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China's Industry Ministry Unveils Plans to Foster More Specialized "Little Giant" Firms and Manufacturing Champions

Deep News08-26 10:42

At a press conference held by the State Council Information Office on August 26, Vice Minister of Industry and Information Technology Xin Guobin outlined the progress and future direction of China's new industrialization drive. During the "14th Five-Year Plan" period, the country's industrial sector accelerated its transformation toward innovation, quality, intelligence, and green development, successfully fulfilling the plan's goals. With the targets for the next five years now clearly defined, the focus has shifted to ensuring their full implementation.

The ministry will prioritize optimizing the industrial structure by coordinating efforts to upgrade traditional industries, nurture emerging sectors, and strategically position future industries, thereby preserving a complete and robust industrial system. Key emerging pillar industries such as integrated circuits, aerospace, biomedicine, the low-altitude economy, new energy storage, and intelligent robotics will be cultivated at a faster pace. Meanwhile, future industries including quantum technology, bio-manufacturing, hydrogen and nuclear fusion energy, brain-computer interfaces, embodied intelligence, and sixth-generation mobile communications (6G) are expected to evolve into new economic growth drivers.

To strengthen industrial innovation, the ministry plans to intensify research in original and critical core technologies, while enhancing the use of national manufacturing innovation centers and pilot platforms for manufacturing trials. Innovation resources will be channeled toward enterprises, improving a corporate-led ecosystem for industrial innovation and boosting the overall efficiency of the manufacturing innovation system to continuously generate new quality productive forces.

Efforts will also be made to elevate advanced manufacturing capabilities by accelerating the adoption of new-generation intelligent manufacturing. The ministry will promote the digital, networked, and intelligent transformation of the manufacturing sector, establishing smart factories and high-standard digital parks. Industrial green and low-carbon transitions will be advanced to steadily achieve carbon peak in the sector. Additionally, deeper integration between advanced manufacturing and modern services will be encouraged, fostering new models and business forms such as platform-based design and personalized customization, while innovating service-oriented manufacturing.

Cultivating high-quality enterprises remains a key priority, with plans to refine the tiered development system for firms. The ministry will foster and expand specialized and innovative small and medium-sized enterprises, creating more specialized "little giant" enterprises and manufacturing champions. Collaboration between large and small companies will be deepened to promote synergistic innovation across industrial chains. A national service network for SMEs will be established and utilized, alongside special initiatives to reduce corporate burdens and introduce more innovative services to enhance enterprises' sense of gain.

The ministry will also drive high-quality development in the information and communication industry by accelerating the planning and construction of next-generation communication networks and computing power networks. The large-scale adoption of 5G and the industrial internet in key sectors will be promoted, with continued research and development of 6G technology. Efforts to bolster network and data security capabilities will be strengthened to consolidate the industry's competitive edge and leading position.

Finally, the ministry will improve industrial governance capabilities by reforming institutional mechanisms and refining legal frameworks, including legislation for key areas such as telecommunications and road vehicles. Collaboration with relevant departments will be enhanced to prevent and manage telecom and online fraud. A production capacity monitoring and early warning mechanism will be established to improve planning guidance, capacity regulation, pricing governance, and industry self-discipline, comprehensively addressing "involution-style" competition to foster a market-oriented, law-based, and internationalized business environment.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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