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Shanghai has overtaken Beijing to become the leading region in China in terms of science and technology innovation, according to a recent report from a government-affiliated think tank. This year, Shanghai achieved the highest overall ranking among the country’s 31 provincial-level areas, followed by Beijing, Jiangsu Province, Guangdong Province, Zhejiang Province, and Tianjin.
The report evaluated each region across five key areas: innovation environment, innovation investment, innovation output, high-tech industrialization, and contributions to social and economic growth. Shanghai led in metrics such as labor productivity, economic openness, and technology exports, while Beijing took the top spot for the innovation environment and research and development intensity.
Guangdong ranked first in innovation-driven development, second in innovation investment, and fourth in innovation output. Its local companies showed strong innovative activity, boasting the highest R&D intensity among publicly listed firms and the highest export of licensing charges per 100 million yuan (approximately 14.1 million USD) of GDP.
The leading six regions all surpassed the national average, establishing themselves as China’s top-tier innovation hubs. Hubei Province, Chongqing, and 20 other regions were classified as second-tier, scoring below the average but above 50. Hubei moved up one position to seventh place, while Chongqing, ranking eighth, excelled particularly in high-tech industrialization, holding the top spot in that category.
Regions with scores below 50—namely Xinjiang, Qinghai, and Xizang Autonomous Region—constitute the third tier, with only these three provinces falling into this category. Last year, there were six regions in the third tier; this year, the number has increased to ten.
The Yangtze River Delta, led by Shanghai, has emerged as a significant competitive zone for tech innovation, hosting 10 national innovation demonstration zones. All 11 areas in this region enhanced their innovation capabilities this year. Similarly, provinces along the Yellow River Basin have made progress, boosting their innovation environments to support regional development strategies more effectively.
Overall, China’s technological innovation score increased to 80.2 points this year, up from 78.4 last year. Growth in innovation investment, output, and high-tech industrialization has been instrumental in driving broader social and economic progress.
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