Are Chinese Manufacturers Moving Towards Industry 4.0?
Although Industry 4.0 is a German idea, the concept of a fourth industrial resolution is gaining traction in the China manufacturing process and around the world. While cutting-edge manufacturing techniques are commonly associated with the West, China manufacturing is embracing them as well. In this guide readers can learn more about Industry 4.0 and its effects on Asian manufacturing.
China’s TEDA or Tianjin Economic-Technological Development Area, located on the coast southeast of Beijing, is a good example of the country’s strategy. Since 1984, Binhai’s free market zone has been located near the Tianjin seaport and the Tianjin Binhai International Airport. According to TEDA’s Administrative Committee, the free market area has a growth rate of more than 10%, and a GDP exceeding $45 billion. Its closeness to Tianjin’s seaport means it will greatly benefit from increased connectivity between China, its land-going Economic Belt, and its oceanic Silk Road.
The Intelligent Industrial Zone
TEDA recently presented the Intelligent Industrial Zone, which is home to companies developing tech such as intelligent finance, artificial intelligence, smart logistics, and healthcare technology. Smart manufacturing allows companies to respond to consumers’ needs in China, as well as around the world. It represents the basis for the next stage in China’s economic development.
Industry 4.0 and Chinese Collaboration
TEDA is home to the country’s National Supercomputing Center. The facility’s teams are currently working on the Tianhe-3 supercomputer, which can perform one billion-billion calculations each second. This incredible speed makes the supercomputer a valuable asset to companies in the medical, animated, oil exploration, and equipment manufacturing fields.
The Tianjin Economic-Technological Development area also houses the automation institute of the Chinese Academy of Sciences. The Institute serves as an incubator for smart recognition technology, and has spawned several successful firms in the automation field. China’s manufacturing ecosystem is expected to create many similar companies in the future.
Reforms Arose from a Slowdown in the Chinese Economy
Over the past decade the country’s economy grew by leaps and bounds due to high investment in the China manufacturing process sector. However, more recently, manufacturers are growing at a much slower pace. Increasing Chinese worker’s wages, a mature domestic market, and slow global expansion are driving the change. Because of recent slowdowns in the manufacturing sector, China and its investors are looking to Industry 4.0 as a way to drive growth in a post-cheap labor era.
Inter-corporate collaboration and the fact that US companies are beginning to benefit are just part of what makes TEDA a shining example of Industry 4.0’s philosophy. Local manufacturers get funding, training, access to laboratories, production sites, 5-axis machining, and 3D printing capabilities. Intelligent manufacturing is the future in China and the rest of the world and companies like ITI Manufacturing can help USA-based firms succeed by taking advantage of the China manufacturing process despite its ever-changing, ever-evolving states.
If you are experiencing current challenges with manufacturing – offshore or domestic – or your company is new to overseas manufacturing it would benefit you to speak with an ITI Manufacturing expert today. Find out what you really need to know and discover if the China manufacturing process is right for you. Call us toll-free at 888-574-6823.