After successfully conquering the manufacturing markets of several countries, China is now gearing up for a much larger game plan which is called ‘Made in China by 2025’. China is already a superpower by investing in every sector of business including technology, networks, education, and infrastructure and now embarking on the path of the next phase of the digital revolution waiting to happen.
The game plan 2025 strategy was announced in the year 2015 with the intention to boost the manufacturing revolution and it includes areas like smart appliances and high-quality consumer electronic goods. The motivation behind this effort is to make China from a manufacturing house to a manufacturing giant in 10 years down the line.
The transition of China manufacturing from phase 2.0 to phase 4.2
The era of low-cost development is going to end in the country and now it is making way to a high tech development. China is in the process of raising the bar and it will bring a vehement change in their products and services. The country is making serious efforts to change its original copycat image and this led to the coming of many more changes in the process.
This transition phase is also called the 4.2 phase which is a shift from the 2.0 phase when China was emerging as an economic power. This 4.2 development phase is what represents the country’s future. In this phase of industrial development, the emphasis will be on healthcare, artificial intelligence, logistics, intelligent finance, public services, transportation, education and this will help the country to cater to the ever demanding consumer market both at domestic level and in overseas. This will be the cornerstone of the next big phase of development in China.
China wants to be highly competitive by the time around 2035 through their efforts in increasing the efficiency in production and innovation.
What statistics claim?
According to World Bank reports, manufacturing in China covers as much as 40 percent of total GDP in 2017. China is expected to maintain this trend by investing in the manufacturing sector starting in 2025. At the same time, it is also noteworthy to see that its investments in other industrial spheres also proved very successful.
According to reports released by GSMA, the highest regulatory body that controls the interests of mobile network operations globally, China is aiming to become a superpower to enhance production activities and building efficiencies by organizing and introducing automation into manufacturing processes.
As this policy is emanated from the government, the general opinion is that China will be unstoppable in the coming years. The country is expected to occupy 4.1 billion of the world’s industry in IoT in 2025 as GSMA predicts.
Investing in infrastructures, Narrowband IoT’
China has always been showing an inclination towards investing in the infrastructure sector with the aim of a secured future. A leading global management consulting and professional firm ACCENTURE has stated that China’s infrastructural investment could contribute $ 196 billion to the cumulative growth of GDP in the manufacturing sector alone for the next 15 years.
When it comes to network deployment, the country is aiming to integrate 600 devices to what is called ‘Narrowband IoT’ by the year 2020. China favors this technology because of various advantages associated with it such as broader rang facility, low power consumption, enhanced network security, and reliability etc. It is already in the process of implementing this digital infrastructural renovation projects in order to accomplish its objectives.
Laying the foundations for future
These faster network deployments will lay the foundation of the country’s future success by allowing the consumer and industry users to enjoy the benefits by using these connected solutions.
China has matured over the years by learning from its mistakes in the past. Now it has diverted its energy towards investing in manufacturing products to the international standard rather than only focusing on the Chinese standard.
China is also investing in smart city projects introducing several advanced solutions to solve real-world problems such as creating public awareness about conservation of energy and Municipal Corporation etc. The country has already started installing smart water meters in 2017 which has been a success.
Narrowband IoT networks have already been installed in approximately 30 Chinese cities. The future global city will feature a smart environment with the assimilation of technologies such as the internet of things, big data, artificial intelligence, and renewable energy methods.
The country has a flourishing developer community and it is attracting more and more global talents for the development of software because without software, smart devices will be of no use. Many such IoT startups have come into being in recent years to encourage the rise of developers. According to reports provided by Apple, it has more than 2 million IoS developers in China and a great number of IoT solutions providers.
So, the country’s intensive focus on the infrastructure of network and technology, innovation-friendly attitude and a growing community of highly talented and experienced developers enable it to rapidly moving towards a giant superpower. China manufacturing has come a long way as you have seen and now it has entered into a matured phase and a vigorous expansion plan has been formulated to achieve the dream of becoming a world power in every sphere of business.
In terms of expenditure in research and development sector, the plan 2025 has offered assistance to ten different industries which include the IT sector, hi-tech ships, and eco-friendly cars. So these industries will get preferential treatment over others and will be the trendsetters in the coming years.