Research On The Industrial Association Of Chengdu-Chongqing Economic Circle And The Construction Of Industrial Value Chain

Strengthening industrial association and constructing industrial value chain is an intrinsic path toward regional industrial development.In the context of a new pattern of development,promoting and improving the industrial association of Chengdu-Chongqing economic circle and the construction of industrial value chain has a profound impact on the development of the China’s western region and even China’s high-quality economic development.Compared with the developed eastern region,the vast western region has more differentiated comparative advantages.With the western region being further developed,and national policies being weighted more heavily toward the Chengdu-Chongqing region,the construction of the industrial value chain in this region faces a better policy environment.According to the Master plan for Chengdu-Chongqing economic circle,made public on Oct 20,2021,China aims to turn the Chengdu-Chongqing area into an economic circle,as well as its fourth driver,which requires that weak links in the industrial chains of the Chengdu-Chongqing region be reinforced,upgraded and stabilized.According to Report to the 20 th National Congress of the Communist Party of China in October 2022,China will make further progress in the large-scale development of the western region,and make China’s industrial and supply chains more resilient and secure,so as to effectively upgrade and appropriately expand China’s economic output.Meanwhile,China will drive forward the development of the Chengdu-Chongqing economic zone and leverage the role of city clusters and metropolitan areas to promote coordinated development of large,medium,and small cities.The construction of industrial value chain of Chengdu-Chongqing economic circle is of the greatest urgency.Our country has entered a period of development in which opportunities and challenges are concurrent and how to strengthen further associations and expand ripple effects is an important task for the coordinated development of the Chengdu-Chongqing region at present.Based on the analysis of both domestic and foreign literature on industrial associations and industrial chains,it can be concluded that formulating and implementing policies based on regional competitiveness research and seeking a path to upgrade industries for regional cooperation help to obtain industrial cooperation and coordinated development across different administrative jurisdictions within the same economic zone.The coordinated growth of the Chengdu-Chongqing region prioritises increasing the integrity and synergy of development,necessitating the bold crossing of boundaries by cities in the economic circle.However,due to disparities in market openness,resource endowment,industrial chain status,etc.,Chengdu and Chongqing continue to compete against one another,and the two cities lag far behind other important cities in terms of industrial comprehensive strength.As a result,the key to the construction of Chengdu-chongqing industrial value chain is to strengthen the cooperation between these two cities,bring the relevant cities into the link of the industrial chain,drive the development of other production links in the industrial chain through the improvement of the strength of Chengdu and Chongqing in the key links of the industrial chain,so as to realize the value added in the industrial chain.Based on the analysis presented above,this paper investigates the industrial development and correlation of the Chengdu-Chongqing economic circle and proposes countermeasures to the industrial value chain build path by combining the key enterprises proposed in the Master plan for Chengdu-Chongqing economic circle.Firstly,the cities in the Chengdu-Chongqing economic circle were divided into Chongqing,Chengdu and related cities,and the gray correlation degree measurement was conducted to analyze the degree of industrial structure correlation based on the relevant data of the first,second and third industries.Secondly,the MRIO model between Sichuan and Chongqing was derived using the input-output table of Sichuan and Chongqing in 2007,and the influence coefficient and inductance coefficient of 42 industrial sectors were calculated respectively.Thirdly,based on the data from the previous two points,it is concluded that: there is a low degree of clustering of manufacturing-based industrial chains;and the food and tobacco industries,communication equipment,computer and other electronic equipment,and other industries are strongly related.Fourthly,on the basis of quantitative and qualitative analysis and the current industrial development status of the Chengdu–Chongqing region,it offers guidance for choosing the industrial sectors that are highly effective at pulling and promoting business and should be the subject of regional cooperation.It also makes specific recommendations at the macro,three–key–industry,and interprovincial levels.