The front page article of Liberation Daily gave birth to a big discussion on "Where Shanghai Goes" | Looking Back at Shanghai Research, Development 43 Years ago | Shanghai | Discussion

In the early stages of reform and opening up, the problems and contradictions accumulated in Shanghai's economic development became increasingly prominent, and the development trend gradually lagged behind other coastal areas. This has sparked widespread and enthusiastic discussions throughout the city. In order to revitalize Shanghai, the central government has also dispatched a research team to work with local authorities in Shanghai to investigate and find solutions, thus giving rise to a new economic development strategy.

Facing the problem head-on, where is Shanghai heading

After the Third Plenary Session of the Eleventh Central Committee of the Communist Party of China, the tide of national reform and opening up gradually emerged. Southeast coastal areas such as Guangdong and Fujian have gained policy advantages due to their geographical advantages and are gradually moving towards the forefront of reform and opening up. At this time, as a planned economy hub, Shanghai bears the heavy responsibility of supporting the national reform and opening up, and is in the position of "defender".

At the same time, due to the fact that Shanghai has been following an economic development path dominated by industrial development for many years, the function of the urban economic center has declined, and the urban construction debt is heavy: serious environmental pollution, traffic congestion, housing shortage for the masses, and unreasonable economic structure. Shanghai has to make a new choice in its own economic development strategy, and "where should Shanghai go" has become a prominent issue facing the people of the whole city.

In fact, the discussion on how to develop the Shanghai economy began in 1978 and lasted for more than three years. The Shanghai Municipal Economic Commission is the main organizer. In order to understand the actual situation of Shanghai's economic development, the Municipal Economic Commission organized relevant personnel to investigate the industries related to watches, bicycles, sewing machines and other major components, as well as the industrial sectors of textiles and machinery. The basic conclusion drawn after extensive investigation is that Shanghai's industrial equipment is outdated and the factory buildings are rudimentary. A considerable number of products not only lack the ability to "squeeze out", but are also threatened by a large number of imported advanced foreign equipment and flexible business mechanisms.

On October 3, 1980, the front page of the Liberation Daily published an article titled "What the Ten First and Five Countdown First Explains - Discussions on the Development Direction of Shanghai", which aroused a warm response from society and sparked a great discussion on the development direction of Shanghai.

In 1981, the Department of Economic Research at the Shanghai Academy of Social Sciences began researching the topic of "Research on Shanghai Economic Development Strategy". The content has shifted from simple industrial technological transformation to economic structural issues. The adjustment of economic structure has been elevated to a directional height in Shanghai's economic development strategy. A series of policy recommendations have been put forward regarding economic restructuring issues such as how to deal with traditional industries and how to develop emerging industries.

In September 1982, the 12th National Congress of the Communist Party of China proposed the goal of doubling the total output value of industry and agriculture by the end of the 20th century. "How can Shanghai implement and achieve the goal of doubling its GDP? How can the long-term development goals of Shanghai be determined? How can various existing contradictions be resolved?" Faced with these strategic and global issues, the Municipal Party Committee and Government have decided to combine the formulation of the Municipal Sixth Five Year Plan, organize a large-scale discussion on "where Shanghai is going and what kind of Shanghai to build" around determining the development direction and strategic goals of Shanghai, and widely solicit opinions from experts and scholars from all aspects.

After extensive discussions throughout the city, cadres and theoretical workers reached a consensus: "To transform and revitalize Shanghai, we must follow the path of reform and opening up, and Shanghai must transform from an industrial and commercial city to an economic center city." In April 1983, the government work report passed at the first session of the Eighth People's Congress of the city proposed the development path of "external squeezing, internal connection, transformation, and development", emphasizing the role of opening up the two sectors internally and externally. Shanghai is the junction and hub of these two sectors.

Central and local governments conspire to discuss Shanghai's economic development strategy

Just as the entire city of Shanghai was paying attention to the future development of the city, the Central Committee of the Communist Party of China and the State Council were also very concerned about the economic and social development of Shanghai. Deng Xiaoping and other central leaders visited Shanghai multiple times to inspect work and gave a series of important instructions, demanding that Shanghai fully play the role of a seaport and a central city, play its role as an economic, technological, and cultural base, and become the pioneer of the four modernizations in the country.

In May 1984, the Central Committee of the Communist Party of China and the State Council forwarded the minutes of the symposium on some coastal cities, deciding to open up 14 coastal port cities including Shanghai and Tianjin. On August 12 of the same year, the Central Leading Group for Finance and Economics held a meeting in Beidaihe to listen to a report on Shanghai's economic work, focusing on discussing the urban functions of Shanghai. At the meeting, Chen Guodong, the first secretary of the Shanghai Municipal Committee of the Communist Party of China, and Wang Daohan, the mayor, respectively gave reports on the "Outline of the Report on Shanghai Economic Work" and "Transforming Shanghai, Revitalizing Shanghai". They proposed that "transforming old bases, revitalizing old bases, and better serving the whole country, Shanghai must further open up to the outside world, revitalize itself internally, accelerate the pace of transformation and revitalization, and the fundamental solution lies in economic system reform.".

The Beidaihe Conference set the tone for Shanghai to transform its economic development strategy. However, considering the complexity and wide range of issues involved in the renovation and revitalization of Shanghai, which require comprehensive consideration and reasonable planning, the meeting decided to form a working group consisting of State Councilor and Director of the National Planning Commission, Song Ping. The working group will be led by Ma Hong, Director General of the Economic, Technological and Social Development Research Center of the State Council and Director of the Economic Research Center of the State Council, to organize a joint investigation and research by the National Planning Commission, the Economic Research Center of the State Council, the Chinese Academy of Social Sciences, and Shanghai.

On September 1, 1984, more than 30 members of the State Council's research group on the transformation and revitalization of Shanghai arrived in Shanghai. Ma Hong said, "We need to work hard, there are no Sundays. Please introduce the situation to the comprehensive department, listen, talk, and see at the same time.". On September 3rd, all members of the research group went to Baosteel, Shanghai Metal Structure Factory, Shanghai Port 9 Container Terminal and other units to conduct research and understand the introduction of equipment and industrial transformation. From September 4th to 15th, the research team listened to 19 special reports from relevant committees, offices, and bureaus in Shanghai on Shanghai's economic development strategy, the "Seventh Five Year Plan" concept, industrial development, foreign economic and trade, internal connections, markets, science and technology, urban transformation and construction, transportation, tertiary industry, suburban economy, talent cultivation, finance, labor wages, and comprehensive urban reform.

Starting from September 16th, the research group conducted group investigations and research on six topics, including the adjustment and transformation of traditional industries, the development of new industries and products, the development of the tertiary industry, urban transformation and infrastructure construction, the development and utilization of intellectual resources, the position and role of Shanghai in implementing the opening-up policy, major reforms needed to achieve strategic transformation, and special policies adopted. These topics included holding special symposiums, visiting relevant factories and major projects such as municipal and transportation.

On September 22nd, the research team and the Shanghai Municipal Government jointly held a seminar on Shanghai's economic development strategy campaign, which opened at the Hengshan Hotel. The conference was attended by economists such as Xue Muqiao, Xu Dixin, Qian Junrui, and Wu Jinglian, as well as the main leaders of various committees and offices in other provinces, cities, and Shanghai, as well as a large number of experts and scholars. The seminar is divided into four groups, focusing on strategic objectives, multifunctional issues in central cities, technological transformation, and economic system reform. The attendees expressed their opinions and put forward many unique insights and specific measures to solve the problems, which brought the discussion of Shanghai's economic development strategy to its peak.

On September 26th, the seminar concluded. In his speech, Song Ping pointed out that "Shanghai is the largest central city in the country. To achieve modernization in the country, Shanghai needs to take on this pioneering, leading, and assault role... In the past, it was believed that Shanghai's influence was too great, and Shanghai's institutional reform should be postponed. After consideration, it was believed that Shanghai should take the lead. I strongly agree with this opinion. Renovating Shanghai, such a large old base, is not simple, mainly relying on Shanghai, but also on the necessary support of the country. Ultimately, it also depends on Shanghai. The key is to provide policies and guidelines, so that Shanghai can truly break free from various constraints, fully tap Shanghai's potential, and complete the task of transforming and revitalizing Shanghai.".

Indicate direction, central approval and report outline

Starting from early October 1984, the Shanghai Municipal Party Committee, Municipal Government, and the State Council's Shanghai Research Group on Reform and Revitalization studied and understood the important speeches of the central leadership, comprehensively analyzed the reporting materials of various departments and the opinions of experts and scholars, and began to discuss and draft the Shanghai economic development strategy. On December 5th, Vice Premier Yao Yilin and colleagues from relevant departments of the State Council visited Shanghai for research and inspection, further studying Shanghai's economic development strategy and the necessary policies and conditions for achieving strategic transformation. On December 26th, the "Report Outline on Shanghai's Economic Development Strategy" jointly drafted by the Shanghai Municipal Government and the Shanghai Research Group for Reform and Revitalization under the State Council was officially submitted to the State Council after several revisions.

The Outline of the Report elaborates on the guiding ideology of Shanghai's economic development, proposes the principles and tasks for implementing the economic development strategy, as well as reform measures and special policies that need to be given by the central government. It is also pointed out that in the face of the emerging new technological revolution and fierce competition in both international and domestic markets, Shanghai's economic development has entered a new stage and urgently needs to make new strategic decisions. To revitalize Shanghai, it cannot continue to follow the old path of the past, but must take a new path of leveraging the role of a multifunctional central city. The development of the national economy has put forward higher requirements for Shanghai. In addition to greatly improving the role of the old industrial base through the transformation of traditional industries and the development of emerging industries, it should also become the main gateway for utilizing foreign investment, introducing advanced foreign technologies, and a bridge for digesting and absorbing advanced technologies and management methods to transfer to the mainland, becoming the largest commodity distribution center and the most important in the country. The foreign trade port has become an important financial market and economic and technological information center in the country, and an important base for training scientific and technological personnel, business management personnel, and senior technicians nationwide, providing extensive consulting services

In February 1985, the State Council approved this report, stating: "Under new historical conditions, Shanghai's development should take a new path of transformation and revitalization, fully leverage the multifunctional role of the central city, and make Shanghai the pioneer of the four modernizations in the country. Shanghai should fully utilize the favorable conditions of opening up domestically and externally, leverage its advantages, introduce and adopt advanced technologies, transform traditional industries, explore emerging industries, develop the tertiary industry, gradually improve infrastructure and investment environment, and strive to turn Shanghai into an open, multifunctional, rational industrial structure, advanced science and technology, and highly civilized socialist modern city by the end of the 20th century."

In March of the same year, the municipal government issued a notice on the approval of the State Council's report outline on Shanghai's economic development strategy, requiring all fronts in Shanghai to organize learning in combination with actual situations, widely promote, and make Shanghai's economic development strategy deeply rooted in people's hearts, mobilize the people of the whole city to work together, strive for strength, and strive to achieve this development strategy.

After in-depth investigation and research by the entire city and the Shanghai Research Group on the Reform and Revitalization of the State Council, the "Report Outline on Shanghai's Economic Development Strategy" was drafted and approved by the State Council, laying the foundation for Shanghai's reform, opening up, and economic development in the new era, and pointing out the direction for Shanghai's development from a single functional city to a multifunctional city, which has significant historical significance.