By Erik Nilsson (China Daily)
Updated: 2007-07-12 14:35

China isn't known as an epicenter of creative industry, but today, the "factory of the world" is building an increasingly innovative "workshop of ideas".

Though creative industry is growing by leaps and bounds globally - faster than the general world economy - in China, it's bunny-hopping several steps behind pace. But many experts monitoring the industry believe this could soon become another tortoise-and-hare story of China's developmental legacy.

A creativity and design studio in Dashanzi Art District (originally 798 Factory). The studio is the heart of Beijing's increasingly visible art and culture community. More such facilities are springing up across he county, reflecting the shifting emphasis on creativity and innovation. [newsphoto]

"The slogan 'from made-in-China to created-in-China' is a very powerful one," says Michael Keane, senior research fellow with Brisbane-based Australian Research Council Centre of Excellence for Creative Industries and Innovation.

"A 1 percent increase in creative capital is probably worth more than a 5 percent increase in manufacturing productivity, because creativity entails greater innovation, which ultimately spills over into the general economy."

The author of the forthcoming book, Created in China: The Great New Leap Forward, believes China is now moving out of the "mid-stage" of the "creative ecology" - a phase in which "copycatting" dominates design.

"China is moving from outsourcing for others, from imitation o

f others, to engagement with international and regional partners through joint ventures, co-productions and franchise agreements," he says. The turning point began in 2005, when Chinese scholars started discussing the development of creative industry with international counterparts at a series of conferences and forums.

A creativity and design studio in Dashanzi Art District (originally 798 Factory). The studio is the heart of Beijing's increasingly visible art and culture community. More such facilities are springing up across the country, reflecting the shifting emphasis on creativity and innovation. Lu Zhongqiu

That led to the second turning point in 2006, when many municipal and local governments addressed the need for the development of creative industry while drafting their 11th Five-Year plans, Keane says. At the same time, manufacturing - especially on the low end of the value chain - began an inland retreat.

"The big cities are trying to become cleaner and greener. They are hoping that the high-value design, advertising, tourism and new media industries will deliver sustainability without pollution. Already, the indications of change are manifest."

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