Page 10 - REPORT ON THE IMPLEMENTATION OF THE 2022 PLAN FOR NATIONAL ECONOMIC AND SOCIAL EVELOPMENT AND ON THE 2023 DRAFT PLAN FOR NATIONAL ECONOMIC AND SOCIAL EVELOPMENT

transportation systems. We optimized the infrastructure layout for goods
distribution and did a better job connecting market facilities. A leading group for

ensuring smooth logistics under the State Council was established to promote
unimpeded transportation and logistics, thus guaranteeing the supply of daily
necessities and production materials as well as the smooth operation of industrial
and supply chains.
4. We focused on the real economy in pursuing economic growth and steadily

increased the quality of the supply system.
With greater self-reliance in science and technology, China rose to 11th place in
the Global Innovation Index 2022, and its industrial and supply chains became
increasingly more secure, stable, and resilient.
1) Innovation played a stronger guiding role.

China’s R&D spending exceeded three trillion yuan for the first time and
accounted for 2.55% of China’s GDP. The new system for mobilizing the nation to
make breakthroughs in core technologies in key fields under the socialist market
economy was further improved. We moved faster in boosting China’s strength in
strategic science and technology, made solid progress in establishing a system of

national laboratories, accelerated the development of international and regional
centers for scientific and technological innovation, comprehensive national science
centers, and national manufacturing innovation centers, and resolved bottlenecks
by achieving breakthroughs in some core technologies in key fields.

We made steady progress in promoting innovation, business startups, and
creativity. We offered tax deductions to small and medium-sized enterprises
(SMEs) in science and technology to cover 100% of their R&D costs and
temporarily extended this policy to cover all eligible sectors. Enterprises received
tax breaks for basic research and equipment purchases. With these efforts, we

continued to reinforce the principal status of enterprises in innovation.
We saw a constant stream of significant scientific and technological advances
throughout the year. The C919 airliner obtained its type certification and was put
into service, and the number of in-service ARJ21 regional passenger aircrafts

reached 100. China’s space station was fully completed, and manned spacecraft
Shenzhou-14 and Shenzhou-15 and the advanced space-based solar observatory
Kuafu-1 were successfully launched. A Chinese-made 100,000-metric-ton
aquaculture vessel was delivered, and CNS Fujian, China’s first indigenous aircraft
carrier equipped with electromagnetic catapults, entered into operation.

2) The foundations of the real economy were strengthened.
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