China Accelerates Digital Transformation of Manufacturing Sector

China is focusing on the digital transformation of its manufacturing sector to drive economic growth and foster new productive forces. The State Council recently adopted an action plan outlining measures to fulfill manufacturing needs, accelerate technological advancements, and enhance support for digitalization.

This plan emphasizes the importance of digital transformation for advancing industrialization and building a modernized industrial system. It provides guidance for manufacturers to accelerate their digital drive and facilitate technological application and innovation.

Progress and Benefits of Digitalization

China has made significant progress in digitalizing its manufacturing sector. Over the past three years, the country has launched smart manufacturing pilot projects, building hundreds of national-level demonstration factories and thousands of provincial-level digital workshops and smart factories.

Technologies like artificial intelligence and digital twins are being widely adopted, and 5G is being promoted in various fields. The Industrial Internet now spans all major sectors, with over 200 application examples established.

These digital shifts have brought tangible benefits to numerous producers. For example, Jiangxi Huayuan Knitting Co., Ltd. has significantly minimized production waste and slashed costs through a digital upgrade. The company can now produce 2 grams of clothing at the same unit cost as producing 2 tonnes.

Focus on SMEs and Future Plans

The State Council meeting emphasized support for the digital transition of small and medium-sized enterprises (SMEs), encouraging them to upgrade their equipment and technologies. The government aims to foster specialized tech companies that can provide customized and cost-effective transformation solutions for SMEs.

China will also enhance public services for SMEs and assist them in sharpening their business edges. The goal is to create an environment where innovative firms can thrive and utilize specialized technologies to create novel and unique products.

By embracing digitalization, China aims to strengthen its manufacturing sector, drive economic growth, and build a more sustainable and efficient industrial system.