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China Daily / 2025-07 / 14 / Page009

Can AI be a lifeline for legacy manufacturers?

By Yang Guoliang and Shang Fangping | China Daily | Updated: 2025-07-14 00:00
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With the global economy undergoing deep restructuring and technological breakthroughs accelerating, China's manufacturing sector is experiencing a structural transformation of historic proportions. By June, manufacturing value-added accounted for 27.3 percent of China's GDP, cementing the country's position as the world's largest manufacturing hub for the 14th consecutive year.

Yet beneath these impressive figures, traditional manufacturers continue to grapple with growing challenges: low production efficiency, rising operational costs, and mounting environmental pressure. With labor and resource costs increasing, many legacy manufacturers are seeing their profit margins shrink, and their long-term sustainability goal diminish.

Against this backdrop, artificial intelligence and the industrial internet are emerging as powerful drivers of change. For many aging industrial giants, the path from "Made in China" to "Created in China" lies in technology adoption. But this journey is not easy; it demands massive investments in automation equipment, software systems, digital infrastructure and workforce training.

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