Manufacturing weaknesses

R&D investment

China will become the world's largest patent applicant, but the country is short of key technologies. Total investment in research and development lags behind leading economies such as the United States, the United Kingdom, Japan and Germany.

Product quality

The country recalls more goods worldwide due to quality problems. Local firms lose more than 200 billion yuan ($32.2 billion) annually from recalls.

Energy efficiency

China uses more energy to create each unit of GDP than most major economies. Energy consumption per unit of GDP is nearly twice the global average and 2.4 times higher than in the US, according to an estimate by BP Plc, the global energy company. High consumption of coal has also triggered serious environmental problems.

Industrial structure

Low-end manufacturing accounts for a large proportion of total output. Demand for steel, cement and flat glass is well below its peaks.

Information technology

Industrial Internet development lags behind more than 50 economies.

Global value chain

China's outbound direct investment accounts for 2.5 percent of the world's total and around 10 percent that of the US. This means the country is failing to take advantage of the global production chain.

(China Daily Africa Weekly 05/22/2015 page20)