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The Rise of Digital Transformation in Northeast China
Digital transformation is swiftly gaining traction among small and medium-sized enterprises (SMEs) in Northeast China. Thanks to a supportive technical service system and a thriving industrial ecosystem, businesses are embracing the change.
Advancements in Bearing Production
In Wafangdian city, a hub for bearing production in Liaoning province, manufacturers are diving into digital transformation. At the Jingu bearing company, traditional methods relying on veteran workers are giving way to data-driven operations.
“I lay awake at night calculating the return on investment,” a local business owner confessed. This highlights the financial concerns many face when considering digitalization.
Efficiency and Cost Reduction
Nearby, a fully automated digital system has been implemented by another manufacturer, revolutionizing their operations. Zhou Jianhong, head of the company’s information department, commented, “It intelligently breaks down production processes.” This system has boosted production efficiency by 20% and reduced costs by 15%.
At this manufacturer, all inspection data is updated in real-time. Workers can easily access comprehensive reports and technical drawings on their phones, enhancing precision and efficiency.
The Digital Infrastructure Backbone
A robust infrastructure underpins this transformation. Liaoning province boasts a digital backbone with 143,000 5G base stations, a blockchain network, and intelligent computing centres. This setup connects manufacturers with supply and demand partners seamlessly.
For instance, at the Shenyang service centre, a small component factory uploaded a 3D model and was quickly paired with a manufacturer just 20 km away. “It’s like an online shopping application for industry,” said Li Chunwei. The platform has shortened design cycles by 30% and reduced customer acquisition costs by 40%.
AI Innovations Fuel Growth
Breakthroughs in artificial intelligence (AI) are adding a sophisticated edge. Liaoning is nurturing industry-specific AI applications, building on domestic models like DeepSeek. At the Dalian Institute of Chemical Physics, researchers have launched a model dedicated to the chemical industry, simulating complex reactions and reducing R&D time.
According to Pan Hong from Liaoning University’s digital economy research institute, “An ideal foundation for developing specialized models comes from our comprehensive industrial system and rich application scenarios.”
Local Government Support
Local authorities have introduced a supportive ecosystem to encourage digital adoption. Financial subsidies, advanced industrial platforms, and tailored services are provided, bolstering confidence in the digital realm.
The high sunk costs of digitalization — often soaring into millions of yuan — previously daunted entrepreneurs. Now, with government backing, the future looks promising.
Future Prospects
Looking ahead, the momentum is set to accelerate. In Heilongjiang province, 51.1% of industrial enterprises have digitized key processes. Jilin province aims to support 1,000 smart manufacturing projects by 2027. This includes establishing 120 demonstration factories and three leading industrial internet platforms.
Conclusion
From factory floors to AI advancements, Northeast China’s manufacturers are scripting a robust story of revitalization through digital transformation. This tech-driven evolution isn’t just boosting efficiency; it unlocks a whole new chapter of innovation.
Explore more about the smart transformation journey here.
