So far, all areas covered by outsourcing are under the category of producer services. From 2013 to 2018, China’s offshore outsourcing grew by 14.3% annually, a pace faster than the growth of services export by 9.1 percentage points as well as than that of goods. It contributed 70.8% of services export during that time. As you said, outsourcing is indeed a propeller of services export and the main form of producer services export. At present, manufacturing as a service and services outsourcing are on the rise. Through outsourcing, China has been moving towards the high value-added ends of the “smiling curve”, i.e. research and development, design, consulting, supply chain management and professional services, in the global distribution of labor. Outsourcing plays a crucial role in improving the quality and efficiency of manufacturing, and in achieving the leap from “Made in China” to “Created in China”. For that, The Guiding Opinion proposes cross-sector integration and coordinated development. It is encouraged that outsourcing should be more deeply integrated with all sectors of the national economy to reshape the value chain, industrial chain and supply chain and bring into being a new industrial ecosystem featuring inter-penetration and coordination.
MINISTRY OF COMMERCE PEOPLE'S REPUBLIC OF CHINA
MINISTRY OF COMMERCE