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Smart manufacturing has become a major focus in recent years. At the 19th Party Congress, there was a strong emphasis on "accelerating the development of advanced manufacturing and promoting the deep integration of the Internet, big data, artificial intelligence, and the real economy." Experts believe that with the advancement of new technologies and their deeper integration into manufacturing, smart manufacturing is rapidly developing domestically, driving the transformation and upgrading of traditional industries.
An image illustrating an intelligent remanufacturing model was featured, showing the potential of this emerging trend. On October 31, the “2017 SAP Smart Manufacturing Summit†took place in Ningbo. During the event, SAP and the Beilun District Government of Ningbo officially launched the “SAP Ningbo Smart Manufacturing Innovation Center.†This collaboration aims to build an Industry 4.0 platform for industrial upgrades, helping local companies adopt smart manufacturing practices.
Chen Yujun, deputy secretary of the Ningbo Municipal Party Committee, emphasized that as China’s first pilot city for “Made in China 2025,†Ningbo is actively pushing forward enterprise innovation and transformation. The Innovation Center is expected to accelerate the development of a new industrial system, promote digitalization across the region, and support the growth of smart manufacturing in both Ningbo and the entire province.
Gi Bengmeng, SAP's executive vice president and president of Greater China, expressed confidence in working with the Ningbo government to boost smart innovation among local manufacturers. Located in Beilun District, the Innovation Center will serve as a hub for incubating technological breakthroughs and offering tailored digital services to SMEs through an end-to-end cloud platform.
This partnership reflects the broader momentum behind smart manufacturing in China. Cities like Shanghai, Jiangsu, Zhejiang, and Guangdong are also making significant strides. For instance, Shanghai has established a “1+X†smart manufacturing layout, while Fraunhofer, a leading European research institute, recently set up a smart manufacturing project center in Lingang, focusing on Industry 4.0 innovations.
Since the 2008 financial crisis, global attention has shifted back to physical manufacturing from virtual sectors. As challenges such as low asset availability, poor data transparency, and rising labor costs emerged, countries like the U.S., Japan, and Germany introduced initiatives like “Industrial Internet,†“Industrial Rehabilitation Plan,†and “Industry 4.0,†respectively. China followed with its “Made in China 2025†strategy.
Experts agree that the core of these plans is using emerging technologies like IoT to modernize traditional manufacturing. The fusion of information technology and manufacturing is reshaping production models and creating new opportunities. Global leaders like GE and Siemens have already made significant progress in integrating IT with industry.
China is not far behind. The Ministry of Industry and Information Technology released the “13th Five-Year Development Plan for Smart Manufacturing,†aiming to digitize traditional sectors by 2020 and achieve initial intelligent transformation by 2025. Analyst Zhang Cheng from Hua Cheng Securities believes smart manufacturing is the only path for China to become a global manufacturing leader, emphasizing that it's about more than just automation—it's about intelligent and digital transformation.
Recent data shows rapid growth in smart manufacturing. In 2017, the Ministry announced 97 smart manufacturing pilot projects, with many located in coastal areas. The national smart manufacturing level is advancing, supported by substantial funding and increasing demand for industrial robots. In September alone, robot output surged by 103.2% year-on-year.
Looking ahead, the next decade will be critical for China’s manufacturing upgrade. With shifting consumer demands, rising labor costs, and the need for efficiency, smart manufacturing is no longer optional—it's essential. China is well-positioned, with growing technological capabilities, strong internet-driven demand, and a pressing need for smarter, more efficient production.