Foshan to hasten traditional sectors' efforts to go digital

Foshan, a manufacturing hub in Guangdong province, plans to accelerate the digital transformation of its traditional industries to boost innovation and efficiency, a senior government official said.

Bai Tao, mayor of Foshan and a deputy to the 14th National People's Congress, said digital upgrades are crucial for the city's established sectors, which include seven of its 10 100-billion-yuan ($13.8 billion) industry clusters.

"By enhancing production efficiency through intelligence reform and digital transformation, we are driving the smart evolution in traditional advantageous industries," Bai said.

The city has implemented a wave of technological reforms, including launching Guangdong's first city-level artificial intelligence application platform, to drive digital transformation.

According to local government statistics, over 7,400 industrial enterprises above designated size — companies with annual operation revenue exceeding 20 million yuan — in Foshan have undergone digital transformation, more than 72 percent of the total.

"Enterprises that have completed their digital transformations have seen a 16 percent increase in production efficiency on average, and a 17 percent reduction in costs," Bai said.

Foshan Haitian Flavoring and Food Co, a soy sauce producer, exemplifies this trend. Known as a "lighthouse factory", the company has improved efficiency through fully digitized management, reducing product order delivery cycles by over 38 percent and increasing profit margins.

"We will make greater efforts in digital transformation for more companies in the traditional manufacturing industries, aiming to achieve an 80 percent digital transformation rate among industrial enterprises above designated size this year," Bai said.

The city also plans to integrate artificial intelligence into manufacturing, leveraging its data resources and diverse application scenarios.

"By embedding AI into research and design, production and operation management, we will expand AI application scenarios in industries such as household appliances, furniture, ceramics and textiles, accelerating the shift from traditional toward intelligent manufacturing," the mayor said.

Foshan will also focus on developing emerging industries, promoting the integration of innovation, industry, funding and talent.

Leveraging its equipment manufacturing industry cluster, Foshan has built a robotics industrial chain, with about 3,000 related companies and the country's largest industrial robot production base. Midea Group, a local company, is among the world's top industrial robot manufacturers.

The city is also developing its pharmaceutical and health industries, including traditional Chinese medicine manufacturing and medical devices.

According to local government statistics, the city's pharmaceutical and health industry revenue exceeded 100 billion yuan in 2024, maintaining double-digit growth for three consecutive years.

"In the future, we will accelerate the construction of key industrial platforms, focusing on breakthroughs in emerging industries such as new energy storage, new power systems, equipment industrial robots and new energy vehicles," Bai said.