It is the most important part of the central industry to drive the industry to upgrade by innovation.

The central region must move beyond its heavy reliance on natural resources, seek broader opportunities for industrial growth, and focus on enhancing innovation to achieve industrial upgrading. This can be done through restructuring industrial value chains, establishing innovation platforms, improving industrial informatization, and fostering industrial clusters. Industrial innovation is not just a trend—it’s an urgent necessity. According to the *Financial Times*, the need for innovation in the central industry is pressing. To drive development, specific strategies must be adopted. Hu Shuhua emphasized that industrial innovation is a fundamental driver of social progress and a key component of industrial restructuring. Only through innovation can the transformation of the industrial structure be truly effective. To optimize and upgrade the industrial structure, the central government must break free from over-dependence on resources. By focusing on innovation, this can be achieved through value chain reorganization, platform creation, digital advancement, and cluster development. Reconstructing the value chain involves two aspects: extending it geographically and enhancing its value through improvements and added benefits. The six central provinces are vital to China’s economy, serving as major grain producers, energy and raw material bases, and key transportation hubs. They host diverse industrial chains, such as Wuhan’s electronics sector, the auto industry in Jiangling and JAC, and metallurgical chains led by Wuhan Iron and Steel. These industries form the backbone of regional economic strength. However, industrial homogenization remains a challenge. Due to administrative barriers and provincial interests, many industrial chains remain confined within regions, limiting broader collaboration. Breaking these barriers is essential to enhance competitiveness. By supporting leading enterprises, extending supply chains, and leveraging high-tech sectors, the central region can strengthen its industrial core. Building an industrial innovation platform is crucial. Innovation doesn’t occur in isolation—it requires interaction between companies, partners, and stakeholders. It also depends on supportive policies, systems, and cultural environments. Governments must collaborate to create shared platforms, foster communication, and promote resource sharing across regions. Industry associations and key players should work together to address challenges and promote joint solutions. Even though central enterprises may lag behind developed regions, some strong firms exist. Strengthening cooperation among them can help build enterprise platforms that support mutual growth and innovation. In terms of industrial informatization, the central region has made significant progress. Hubei, Jiangxi, Hunan, and Henan have established tech parks and software centers. The government should continue pushing for enterprise digitization, especially in key industries and SMEs, while deepening IT applications in services like finance, logistics, and tourism. Industrial clusters are vital for regional competitiveness. Examples like Silicon Valley, Bangalore, and Zhejiang’s textile clusters show how concentrated industries can boost economic growth. The central region, with its rich scientific resources and growing tech sectors, is well-positioned to develop similar clusters, promoting structural optimization. The automobile industry is a cornerstone of the central region’s economy. In 2003, it accounted for nearly 20% of national production and sales. Despite strengths, challenges like fragmented policies, repeated investments, and weak R&D capabilities persist. To innovate, the industry must remove regional barriers, promote cooperation, build large-scale groups, and invest in innovation platforms. Dongfeng Motor, as a leader, can drive this change by collaborating with other firms and leveraging technical and management innovation. Focusing on electric vehicles,整车 (complete vehicle) development, and parts chains, while strengthening marketing, logistics, and talent networks, will help the central auto industry leap forward. With policy, financial, and market support, the region can build a competitive and sustainable automotive sector.

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