Economies of scale in industry

 

  Since the 1990s, Shanghai's industry has maintained a two-digit growth for 18 consecutive years, with both industrial value added and industrial profit increase rate breaking the records of the past 10 years. An industrial pattern spearheaded by high-tech industry, backed by basic raw material industry, backboned by equipment industry and supported by metropolitan industry has basically come into being. 6 key industries including automotive, steel manufacturing and petrochemical with the characteristics of the middle/later stages of the heavy industries are entering into their respective development and mature stages. In the meantime, from the viewpoint of bottleneck of industrial development, resources and environment are becoming more and more restrictive to the development of the industry, rendering it more and more urgent to change the growth model and optimize the industrial structure.