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China Subsidy Exchange

October 25, 2016

China Issues 13th Five Year Plan for the Petrochemical and Chemical Industry

On October 18, 2016, the Ministry of Industry and Information Technology of China (MIIT) issued the Petrochemical and Chemical Industry Development Plan (2016-2020) to guide the petrochemical and chemical industrys development for the 13th Five Year period covering from 2016 to 2020. The Plan aims to maintain the annual growth of the industry value added at 8% on average and have 4.9% of profit margin by 2020. The Plan gives priority to following areas for the next five years: promoting innovation; urging traditional industries to transform and upgrade; developing new chemical materials; promoting smart manufacturing; strengthening the safety of hazardous chemicals; regulating and improving industrial parks/zones; promoting the construction of major projects; and expanding international cooperation. As supporting measures, the Plan calls for coordinating fiscal, taxation, financial, and trade policies with the industrial policy, implementing the bank-enterprise cooperation policy, increasing financing support for key enterprises and key projects, using existing government funds to continue supporting industrial upgrade and technology renovation projects.