Latest News:  


How to start transformation and upgrading?

(People's Daily Online)

08:43, March 14, 2013

Tan Xuguang, Shandong Heavy Industry chairman, said that in order to clearly understand the true meaning of the transformation and upgrading of China's manufacturing industry, we should look at it from a comprehensive view of the global industry value chain, especially if we compare it with developed countries' manufacturing system.

"Judging from the global industry value chain, the upstream of manufacturing industry chain is research and development and high-tech components, which is mostly monopolized by the developed countries in Europe and America. Traditional manufacturing in China is located mainly in the middle of the industrial chain, which includes processing, assembly and other sectors, leaving core technology and core components in the control of others, to earn better profits. However, Chinese companies have begun to accelerate the shift to technology research, development and high-tech products", Tan said.

He added, "Chinese enterprises generally ignored the downstream industry chain. In fact, producer-service industry such as downstream sales and after-market services are in the high-end of the value chain. Taking the restructuring KION Group for example, in its 2011 sales revenue, 42% came from after-sales service, leasing and other producer services, and 53% from sales and other services".

Read the Chinese version:转型升级何处着手?
Source: People's Daily

【1】 【2】

We recommend:

Japanese brands search for rebound

Inflation rebounds to 10-month high in Feb.

Halt urged to rising luxury goods prices

China well on way to being largest oil importer

Energy trade surplus for US

China seeks economic transformation

Email|Print|Comments(Editor:HuangBeibei、Liang Jun)

Related Reading

Leave your comment0 comments

  1. Name


Selections for you

  1. Naval escort taskforce in anti-hijack exercise

  2. Armored regiment in live-ammunition drill

  3. Kim Jong Un visits Defence Detachment

  4. 21 miners killed in colliery accident

  5. How we face 'getting old before getting rich'

  6. Photo story: Brave young mother

  7. Is it cute or scary?

  8. Nature's nirvana

  9. Boeing 787 plan for battery fix approved

  10. China's fiscal policy over past 5 years

Most Popular


  1. Efforts needed to nurture ethnic culture, language
  2. Filipina maids or local ayi?
  3. China won't take part in currency wars
  4. Long live the kingdom of bicycles!
  5. Income gap still hot topic
  6. Bigger does not always mean better for megacities
  7. Railway ministry revamp will not impact ratings
  8. Active yet prudent urbanization needed for China
  9. China's dating TV show inspires copycat in Chicago
  10. Int'l influence of Chinese films improving

What’s happening in China

How we face 'getting old before getting rich'

  1. Man who kept sex slave detained
  2. 6,000 dead pigs collected from Shanghai river
  3. Caring for families that lost their only child
  4. Beijing subway overtakes Moscow as busiest
  5. High-end restaurant forced to drop prices