Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
News for Outlets

China deepens integrated development of manufacturing and service sectors

September 15, 2022


Abstract : As one of the key measures to cultivate core competence of China's manufacturing, the integration of advanced manufacturing and modern service sector has been deepening through pilot demonstration programs in the recent two years, activating the internal impetus of industrial development, reported Economic Information Daily on Tuesday.

pic.jpg

A participant visits an exhibition of the 6th World Intelligence Congress in north China's Tianjin, June 24, 2022. (Xinhua/Zhao Zishuo)

BEIJING, Sept. 15 (Xinhua) -- As one of the key measures to cultivate core competence of China's manufacturing, the integration of advanced manufacturing and modern service sector has been deepening through pilot demonstration programs in the recent two years, activating the internal impetus of industrial development, reported Economic Information Daily on Tuesday.

-- Significant progress made in key areas of manufacturing

In a bid to foster modern industrial system and achieve high-quality development through integration of advanced manufacturing and modern service sectors, since 2020, the National Development and Reform Commission (NDRC) has launched two batches of pilot programs covering 40 regions and 80 enterprises.

The regions and enterprises under the pilot programs have been increasing core competence of industry and accelerating transformation and upgrading of manufacturing through independent innovation and technology empowerment, said an NDRC official, noting that the integrated development is gaining momentum, with key sectors including consumer goods, equipment manufacturing and raw materials making prominent progress.

At an intelligent industrial park of Chinese dairy giant Yili, located in Hohhot, north China's Inner Mongolia Autonomous Region, the production of a glass of milk can be traced back to the planting of forage grass. The entire industrial chain of dairy production, from forage planting, dairy cattle breeding to R&D, processing and sales, is under smart management, according to a representative with the company.

Intelligent transformation allows the production line to improve efficiency with its automation level being improved. According to Yili, a smart factory can produce 1,200 tons, or 6 million packs of dairy products every day, meeting daily milk demand of 4 million people. Besides, the intelligent system is also useful in monitoring security risks, making all information and data of the production and manufacturing process transparent and traceable.

In addition to Yili, many other manufacturing companies are also looking to transform themselves from a single production model to one that integrates manufacturing and service, so as to promote the extension of value chains and expand the space for industrial development.

For instance, in the consumer goods sector, Haier Group has sought to achieve brand upgrade through providing smart home solutions; in the equipment manufacturing sector, enterprises including Xuzhou Construction Machinery Group, Yutong Heavy Industries, CRRC Zhuzhou Institute and so on have developed full life cycle management that covers both product sales and after-sales maintenance; in the raw material sector, Baogang Group has established a recycling industrial ecological chain supported by a "one-stop" service and resource sharing platform, accelerating the green transformation of the manufacturing industry.

-- Policy system constantly improved

From encouraging innovative land use and cultivating qualified projects, to guiding the optimization of service mechanisms of financial institutions, the policy environment and system have been continuously reformed and improved in recent years, in a bid to promote in-depth integration of the two industries.

For instance, the Ministry of Natural Resources has taken measures to promote the land use period to adapt with the active period of enterprises. The Ministry of Industry and Information Technology has organized selection of service-oriented manufacturing pilot projects, so as to accelerate the cultivation of demonstration platforms and projects of shared manufacturing.

On the local level, Hangzhou High-tech Zone in east China's Zhejiang Province has promoted land consolidation to build an industrial complex that integrates multiple functions including R&D and manufacturing bases, upstream and downstream enterprises in the industrial chain, as well as supporting service facilities.

Tianjin Economic-Technological Development Area in north China's Tianjin Municipality has implemented dynamic tracking mechanism for key projects demonstrating integrated development. The management system now includes over 130 key projects, covering multiple fields such as smart factory, innovative application of industrial internet, optimization of supply chain management and so on.

With companies of manufacturing industry expanding to R&D and after-sales services, and those of service industry carrying out innovations including supply chain logistics and information services, the integration of the two sectors has become a crucial point in promoting high-quality development of manufacturing, said Zhu Minghao, a researcher with Beijing Jiaotong University. Through supply chain collaboration, integrated development can not only increase product innovation capability, but also promote rapid industrialization of new technologies and new products, Zhu noted.

-- Cultivation of market entities a key in future development

For the next step, efforts for promoting the integration of advanced manufacturing and modern service sector will focus on the cultivation of market entities, which should result in a batch of integrated units with strong driving effect.

Specifically, it is expected that a number of leading enterprises under the pilot programs will grow with strong control over the industrial chain, guiding upstream and downstream enterprises to effectively cooperate among each other. Besides, based on the key regions under the pilot programs, coordination should be promoted among advanced manufacturing bases and modern service industry clusters, striving to build featured public service platforms of integrated development.

Meanwhile, the integration path for various sectors of manufacturing should be categorized for it to be better supported by the service industry. With focus on the protection of key elements, it is also expected to continue deepening the reform of land system as well as increasing the training of compound talents.

"In the future, we will further strengthen collaborative efforts to promote the integration of the two industries," said the NDRC official, vowing to work with relevant departments on deepening the selection and cultivation of service-oriented manufacturing demonstration projects. More efforts will be made in promoting innovation of financial products and service models, deepening industry-education integration and school-enterprise cooperation, as well as strengthening talent training, according to the official.

(Edited by Yu Huichen with Xinhua Silk Road, yhc0267@163.com)

Scan the QR code and push it to your mobile phone

Keyword: manufacturing service sector integrated development B&R Weekly

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial