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Are there industries China does not incentivize its companies to try to compete in, so imports from those countries can remain competitive, and to balance trade? This is not a hostile question. Rather, there are industries which I think China isnt fully trying in. One example I debated @MH.Yang with over the years was cruise ship construction, which China is doing now. What I can currently think about are medications and medical devices.

State-owned enterprises are the backbone of China’s economy. The State-owned Assets Supervision and Administration Commission (SASAC), which reports to the Chinese government, is the owner and ultimate decision-maker for these enterprises. The Chinese government is better positioned than the governments of other countries to control the direction of the nation’s economic development and the flow of capital.

However, China’s economy is, after all, vast, and in addition to state-owned enterprises, there are a large number of powerful private enterprises. The Chinese government does not have the capacity to exercise complete control over all Chinese enterprises and capital.
 
State-owned enterprises are the backbone of China’s economy. The State-owned Assets Supervision and Administration Commission (SASAC), which reports to the Chinese government, is the owner and ultimate decision-maker for these enterprises. The Chinese government is better positioned than the governments of other countries to control the direction of the nation’s economic development and the flow of capital.

However, China’s economy is, after all, vast, and in addition to state-owned enterprises, there are a large number of powerful private enterprises. The Chinese government does not have the capacity to exercise complete control over all Chinese enterprises and capital.
Over the years we talked about the opportunities in building cruise ships; personal pleasure crafts all the way up to a cruise ship and yachts. China went into it.

I know China could allocate resources as part of a national push to go big in an industry, with state owned enterprises or incentivize private companies. The question is if China is holding back, at least the SOEs to “balance trade” with Europe, Japan, and America?

Or is the strategy a go slow, moving up the value added in a methodical manner, when key feeder industries mature or become economical for Chinese industry to make the investment get sufficient ROI to risk in R&D?
 
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Translated from Chinese:
Has the domestic display screen developed to this point? A flexible screen swaying in the wind. Netizens: If you hadn't said so, I'd have thought it was a piece of cloth.
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Over the years we talked about the opportunities in building cruise ships; personal pleasure crafts all the way up to a cruise ship and yachts. China went into it.

I know China could allocate resources as part of a national push to go big in an industry, with state owned enterprises or incentivize private companies. The question is if China is holding back, at least the SOEs to “balance trade” with Europe, Japan, and America?

Or is the strategy a go slow, moving up the value added in a methodical manner, when key feeder industries mature or become economical for Chinese industry to make the investment get sufficient ROI to risk in R&D?
Pursuing profits is the nature of capital. Even the Chinese government can only manage the investment direction of state-owned enterprises and cannot constrain private enterprises. If an industry has high profits, capital will inevitably flock to it. Of course, special industries such as mining within China will be fully regulated by the government due to licenses, but the vast majority of industries cannot be deeply regulated. However, Chinese companies have not made large-scale investments in industries such as yachts. I believe this is because Chinese people's wallets are not enough to support yachts, and the market for this industry is not large enough, resulting in insufficient profits.

btw: The waves in the East and South China Seas are usually over 5 meters high, and the environment here is not suitable for yachts. Moreover, drug abuse and mass debauchery are serious crimes within China, and yachts within China are usually only used for fishing.


btw: Personal prostitution in China may only violate public security regulations, not be a crime. At most, they will be fined and not imprisoned. But organizing multiple people to engage in collective debauchery or prostitution is a serious crime, which can result in a maximum sentence of life imprisonment. Because Chinese law considers individual prostitution as a person's freedom to manage their own body, while organizing prostitution is the exploitation and plunder of others' sexual resources.
 
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Pursuing profits is the nature of capital. Even the Chinese government can only manage the investment direction of state-owned enterprises and cannot constrain private enterprises. If an industry has high profits, capital will inevitably flock to it. Of course, special industries such as mining within China will be fully regulated by the government due to licenses, but the vast majority of industries cannot be deeply regulated. However, Chinese companies have not made large-scale investments in industries such as yachts. I believe this is because Chinese people's wallets are not enough to support yachts, and the market for this industry is not large enough, resulting in insufficient profits.

btw: The waves in the East and South China Seas are usually over 5 meters high, and the environment here is not suitable for yachts. Moreover, drug abuse and mass debauchery are serious crimes within China, and yachts within China are usually only used for fishing.


btw: Personal prostitution in China may only violate public security regulations, not be a crime. At most, they will be fined and not imprisoned. But organizing multiple people to engage in collective debauchery or prostitution is a serious crime, which can result in a maximum sentence of life imprisonment. Because Chinese law considers individual prostitution as a person's freedom to manage their own body, while organizing prostitution is the exploitation and plunder of others' sexual resources.
I was referring to personal water craft for china’s wealthy and upper middle class.

Even middle class people seeking to enjoy a vacation, can go on a Chinese built and Chinese run cruise ship now, catering to their tastes. I still think. A Chinese run cruise line from Vladivostok to western Japan with a cruise along the nature of the Russian far east coast would be a big hit for Chinese customers and cruise ship operators.

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China has started building yachts, for fun family time, or for some casual fishing.
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As we discussed over the year, this was a growth area China only recently seemed to have shifted into. I agree, because lower shipbuilding costs have allowed Chinese companies to make adequate profits. The term personal pleasure craft was not an indication of anything to do with debauchary.

My question is really about China leaving some segments of some industries, such as certain medications and certain medical devices to foreign suppliers, so they can have something to sell to China and balance trade?
 
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