncertainty in the external demand market, we must adhere to the strategic basis of expanding domestic demand, rely more on the domestic market, deeply unleash the driving force of domestic demand, and promote a virtuous cycle of the national economy. To this end, it is necessary to form a complete domestic demand system as soon as possible, focusing on expanding consumer demand supported by income, investment demand with reasonable returns, and financial demand constrained by principal and debt. Consumption is the starting point and endpoint of economic activities, reflecting final demand, and is the main driving force of the national economic cycle. We must build a coordinated institutional system of primary distribution, redistribution, and tertiary distribution, increase residents’ disposable income through multiple channels, expand the size and proportion of the middle-income group, and enhance residents’ consumer demand. Investment demand is an important driving force for promoting the national economic cycle. We must continuously improve the mechanism for expanding investment, continuously optimize the investment environment, further reduce institutional transaction costs, expand the space for effective investment, fully stimulate the vitality of private investment, and leverage the key role of effective investment in promoting high-quality development. Finance is an important driving force for economic development and a key link in connecting factors, smoothing supply and demand, and expanding consumption and investment demand. We must continue to deepen financial system reform to provide low-cost, high-efficiency funding guarantees for consumption and investment demand. In addition, we must strengthen the construction of a modern circulation system, improve hardware and software, channels and platforms, and consolidate the important foundation for domestic and international dual circulation.

要持续扩大内需。在外需市场不稳定不确定背景下，必须坚持扩大内需这个战略基点，更多依托国内市场，深度释放内需动力，促进国民经济良性循环。对此，需尽快形成完整内需体系，着力扩大有收入支撑的消费需求、有合理回报的投资需求、有本金和债务约束的金融需求。消费是经济活动的起点和落脚点，反映最终需求，是国民经济循环的主要动力，要构建初次分配、再分配、第三次分配协调配套的制度体系，多渠道增加居民可支配收入，扩大中等收入群体的规模和比重，提升居民消费需求；投资需求是推动国民经济循环的重要动力，要不断完善扩大投资机制，持续优化投资环境，进一步降低制度性交易成本，拓展有效投资空间，充分激发民间投资活力，发挥有效投资推动经济高质量发展的关键作用；金融是经济发展的重要推动力，是衔接要素、畅通供求以及扩大消费与投资需求的重要一环，要持续深化金融体制改革，为消费与投资需求提供低成本、高效率的资金保障。此外，还要加强现代流通体系建设，完善硬件和软件、渠道和平台，夯实国内国际双循环的重要基础。

We must continue to deepen reform. We should strive to create a world-class business environment that is market-oriented, law-based, and internationalized, stimulate the vitality and potential of market entities, and consolidate the micro-foundation of economic circulation. We need to deepen market-oriented reforms for factors of production, build a high-standard market system, accelerate the construction of a unified national market, promote the optimal allocation of resources and factors, effectively improve the efficiency of market operations, and smooth the domestic economic cycle. We must persistently deepen supply-side structural reform, break through the bottlenecks, blockages, and weak points that constrain supply, use high-quality supply to meet existing demand, continuously create and lead new demand, and accelerate the formation of a higher-level dynamic equilibrium where demand drives supply and supply creates demand.

要持续深化改革。着力打造市场化法治化国际化的一流营商环境，激发经营主体的活力潜能，夯实经济循环的微观基础。要深化要素市场化改革，建设高标准市场体系，加快建设全国统一大市场，促进资源要素优化配置，有效提高市场运行效率，畅通国内经济循环。要持续深化供给侧结构性改革，突破供给约束堵点、卡点、脆弱点，以高质量供给满足现有需求，不断创造和引领新需求，加快形成需求牵引供给、供给创造需求的更高水平动态平衡。

Second, we must build a modern industrial system that is autonomous, controllable, safe, reliable, and highly competitive. The new development pattern is based on a modern industrial system. The formation of the new development pattern cannot be separated from the support of a modern industrial system. Only when various industries are orderly linked, efficiently connected, and rationally laid out can the economic cycle be unimpeded.

二是打造自主可控、安全可靠、竞争力强的现代化产业体系。新发展格局以现代化产业体系为基础。新发展格局的形成离不开现代化产业体系的支撑，只有各个产业有序链接、高效畅通、合理布局，经济循环才能畅通无阻。

On the one hand, we must accelerate the achievement of high-level self-reliance and self-strengthening in science and technology, solving the "bottleneck" problems. [2]2 "Bottleneck" problems (卡脖子难题): A Chinese term referring to critical technologies or components that are controlled by foreign entities, creating vulnerabilities that can be used to pressure or block China's development. The world is undergoing changes unseen in a century, accelerating in intensity. Some developed countries are constantly suppressing China's scientific and technological innovation and industrial development, and the security and stability of China's industrial and supply chains face multiple pressures. We must accelerate the pace of achieving high-level self-reliance and self-strengthening in science and technology, improve the new system for mobilizing resources nationwide, strengthen the national strategic scientific and technological forces, optimize the allocation of innovation resources, and synergistically advance the strategy of invigorating China through science and education, the strategy of strengthening the nation through human resources, and the innovation-driven development strategy. We should design original innovation, integrated innovation, and open innovation as a whole, and deploy the innovation chain, industrial chain, and talent chain together, fully stimulating innovation as the primary driving force, deeply activating talent as the primary resource, and fully unleashing science and technology as the primary productive force.

一方面，要加快实现高水平科技自立自强，破解“卡脖子”难题。世界百年未有之大变局加速演进，一些发达国家对我国科技创新和产业发展不断打压，我国产业链供应链的安全性稳定性面临多重压力。要加快实现高水平科技自立自强步伐，健全新型举国体制，强化国家战略科技力量，优化配置创新资源，协同联动推进科教兴国战略、人才强国战略、创新驱动发展战略，一体设计原始创新、集成创新和开放创新，一体部署创新链、产业链和人才链，全面激发创新第一动力，深度激活人才第一资源，充分释放科技第一生产力。

On the other hand, we must focus the efforts of economic development on the real economy. The global industrial system and industrial and supply chains are showing trends of diversified layout, regionalized cooperation, green transformation, and accelerated digitalization. China's industrial foundation is relatively weak, so it is necessary to more targeted accelerate the filling of shortcomings and weaknesses in the industrial and supply chains. We must persist in focusing the efforts of economic development on the real economy, consolidating the foundation of economic development; promote the deep integration of the digital economy and the real economy, building digital industry clusters with international competitiveness; continuously improve the integrity of the industrial system, efficiently gather innovation factors, and open up new fields and new tracks.

另一方面，要把发展经济的着力点放在实体经济上。全球产业体系和产业链供应链呈现多元化布局、区域化合作、绿色化转型、数字化加速的态势，我国产业基础相对薄弱，需更有针对性地加快补上产业链供应链短板弱项。要坚持把发展经济的着力点放在实体经济上，夯实经济发展根基；促进数字经济和实体经济深度融合，打造具有国际竞争力的数字产业集群；不断提高产业体系完整性，高效集聚创新要素，开辟新领域新赛道。

Third, we must comprehensively promote coordinated development between urban and rural areas and among regions, increasing the coverage of the domestic economic cycle. The construction of the new development pattern is based on the domestic economic cycle as the mainstay, which itself relies on a unified national market. Only when coordinated development between urban and rural areas and among regions is achieved can the space for the domestic economic cycle be broader and its quality be higher.

三是全面推进城乡区域协调发展，提高国内大循环的覆盖面。构建新发展格局是以全国统一大市场基础上的国内大循环为主体，只有实现了城乡、区域协调发展，国内大循环的空间才能更广阔、成色才能更足。

On the one hand, we must promote coordinated development between urban and rural areas and among regions. Cities and rural areas are important spatial carriers for the consumer market and the factor market, and both are important components of the domestic economic cycle. Compared with the market size, quality, and functions of cities, the role of counties, towns, and villages as consumer markets and factor markets has not yet been fully realized. It is necessary to further strengthen urban-rural economic linkages and smooth the urban-rural economic cycle. We must strive to promote coordinated development between urban and rural areas and among regions, continuously stimulate the spillover effects of city clusters and metropolitan areas, further promote the rational flow of various factors between urban and rural areas and among regions, and continuously increase the coverage of the domestic economic cycle.

一方面，要推动城乡区域协调发展。城市和农村是消费市场与要素市场的重要空间载体，都是国内大循环的重要组成部分。相对城市的市场体量、质量和功能而言，县、镇、村作为消费市场和要素市场的作用尚未充分发挥，需进一步增强城乡经济联系，畅通城乡经济循环。要着力推动城乡区域协调发展，持续激发城市群、都市圈的溢出效应，进一步促进各类要素在城乡区域之间合理流动，持续提高国内大循环的覆盖面。

On the other hand, we must accelerate the construction of a unified national market. Taking the domestic economic cycle as the mainstay is aimed at the whole country. It is necessary to accelerate the construction of a high-standard market system with unified basic market system rules, high-standard connectivity of market facilities, and fair and unified market supervision. We must accelerate the construction of an efficient, standardized, fair, competitive, and fully open unified national market, fully leveraging its roles in gathering resources, driving growth, stimulating innovation, optimizing division of labor, and promoting competition. This will facilitate the smooth flow of goods, factors, and resources nationwide, expanding the depth and breadth of the domestic economic cycle.

另一方面，要加快建设全国统一大市场。以国内大循环为主体，是针对全国而言的。需加快建设市场基础制度规则统一、市场设施高标准联通、市场监管公平统一的高标准市场体系，加快建设高效规范、公平竞争、充分开放的全国统一大市场，充分发挥集聚资源、推动增长、激励创新、优化分工、促进竞争等作用，促使商品、要素、资源在全国范围顺畅流动，扩展国内大循环的纵深空间。

Fourth, we must improve the quality and level of the international economic cycle. The new development pattern is an open and mutually reinforcing dual domestic and international economic cycle. To accelerate the construction of the new development pattern, we must comprehensively deepen reform, promote high-level opening up, and enhance the linkage effect of the two markets and two resources, domestic and international.

四是提升国际循环质量和水平。新发展格局是开放互促的国内国际双循环。加快构建新发展格局，要全面深化改革，推进高水平对外开放，增强国内国际两个市场两种资源联动效应。

Leverage the advantages of the super-large market. China's development of the domestic economic cycle has a solid foundation, sufficient confidence, and strategic advantages. We must base ourselves on the domestic economic cycle, expand effective domestic demand, and continuously strengthen the momentum of the domestic economic cycle. Supported by a strong domestic economic cycle, we should gather global resource factors, attract more foreign capital and enterprises to invest in China, build more international science and technology innovation centers, international consumption centers, and international talent hubs, promote the full flow of domestic and international resource factors, use the domestic economic cycle to promote the international economic cycle, and enhance the attractiveness and driving force of the international cycle.

发挥超大规模市场优势。我国发展国内大循环具有坚实基础、足够底气和战略优势。要立足国内大循环，扩大国内有效需求，持续增强国内大循环动力。以强大国内经济循环为支撑，集聚全球资源要素，吸引更多外资、外企投资我国，建设更多国际科技创新中心、国际消费中心、国际人才高地，促进国内国际资源要素充分流动，以国内大循环促进国际大循环，增强对国际循环的吸引力、推动力。

Promote high-level opening up. Only when various production factors and resources flow fully and are optimally allocated over a larger scope can the efficiency and quality of the economic cycle be higher. It is necessary to benchmark against high-standard international trade and investment rules, steadily and orderly advance institutional opening up in rules, regulations, management, and standards, build a new system for a higher-level open economy, enhance our voice in the international economic cycle, and improve the quality and level of the international cycle. We must optimize the layout of regional opening up, accelerate the construction of the New International Land-Sea Trade Corridor and Hainan Free Trade Port, better leverage the role of pilot free trade zones and free trade ports, and accelerate the formation of growth points for participating in the international economic cycle.

推进高水平对外开放。各种生产要素和资源，只有在更大范围充分流动与优化配置，经济循环效率和质量才能更高。需对标高标准国际贸易和投资通行规则，稳步有序推进规则、规制、管理、标准等制度型开放，建设更高水平开放型经济新体制，增强在国际大循环中的话语权，提升国际循环质量和水平。要优化区域开放布局，加快建设西部陆海新通道和海南自由贸易港，更好发挥自由贸易试验区、自由贸易港的作用，加快形成参与国际大循环的增长点。

Strengthen domestic-international linkages. The domestic and international demand markets are inherently interdependent and mutually reinforcing. Taking the domestic economic cycle as the mainstay by no means means closing the door to operate in isolation, but rather, by leveraging the potential of domestic demand, better connecting the domestic market with the international market. We must continue to deepen reform and opening up, rely on national-level platforms for open development, strive to build a large transportation network system that facilitates the efficient flow of domestic and international resource factors, a large market network system that integrates domestic and foreign trade, build a new system for a higher-level open economy, attract global resource factors through the domestic economic cycle, better utilize both domestic and international markets and resources, improve our ability to allocate resources globally, and firmly grasp the strategic initiative.

加强内外联动。内外需市场本身就是相互依存、相互促进的。以国内大循环为主体，绝不是关起门来封闭运行，而是通过发挥内需潜力，使国内市场和国际市场更好联通。要持续深化改革开放，依托开放发展的国家级平台，努力建设便利国内外资源要素高效流动的大交通网络体系、融通内外贸的大市场网络体系，建设更高水平开放型经济新体制，以国内大循环吸引全球资源要素，更好利用国内国际两个市场两种资源，提高在全球配置资源能力，牢牢把握战略主动。

(The author is a Distinguished Research Fellow of the Guangdong Provincial Research Center for Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era and President of the Guangdong Academy of Social Sciences.)

（作者系广东省习近平新时代中国特色社会主义思想研究中心特约研究员、广东省社会科学院院长）

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