Li Xuesong: Promoting the High-Quality Development of the Yangtze River Economic Belt Through Regional Coordination and Integration
The Yangtze River Economic Belt encompasses a vast array of natural elements across the entire basin—including upstream and downstream reaches, mainstreams and tributaries, riverbanks, lakes, and wetlands—while interweaving multiple dimensions such as water transport, port construction, industrial layout, and urban development to form a closely knit and interdependent integrated system. Given the holistic, systemic, and indivisible characteristics of the basin’s ecology, public issues within the watershed often transcend the limitations of single administrative divisions and exceed the governance capacity of any individual local government. Therefore, promoting high-quality development in the Yangtze River Economic Belt is, in essence, a holistic undertaking that requires comprehensive consideration and systemic planning. To meet this challenge, it is necessary to break down traditional administrative barriers, departmental silos, and sectoral boundaries, adopting a cross-regional integrated governance strategy to deeply coordinate the complex relationships between upstream and downstream, mainstream and tributaries, and urban and rural areas. This implies a shift away from traditional governance models defined by administrative boundaries. Through the effective integration and optimized allocation of resources, we must establish a cooperative philosophy of "symbiotic prosperity and collaborative progress," promoting complementary advantages and coordinated development among the upstream, middle, and downstream regions.
General Secretary Xi Jinping has pointed out: "We must persist in taking the strengthening of regional synergy and integration as the focal point. Provinces and cities along the river must adhere to provincial consultation, ecological co-governance, region-wide co-construction, and shared development. We must enhance regional transport connectivity, policy uniformity, rule consistency, and execution synergy, steadily advancing the construction of an ecological community and a community of shared interests to promote coordinated regional development." Currently, the Yangtze River Economic Belt is in a critical transitional period, moving from cost-driven large-scale expansion to an innovation-driven model of high-quality development. This shift urgently requires a transition from the traditional mindset of "confrontational competition" to an innovative cooperation model of "win-win cooperation," regarding regional synergy and integrated development as the internal driver and core path for promoting high-quality development.
Deficiencies and Problems in the Coordinated and Integrated Development of the Yangtze River Economic Belt
First, industrial synergy is insufficient. Due to the vast geographical coverage of the Yangtze River Economic Belt, the levels of economic development and the maturity of industrial structures vary across regions; meanwhile, resource distribution and industrial division of labor also exhibit distinct regional characteristics and disparities. While this diversity brings vitality to regional development, it has also led to a degree of homogeneity in industrial structures, as well as loose connections—or even disconnections—between the upstream and downstream segments of industrial chains. Issues such as uneven speeds of regional industrial development remain relatively severe.
In 2023, the economic aggregate of the Yangtze River Delta region (covering Shanghai and the provinces of Jiangsu, Zhejiang, and Anhui) successfully surpassed the 30 trillion yuan mark, demonstrating robust economic vitality and growth potential. Although the Yangtze River Delta serves as the "leading goose" for the Yangtze River Economic Belt and Chinese manufacturing, its manufacturing sector also faces an urgent need for transformation and upgrading, as well as the arduous task of optimizing its industrial structure. On the path to high-quality development, unreasonable factors within the existing industrial structure must be overcome. At the same time, the middle and upstream reaches of the Yangtze River Economic Belt are facing a series of challenges due to historically weak industrial foundations and incomplete industrial policy systems. These include poor coordination between upstream and downstream industrial chains, a generally low industrial level, and deficiencies in infrastructure and supporting service systems—all of which severely restrict the economic potential and competitiveness of these regions.
Regarding the layout of manufacturing, the Yangtze River Economic Belt exhibits a clear "dense in the east, sparse in the west" and "strong in the east, weak in the west" regional pattern; this uneven development status is likely to persist for some time. Notably, as industrial transfer accelerates, labor- and capital-intensive manufacturing in places like Shanghai and Zhejiang—such as textiles and the smelting of ferrous and non-ferrous metals—is gradually moving to the middle and upstream regions. This presents both an opportunity and a challenge, requiring these regions to accelerate the improvement of their capacity to receive these industries and optimize their industrial ecosystems. However, the concentration of key industries like chemical fibers, chemical manufacturing, and transportation in the middle and upper reaches remains low, the developmental foundation is not yet solid, and there is a lack of cooperative zones with core competitiveness to lead and drive industrial upgrading across the entire region. Therefore, efforts must be intensified to promote the transfer of relevant industries from developed areas like Shanghai and Zhejiang to middle and upstream regions with cooperative potential. Strengthening the infrastructure and agglomeration effects of these weak industries in the middle and upper reaches will facilitate the deep integration and collaborative progress of manufacturing across all provinces and cities within the belt.
Second, urban synergy is insufficient. According to indices for regional collaborative development capacity, the Yangtze River Delta significantly leads other areas of the Yangtze River Economic Belt. However, the overall collaborative development scores for other cities in the belt are low, exhibiting a "high in the east, low in the west" trend, with higher scores in provincial capitals and coastal or river-side cities. The "core-periphery" structural characteristic is prominent. In terms of spatial distribution, the collaborative development capacities of cities in the upper, middle, and lower reaches differ significantly. The downstream region is a concentrated area of high collaborative capacity; with Shanghai as the core, supplemented by cities like Nanjing and Hangzhou, it has formed an integrated development trend with balanced synergy between cities. The middle reaches are led by provincial capitals such as Wuhan, Changsha, and Nanchang, with higher-synergy areas distributed along the Beijing-Guangzhou and Beijing-Kowloon [rail] lines, though the overall level still needs improvement. Capacity in the upstream region is generally weak; only a few cities like Chongqing and Chengdu perform prominently, while others generally have low collaborative capacity. Overall, the development levels among various urban clusters within the Yangtze River Economic Belt are uneven, a pattern of open cooperation has yet to effectively form, spatial links are obstructed, and synergy is difficult to achieve; the long-term effectiveness of regional overall planning and linkage still needs strengthening.
Third, ecological synergy is insufficient. First, the entire Yangtze River basin is facing challenges from "fragmentation between departments and regions" (tiao-kuai fenge) [1], primarily reflected in the lack of a high-level, efficient coordination mechanism. The cost of inter-provincial communication and coordination is high, leading to insufficient linkage and cooperation across departments and regions, which in turn triggers conflicts in key areas such as water resource utilization and ecological compensation. Second, the ecological status of the entire basin is not yet sufficiently clear, and assessments of various ecological hazards and environmental risks are inadequate. To better protect the Yangtze ecology, there is an urgent need to build a comprehensive indicator system and basic database to accurately monitor and evaluate the basin's environment and provide a basis for scientific decision-making. Finally, cross-border governance mechanisms and institutional arrangements are inadequate. Coordination between departments and regions remains weak; the traditional fragmented governance model has not been fundamentally transformed. Consequently, cooperation within the basin tends to be superficial, lacking substance and the "hard" binding mechanisms necessary to ensure the effective execution of governance measures.
Fourth, technological innovation synergy is insufficient. First, high-end innovation capacity is lacking. Compared to world-class city clusters like Tokyo or New York, the innovation strength of subjects like universities and research institutes in the Yangtze River Economic Belt—as well as their output capacity in terms of scientific publications and patents—still shows a significant gap; high-end innovation remains a short board. Second, innovation output is unbalanced. The middle and lower reaches, especially the Yangtze River Delta, possess two National Science Centers and a relatively high number of high-level research institutions. Their international scientific exchanges are more frequent, and their basic and applied research capacities far exceed those of the upstream region. Additionally, innovation service organizations—such as tech intermediaries, financial institutions, legal services, patent services, and accounting firms—are comprehensive and well-functioning in the middle and lower reaches. The number and functionality of carriers like makerspaces, incubators, accelerators, science parks, and technology transfer markets are also superior, leading to a technology transformation rate that far outpaces the upstream region. Third, the flow of innovation factors is not smooth enough. The Yangtze River Economic Belt faces dual constraints from high institutional transaction costs and local protectionism. The innovation ecosystem is fragmented, cooperation faces obstacles, and the circulation of resources is hindered. Therefore, it is necessary to strengthen the integration of decision-making and coordination mechanisms to promote the efficient flow of talent, capital, logistics, technology, and information among provinces, ensuring the efficient allocation and utilization of innovation factors. Failure to leverage the advantages of sharing, integrating, and accumulating innovation factors will further restrict the collaborative development of technological innovation in the region.
Promoting Regional Industrial Gradient Transfer and Cooperation to Facilitate Industrial Synergy in the Yangtze River Economic Belt
Currently, the Yangtze River Economic Belt faces a key challenge: insufficient synergy across regional industrial chains. The core reason for this lies in the failure to successfully construct a regional-level unified national market [2] regulation mechanism that covers the entire basin. The absence of such a mechanism directly hinders the effective realization of industrial gradient transfer [3] and the orderly division of labor, resulting in a fragmented state of industrial layout. This situation further exacerbates the overlap and homogeneity of leading industries across various localities, which not only weakens the unique advantages of the regional economy but also restricts the full release and deep tapping of cross-regional collaborative innovation potential. To address this, we must move toward building world-class advanced manufacturing clusters in the Yangtze River Economic Belt, using this to lead and drive the deep integration and gradient transfer processes of domestic industrial chains.
First, in the field of labor-intensive manufacturing, the Yangtze River Economic Belt should focus on building a "dual-core driven" development model with Jiangsu and Zhejiang, fully utilizing the traditional advantages and deep foundations accumulated by these two locations. Simultaneously, it is necessary to further strengthen the bridge and link functions of central cities like Hubei, Anhui, Jiangxi, and Hunan, encouraging them to become core nodes of sub-center cooperation areas and working with upstream regions to build a manufacturing ecosystem with clear levels, distinct division of labor, and complementary advantages. The establishment of this system aims to promote the orderly gradient transfer and structural optimization of labor-intensive industries within the belt, driving a more rational and efficient industrial layout to achieve coordinated regional economic development.
Second, in the field of capital-intensive manufacturing, the Yangtze River Economic Belt should deeply tap into and give full play to Jiangsu Province’s advantages as a technological highland and industrial cluster core. Based on this, a collaboration network radiating across the entire basin should be built to lead the coordinated development of surrounding areas like Hubei, Jiangxi, Hunan, and Anhui. This strategy aims to drive the extension and integration of industrial chains through deepening cooperation between upstream and downstream segments, forming industrial agglomeration zones with high concentration effects and complete ecosystems. Furthermore, support for characteristic industries in the middle and upper reaches should be increased—specifically enhancing the competitiveness of chemical fiber manufacturing in Hubei and Jiangxi, and the dominant positions of Anhui and Guizhou in non-ferrous and ferrous metal smelting. Through policy guidance and optimized resource allocation, we can promote the large-scale and specialized development of these characteristic industries, increasing their influence and "discourse power" (huàyǔquán) [4] in global industrial chains. Attention should also be paid to improving the technological innovation capacity and industrial scale of key node cities like Chongqing in ferrous metal smelting and wood processing, utilizing their unique geographical locations and resource endowments to attract the orderly transfer of non-core industries from developed coastal areas like Shanghai and Zhejiang. This will accelerate the spatial restructuring and transformation of manufacturing within the Yangtze River Economic Belt, pushing industries toward greater scale, specialization, and clustering, ultimately achieving the goals of comprehensive regional economic coordination and industrial upgrading.
Third, in the development of technology-intensive manufacturing, industrial chain integration and technology transfer strategies should be implemented to enhance the technological penetration and collaborative effects from the downstream to the middle and upper reaches. We should significantly enhance the industrial competitiveness and scale expansion of Anhui in electrical machinery manufacturing and specialized/general equipment manufacturing, while accelerating the rise of industries like pharmaceutical manufacturing in Hubei, electronic equipment in Sichuan, and specialized equipment in Hunan—treating technological innovation as the core factor driving endogenous industrial growth. For remote areas like Yunnan and Guizhou, which have vast territories but relatively weak industrial scales and technological foundations, a differentiated development path should be adopted. Precise technological guidance and cooperation strategies based on their unique industrial foundations should be implemented. Additionally, we should actively attract and cultivate potential technology-based enterprises to settle there. Through an "embedded" technology transfer model—where advanced technology and management experience are introduced directly into local enterprises—we can accelerate the "leapfrog development" [5] of technology-intensive manufacturing in these regions, achieving balanced and coordinated regional economic growth.
Advancing Regional Integration to Promote Urban Synergy in the Yangtze River Economic Belt
First, promote the construction of regional integration. It is urgent for the Yangtze River Economic Belt (YREB) to strengthen the process of integrated development. Specific strategies include: deepening cooperation mechanisms between provincial and municipal governments to eliminate administrative barriers, rooting out administrative monopolies, and completely abolishing any policy clauses that hinder market unity and fair competition. Simultaneously, efforts must focus on eliminating regional protectionist barriers and market fragmentation, particularly by strengthening interaction and cooperation among cities located at provincial borders. A new cooperation framework based on unified planning and win-win interests should be constructed to provide a solid institutional guarantee for YREB integration. This will, in turn, promote infrastructure connectivity, the optimization of the business environment, and the synergy of major project platforms, achieving comprehensive, deep fusion and integrated development.
Second, advance categorized policy implementation and interest sharing. Within the landscape of industrial synergy, a cross-regional fiscal and tax revenue distribution mechanism for projects must be established to facilitate the deepening of cross-regional project cooperation and co-construction. The fiscal and tax incentive systems for the joint development of industrial parks should be further refined to stimulate cooperative dynamics, tighten regional linkages, and accelerate the efficient pace of industrial transfer. Regarding the "enclave economy" [6] model, a scientifically sound and rational mechanism for distributing fiscal and tax interests must be designed to ensure its stable operation and sustainable development, helping underdeveloped areas leap over development obstacles. Additionally, fiscal and tax interest division standards for enterprise relocation should be established to clarify the rights and interests between the source and destination locales, promoting an optimized spatial layout of industrial structures. Furthermore, at the level of public service provision, we should actively explore and establish a fair and rational interest-sharing framework. This framework should encompass multi-dimensional mechanisms such as the integrated promotion of compulsory education and the cross-regional linking of medical insurance, aiming to fundamentally and significantly promote the equalization of public services in the upper reaches of the Yangtze River.
Third, realize the linkage of the three major city clusters in the upper, middle, and lower reaches of the YREB. Although strategies related to the YREB, such as the "Development Plan for the Yangtze River Delta City Cluster" and the "Development Plan for the Middle Reaches of the Yangtze River City Cluster," have been initiated, their effectiveness has not yet fully manifested. One crux of the issue lies in the lack of effective linkage mechanisms between the provinces and cities along the river. Developed regions lack sufficient motivation and find it difficult to play a leading role, while underdeveloped regions are limited in their rallying power due to restricted resources. Given this, there is an urgent need for a region that combines national strategic status with development strength to serve as a breakthrough point to propel the overall advancement of the YREB. The Chengdu–Chongqing city cluster is the ideal candidate for this role. The construction and growth of this cluster will serve as a breakthrough—through infrastructure connectivity, the synergistic resolution of overcapacity, and deep cooperation in service industries and shipping—to catalyze the collaborative development process between the upper and middle reaches, further deepening the linkage effect between the three major city clusters. Moreover, the rise of the Chengdu–Chongqing cluster will promote complementarity and collaboration in industrial agglomeration and supply chain construction within the Middle Reaches City Cluster, effectively curbing repetitive investment, overcapacity, and unhealthy competition, thereby enhancing the comprehensive competitive strength and sustainable development capacity of the entire city cluster’s industrial system.
Fourth, promote the synergistic development of the YREB and the "Belt and Road" Initiative. The YREB urgently needs to further broaden its dimension of openness and deepen the process of synergy and integration between cities and internal regions by strengthening cross-provincial collaboration and trade agreement frameworks. In the field of transport infrastructure, the domestic transport network layout under the Belt and Road Initiative and the transport system of the YREB have achieved deep integration. Multiple transport modes, including rail, water, and shipping, are seamlessly connected and mutually supportive, weaving together an efficient trade and logistics network connecting Central Asia, West Asia, Europe, and the rest of the globe. From the perspective of industrial development, the YREB serves as one of the core hubs of China’s industrial map. Its contribution to exports toward countries participating in the Belt and Road Initiative is significant; specifically, from early 2024 to the end of May, the Yangtze River Delta region’s exports to Belt and Road countries accounted for 34.5% of the national total, ranking first in the country. This highlights the region’s leading position in the global industrial chain, particularly its significant role in driving the manufacturing industries of Belt and Road countries. Furthermore, in terms of information and cultural exchange, several central cities within the YREB play key roles as counterpart cities for the Belt and Road Initiative, greatly promoting the widespread flow and dissemination of information and culture, opening new frontiers for people-to-people exchanges, and contributing to the construction of closer bridges for international cooperation and understanding.
Promote the Formation of Long-Term Mechanisms for Basin-Wide Governance and Collaborative Ecological Development of the YREB
First, establish institutional arrangements for "Jointly Engaging in Great Protection" [7]. Primarily, define and strictly adhere to various ecological redlines, strengthen top-level design, and focus on the construction of ecological barriers and corridor systems to maximize their ecological benefits in water source protection, soil conservation, and biodiversity maintenance. Simultaneously, refine ecological redline management mechanisms and protection measures, clarify the division of responsibilities among government departments at all levels, and implement strict accountability mechanisms. Furthermore, by revising and improving the relevant system of laws and regulations, provide solid legal support for ecological redlines and accelerate the legislative process to ensure the timeliness and adaptability of the legal system. Secondly, emphasis should be placed on constructing and implementing a forward-looking and regulatory legal framework aimed at breaking through the rigid barriers of administrative divisions, optimizing the organizational structure of the River and Lake Chief System [8], and strengthening the capacity for integrated protection, collaborative governance, and joint law enforcement for the basin's ecological environment. Promote the transformation of governance models toward informatization and networking, utilizing "Internet+" [9] and big data technologies to empower basin-wide governance, facilitating the transition of governance subjects from a single government entity to multi-party synergy, and enhancing the inclusiveness, participation, collaboration, and systematic nature of the governance system. Accelerate the legislative process for basin ecological compensation, formulating an Ecological Compensation Law to promote the legalization and normalization of ecological compensation mechanisms. Improve the diverse, interwoven compensation system, drawing on successful experiences from regions like Jiangsu to promote the dual advancement of vertical fiscal compensation and horizontal basin-wide ecological compensation within the YREB, constructing a bi-directional driving mechanism for the ecological compensation system. Encourage effective horizontal compensation mechanisms between beneficiary areas and ecological protection areas, as well as downstream and upstream areas, through capital compensation, paired assistance, industrial transfer, talent training, and the joint construction of industrial parks.
Second, emphasize multi-domain collaborative cooperation to improve environmental protection levels. To further propel the YREB toward high-quality development, the core lies in deepening the positive interaction mechanisms between ecological protection and economic development, technological innovation, and exchange services. At the same time, it is necessary to strengthen the overall coordination of traditional industry transformation and upgrading, the incubation of strategic emerging industries, and the implementation of ecological protection projects, ensuring that all fields develop in synergy and move forward together. Specifically, the industries of cities along the river should be driven toward ecological transformation, promoting the effective conversion of ecological resources into industrial advantages. Cooperation should focus on overcoming green environmental protection technology bottlenecks, particularly by increasing investment in "new infrastructure" [10] such as 5G networks, and collaboratively promoting the vigorous development of emerging formats like artificial intelligence, the digital economy, and the health industry. Additionally, the carbon emission rights trading system should be further optimized, making full use of platforms such as the Shanghai Environment and Energy Exchange and the carbon emission rights exchanges in Hubei and Chongqing to effectively guide environmental protection capital from developed to underdeveloped regions. Establish a unified ecological environment monitoring network for the Yangtze River basin and refine mechanisms for regular joint inspections and the co-construction and sharing of pollution prevention and control infrastructure.
Promote the Formation of Innovation-Driven Mechanisms and Collaborative Development of Technological Innovation in the YREB
First, use innovation-driven development to improve regional comparative advantages. The lower reaches of the Yangtze River should continue to strengthen their leading position in technological innovation, exerting a leading and exemplary effect to radiate to and drive surrounding areas, jointly enhancing overall innovation capacity. By optimizing science education and resource allocation, deepening technological collaborative innovation mechanisms, and combining the high-end transformation of the industrial base in the lower reaches with the modernization of industrial chains, the goal is to shape the YREB into a national main force for tackling "bottleneck" [11] problems in high technology. Drawing on the successful model of the Yangtze River Delta "G60 Science and Innovation Corridor," a basin-wide industrial technology innovation collaboration platform should be built to facilitate close cooperation and linkage among the three national-level technological innovation centers within the basin. Focus on key areas such as integrated circuits, semiconductors, biomedicine, new energy, new materials, and industrial foundation software, implementing projects to strengthen the industrial base and accelerating breakthroughs in core key technologies. The upper reaches of the Yangtze River, as a core driver of Western Development, occupy a key position in the construction of Southwest and southward channels. As hubs for innovation resources, Chongqing and Chengdu can join forces to create a "Upper Yangtze River Science and Technology Corridor," using R&D transformation as an engine to drive superior manufacturing and emerging industries, forming high-end industrial chains. Simultaneously, leverage information technology to promote the transformation of traditional industries, upgrading technology, developing new products, and expanding markets to realize the leap from homogenized industries to specialized advanced manufacturing, strengthening regional industrial complementarity and cooperation.
Second, construct a collaborative innovation network for the YREB. To build a dual sub-network system of knowledge synergy and technological innovation, a knowledge synergy network led by source innovation should be clearly defined, focusing on the incubation of innovative ideas. Simultaneously, a technological synergy innovation network should be established, focusing on the practical application, widespread dissemination, and efficient transformation of technological achievements. Under the collaborative framework of the "Chain Chief System" [12], the full-chain integration of manufacturing in the central cities of the YREB must be deepened to ensure precise alignment between supply and demand, thereby forming an open, inclusive, and horizontally collaborative structure of industrial division and chains. As national-level comprehensive scientific centers, Shanghai Zhangjiang and Hefei should fully play their core supporting roles in basic scientific research and major applied technology development. Through the joint construction and sharing of major scientific facilities, they should radiate to and drive technological innovation activities in the core cities of the middle and upper reaches of the YREB, achieving joint efforts on major technological projects. Led by "Double First-Class" [13] universities within the YREB, academic exchanges, scientific research cooperation, and joint talent training in related disciplines between different universities should be promoted to construct a university knowledge cooperation network and build a university development community.
Third, develop bi-directional "innovation enclaves." Against the backdrop of Yangtze River Delta regional integration, the enclave economy is shifting from single "industrial enclaves" to "innovation enclaves" and "bi-directional enclaves." The construction of "innovation enclaves" has become an important mode of regional cooperation in the Yangtze River Delta. This shift not only promotes the complementary and optimized allocation of regional resource advantages but also significantly deepens the level and scope of technological cooperation, providing a strong impetus for the construction of a "development community." To adapt to this trend, development zone management agencies within the YREB must accelerate their transformation toward the model of development and operation groups, facilitating the efficient flow of capital, mutual investment, and strategic integration between parks, and constructing a management and service network architecture centered on large-scale development zone operation groups. Simultaneously, the leading role of large enterprises and industry associations should be enhanced in the construction of cross-regional supply chains, industrial chain upgrades, innovation chain synergy, value chain value-adding, and the deep integration system of "government-industry-university-research-application," promoting the effective matching of innovation elements with industrial resources. We must actively promote the cultivation and development of world-class industrial clusters in China, focusing on key fields such as next-generation information technology, high-end materials, big data, cloud computing, quantum technology, and intelligent manufacturing, accelerating the incubation and growth of world-class industrial clusters in the YREB to provide solid support for the high-quality development of the regional economy.
(Li Xuesong is a Professor at the School of Economics and Management, Wuhan University) Source: People’s Tribune (RMBZT.com.cn) Web Editor: Huihui