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  "documentTitle": "The China growth opportunity",
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      "text": "While much of this R&D is aimed at building advantage in China’s domestic market, we believe it will make China an increasingly important source of innovation globally and a magnet for R&D capital.",
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      "text": "R&D investment: $313 billion",
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      "text": "MNCs are also increasing their investments in Chinese innovation centers for products and solutions aimed at global markets. Since 2020, for example, BMW has launched an innovation center in Shenyang to develop high-voltage batteries and a startup incubator in Shanghai with Alibaba focusing on Internet of Things solutions for vehicles. Roche recently established a center in Shanghai devoted to drug discovery and development and",
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      "text": "China has been steadily closing the gap with the US in terms of total R&D spending. Although China still lags the US in basic research, its government is significantly increasing investment in scientific discovery. Chinese government agencies and industry together spend more than the US on development research, which focuses on translating new knowledge from basic and applied research into commercial products and new manufacturing processes. While much of this R&D is aimed at building advantage in China's domestic market, we believe it will make China an increasingly important source of innovation globally and a magnet for R&D capital. The Chinese Greater Bay Area, which includes Guangdong province, Hong Kong, and Macau, accounted for $313 billion worth of high-tech investment between 2017 and the first half of 2020, for example, compared with $231 billion for the San Francisco Bay Area.",
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      "text": "As part of its effort to develop new drivers of economic growth, China is ramping up investment in R&D across a range of strategic industries. The nation's 14th Five-Year Plan places a high priority on making China an innovation leader in fields such as biotechnology, quantum computing, semiconductors, electric vehicles, and robotics.",
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      "text": "China is already starting to emerge as a source of innovation, in some fields rivaling the US and other advanced economies. Huawei accounts for 38% of global 5G patents, for example. And China is regarded as a global leader in artificial intelligence: a BCG survey of 2,700 AI managers found that 32% of Chinese companies were actively adopting AI applications, compared with 22% of US companies. A further 53% of Chinese companies had piloted AI applications. Giant Chinese companies such as Alibaba, Tencent, and Baidu, meanwhile, have been leading innovators in digital e-commerce, payments, and content delivery.",
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      "text": "© 2023 Boston Consulting Group",
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