Mayor Zhang Guangning of Guangzhou recently emphasized the importance of developing the equipment manufacturing industry from the perspective of building a modern metropolis. He highlighted the need to strengthen and maintain Guangzhou's strategic position as a central city, while promoting industrial optimization and upgrading to meet long-term economic demands. The mayor called for confidence and proactive action, leveraging national support and current momentum to position Guangzhou as a key center for equipment manufacturing in the country.
In 2005, the machinery and equipment industry in Guangzhou achieved a total output value of 140.4 billion yuan, accounting for 23.3% of the city’s overall industrial output. It contributed 33.1% of the city’s industrial profits, proving that the sector has become a major driver of Guangzhou’s economic growth and stability.
During his recent inspections, Mayor Zhang visited several leading enterprises such as Guangzhong Group, Guangzhou Diesel Engine Factory, and Guangzhou Machine Tool Plant. He commended the progress made in the equipment manufacturing industry and stressed that this year marks the beginning of the “11th Five-Year Plan.†The success of the industry during this period will be crucial for industrial restructuring, improving efficiency, enhancing competitiveness, and achieving the goals set out in the plan.
To further boost the industry, Zhang outlined four key strategies. First, he emphasized the need for better planning and guidance, focusing on resource integration and industrial clustering. The “11th Five-Year Plan†is a critical period for Guangzhou’s equipment manufacturing sector, with an emphasis on areas like industrial machinery, power equipment, environmental technology, rail transit, and CNC systems. The city aims to build specialized industrial parks that promote efficient spatial layouts and mutual benefits between urban development and industrial growth.
Second, investment in R&D and talent development must be increased. Enterprises should take the lead in innovation, collaborate with universities and research institutions, and foster joint R&D efforts. At the same time, a competitive employment system and talent incentives should be established to attract and retain skilled workers, ensuring a solid foundation for innovation.
Third, institutional innovation and corporate strengthening are essential. Efforts should be made to attract foreign and private capital to improve corporate structures and optimize ownership. Uncompetitive or outdated businesses should be restructured or phased out. Financial channels should be broadened, and leading companies encouraged to go public. Modern management practices and technological tools should be used to establish sustainable mechanisms and resolve long-term challenges.
Finally, the government should provide more support to promising enterprises by offering assistance in site selection, land use, funding, and talent recruitment. This will help overcome developmental barriers and create a favorable environment for the growth of the equipment manufacturing industry.
Source: China Industry News
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