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Digital transformation powers upgrade of manufacturing enterprises in Northeast China
China Daily | English | News | Nov. 17, 2025 | UndeterminedTech Development/Adoption
Digital transformation is rapidly advancing among small and medium-sized enterprises (SMEs) in Northeast China's industrial base, supported by a robust technical service system and a thriving industrial ecosystem. In Liaoning province’s Wafangdian city, manufacturers like Jingu bearing company have shifted from experience-based operations to data-driven production, resulting in improved efficiency and capacity. Another local manufacturer has implemented a fully automated digital system that manages the entire production process, increasing efficiency by 20 percent and reducing operational costs by 15 percent.
High initial costs had previously deterred many businesses from digitalization, but a supportive ecosystem from local governments is now helping overcome these barriers. This includes financial subsidies, industrial Internet platforms, and tailored services for clusters such as bearings. Liaoning province’s extensive digital infrastructure, comprising 143,000 5G base stations, blockchain networks, and intelligent computing centers in Shenyang and Dalian, provides a critical data backbone for advanced manufacturing applications. Digital platforms facilitate connectivity between manufacturers and suppliers, significantly reducing design cycles by 30 percent and customer acquisition costs by 40 percent.
Artificial intelligence (AI) breakthroughs are further enhancing manufacturing sophistication. Industry-specific AI models, such as those developed by the Dalian Institute of Chemical Physics for the chemical sector, simulate complex molecular reactions to cut R&D time and optimize energy use. Liaoning’s comprehensive industrial system supports the growth of such specialized applications.
Looking ahead, digital transformation momentum is building across Northeast China. Heilongjiang province had 51.1 percent of its industrial enterprises fully digitized by early 2025. Jilin province plans to accelerate equipment upgrades and smart manufacturing through 1,000 demonstration projects and cultivating numerous digital service providers and platforms by 2027. Overall, digital transformation is driving a significant revitalization of manufacturing enterprises in Northeast China, fostering innovation beyond just operational efficiency.