New hyperscale data center campus in Johor – OpenGov Asia

Chinese industries felt the pinch of the pandemic as cities struggled to cope with a more contagious strain of the COVID-19 virus earlier this year. Increasingly, however, digital offered solutions that are now becoming more apparent paving the way for faster digital transformation for these businesses.

The dynamics of digitalization of the textile sector offers a glimpse of how Chinese manufacturers, especially those in traditional industries, are striving to overcome economic difficulties by embracing the trend. An example is one of the Chinese textile companies that found it difficult as it now faces the prolonged impact of COVID-19. Yet, in the eyes of the industry veteran, the rise of digital technologies offers a ray of hope for his company and indeed for the entire textile industry. As the pandemic lingers, he is still concerned about the challenges. But, looking to the future, the seasoned businessman remains confident and energetic. Rather than wait and be reactive, we must be proactive, he said.

Indeed, digital adoption has increased as the virus makes its way through Chinese cities. Another manufacturing company in Zhejiang province, a manufacturing base in eastern China, has pledged to channel more energy into digital fronts this year.

As many have fallen victim to the advance of a more contagious version of the virus, one by one ambitious plans have been made by Chinese industries to push the transformation forward. An industry stalwart said his company will leverage live streaming platforms to increase sales and explore the application of industrial internet in production chains to reduce operating costs.

Rapidly developing digital technologies, from Big Data to 5G, are now pervasive in manufacturing and reshaping the broader economic landscape. In 2020, when the virus was in full swing, China’s digital economy grew 9.7% year-on-year to 39.2 trillion yuan ($6.16 trillion), or 38.6% of the country’s total GDP. .

For manufacturers in particular, digitization means less information asymmetry and increased transparency in the supply chain, enabling quality growth and enabling better responses to market fluctuations.

During the recent resurgences of COVID-19, the role of digitalization has become even more crucial in ensuring a vibrant and undisrupted real economy. As the highly contagious variant of Omicron has caused outbreaks of COVID-19 in several parts of the country, parts of the industrial chains have come under enormous pressure. In hard-hit cities, the flow of goods has been congested for some small and medium-sized businesses until smart transport technologies smooth out supply networks.

With digital coordination between merchants, warehouses, operations and other links, products stored in different locations can be deployed efficiently and supply chain performance can be guaranteed at the maximum level, Ma said. .

In recent meetings, the Ministry of Industry and Information Technology (MIIT) has called, among other things, for making good use of 5G, industrial internet and other digital technologies to help businesses solve the difficulties and stabilize industrial and supply chains.

Given the increasingly important role of digital technologies, more political support is in preparation. The need for rapid digital transformation of industries has caught Beijing’s attention. This year’s government work report also included support for the digital sector.

We will strengthen the overall planning of the Digital China initiative, build more digital information infrastructure, step by step develop a national integrated system of big data centers, and apply 5G technology on a larger scale.

– Government activity report

MIIT chief engineer Tian Yulong said a digital transformation action plan is underway, including trials to further combine information technology and manufacturing prowess.

China’s digital transformation has been anything but slow. Its investments in Big Data, for example, have increased in recent years, spurred by the advance of viruses. So much so that China’s largest cities are among the biggest adopters of the latest emerging technology to hit the city, the metaverse, as reported on OpenGov Asia.

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