China is on track to become the world’s leading hub for smart manufacturing by 2030, according to a report from Renmin University of China. The country’s “Made in China 2025” strategy, launched a decade ago, has driven significant advancements across various high-tech industries, including aerospace, electric vehicles, robotics, and telecommunications.
Although Beijing has downplayed the initiative in recent years due to international scrutiny—particularly from the United States—the strategy has already yielded substantial progress. Wang Wen, dean of Renmin University’s Chongyang Institute for Financial Studies, highlighted that 86% of the plan’s original targets had been met, as calculated by South China Morning Post last year.
Concerns over China’s rapid technological development were echoed in a recent U.S. congressional hearing, where experts warned that America risks lagging behind in advanced manufacturing. Despite efforts by the Biden administration to encourage reshoring through tariffs, China is poised to strengthen its position by further enhancing its manufacturing capabilities and fostering independent innovation.
Grand View Research projects that China’s smart manufacturing industry will expand at an annual rate of 18.2%, reaching $158.2 billion by 2030, surpassing the United States, which is expected to grow at 13.6% annually to $152.1 billion.
To maintain this momentum, China aims to integrate cutting-edge technologies, including artificial intelligence, into its manufacturing sector. The Chongyang report predicts that the digital economy’s contribution to China’s GDP—42.8% in 2023—could exceed 50% or even 60% in the coming years.
Beijing’s 2025 government work report underscores the nation’s growing focus on next-generation technologies, mentioning “6G networks” and “embodied AI” for the first time. However, overcoming key technological bottlenecks in semiconductors, precision instruments, and software development remains a priority.
While the U.S. is striving to regain manufacturing dominance, fully replacing China’s well-established supply chain remains a challenge. Meanwhile, Southeast Asia and India are emerging as alternative manufacturing hubs, though their supply chains are not as extensive or integrated as China’s.
According to research fellow Cai Tongjuan, China is set to reinforce its global leadership by accelerating advancements in high-end and smart manufacturing, further solidifying its competitive edge in the industry.
Source: SCMP
