On October 23, the State Council Information Office held a press conference to discuss the development of the industrial and information technology sectors for the first three quarters of 2024. Zhao Zhiguo, spokesperson and chief engineer of the Ministry of Industry and Information Technology, shared insights regarding the current state of these sectors, highlighting a stable economic performance, ongoing optimization of industrial structure, and significant innovations in key areas.
When asked about the key trends observed in the first three quarters of this year, Zhao identified five primary characteristics:
1. **Stable Growth in Industrial Economy**: Zhao reported that industrial production has remained steady, with a 5.8% year-on-year increase in the value-added of large-scale industries. This performance has contributed nearly 40% of the overall macroeconomic growth, with more than 90% of provinces and industrial sectors showing positive growth. Notably, the equipment manufacturing and high-tech manufacturing sectors have reported rapid growth, with their contributions to large-scale industrial output rising compared to last year. Additionally, industrial investments have maintained double-digit growth for the past eight months.
2. **Accelerated Transformation and Upgrading of Manufacturing**: The ministry has implemented extensive actions for the digital transformation of manufacturing. Zhao noted the establishment of 421 national-level smart manufacturing demonstration factories, alongside building over 10,000 provincial-level smart factories. China has successfully ranked 13 new enterprises among the global “Lighthouse Factories,” bringing the total to 72 and representing 42% of the global share. Significant strides have also been made in promoting digital transformations among small and medium-sized enterprises (SMEs) and in enhancing energy efficiency and carbon reduction measures within the industrial sector.
3. **Emergence of Major Innovative Achievements**: Zhao highlighted several noteworthy accomplishments, such as the successful grid connection of an 18-megawatt offshore wind turbine and the completion of test voyages for China’s first domestically built MARK III membrane-type large LNG ship. Furthermore, the C919 large passenger aircraft is now operational with three major domestic airlines. The Ministry has introduced policy guidelines to foster innovation in manufacturing and materials testing, and established new national manufacturing innovation centers to support technology integration and industrial advancement.
4. **Steady Growth of Operational Entities**: By the end of August, the number of large-scale industrial enterprises reached 504,000, marking a 4.4% increase since the end of 2023. The ministry has nurtured 1,557 manufacturing champions, over 140,000 specialized, innovative SMEs, and 14,600 specialized “little giants.” The profitability of specialized SMEs has exceeded the average levels of larger industrial enterprises.
5. **Sustained Empowerment of Information Communications**: During the first three quarters, total telecom business volume grew by 10.7%. The ministry has made significant efforts toward developing new information infrastructure, with over 4.08 million 5G base stations established by the end of September and a 69.6% adoption rate of 5G users. Furthermore, 1.96 million households now have access to gigabit broadband services. The integration of 5G applications into key sectors, such as industry and healthcare, is apparent, with over 15,000 projects underway under the “5G + Industrial Internet” initiative.
Zhao concluded by acknowledging the increased risks and challenges posed by external environmental changes, which have impacted some enterprises’ operations. However, he affirmed that the fundamentals supporting China’s economic development remain strong, with a complete industrial framework and competitive advantages intact. Recent policy measures are expected to energize industrial upgrades, enhance consumer spending, and stimulate enterprise vitality. The Ministry is committed to achieving its annual objectives and contributing to the economic recovery.
