Since China's GDP growth dipped below 7% and continued to trend downward, some people have worried about China's economic outlook. As an important window through which China conveys its voice to the world, the 2016 Summer Davos Forum saw society express confidence in the trajectory of China's economy and in China's economic reform.

On June 26, Huang Yiping, Vice President of the National School of Development at Peking University, said at the 2016 Summer Davos Forum that China's economic slowdown has both cyclical and structural factors. China's economic deceleration is a necessary process on the way from an economic miracle of the past to conventional growth in the future. "During the adjustment, our contribution to the global economy may decrease somewhat, but China remains the largest contributor to the global economy. That has not changed."

Li Daokui, a professor at the School of Economics and Management of Tsinghua University, expressed a similar view: "China remains the source of one third of global economic growth, and this pattern will not change in the short term. Future growth rates depend on today's adjustment. In the long run, a slightly slower growth rate will mean a greater contribution to the global economy."

Huang Yiping reminded us that when growth will bottom out depends above all on reform.

"China's reform and opening-up has spanned more than 30 years and has reached a stage of replacing the old with the new. Old industries can hardly support the next round of Chinese growth, so more new industries with high added value and high technology content should be developed," said Huang Yiping. If industrial transformation is to be carried out smoothly, capacity, inventory and leverage must all be reduced. Simply put, old industries exit and new ones take shape, allowing the Chinese economy to grow steadily, or even to pick up slightly.

Li Daokui believes that globally, apart from the core countries of continental Europe, the country most interested in Industry 4.0 is China. China has felt the pain of industrial upgrading and also has the best conditions for it.

In fact, new energy and the new economy are rising rapidly in China. Take the solar photovoltaic industry as an example: data published on June 21 by SolarPower Europe, the association of European photovoltaic industry, research and government bodies, showed that in terms of newly installed capacity in 2015, China grew 46% year on year with government support, reaching 15.15 GW. China achieved both the largest new installations and the largest cumulative installed capacity, overtaking Germany.

Qian Jing analysed that compared with other countries, China has clear advantages in photovoltaic manufacturing. The efficiency, cost, performance and stability of photovoltaic products all give it core competitiveness. Chinese technology companies do still trail the world's leading companies in core technologies and key components, but after more than 30 years of development the gap has gradually narrowed, and in some fields they have even shifted from followers to leaders.

Reforms to basic market institutions, including state-owned enterprise reform, household registration reform, and market-based entry and exit mechanisms for enterprises, if implemented smoothly during the 13th Five-Year Plan, will provide greater momentum for China's economic reform and industrial transformation and upgrading.