Original Title:
People’s Government of Shanxi Province
Implementation Opinions on Promoting Technological Upgrading of Enterprises
Jin Zheng Fa [2023] No. 13
People’s Governments of All Cities and Counties; All Commissions, Offices, Departments, and Bureaus of the Provincial People’s Government:
Technological transformation refers to investment activities undertaken by enterprises to adopt new technologies, equipment, and materials to upgrade facilities, production processes, and services; to diversify product varieties, improve product quality, and expand production scale; to enhance operational efficiency and input-output ratios; and to achieve high-quality development. It is a necessary means of optimizing the allocation of existing resources and expanding high-quality incremental supply, as well as an important pathway for advancing industrial transformation. To accelerate the implementation of the manufacturing revitalization strategy and effectively enhance the level of technological transformation in enterprises, these Implementation Opinions are hereby formulated.
I. General Requirements
Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, and fully implementing the spirit of the 20th National Congress of the Communist Party of China,thoroughly implement the spirit of General Secretary Xi Jinping’s important speeches and instructions during his inspection tour of Shanxi, and follow the Provincial Party Committee’s strategic deployment for promoting high-quality development. We will prioritize the revitalization of manufacturing as the main focus of industrial transformation, with the high-end, intelligent, and green development of manufacturing as the central theme, and the enhancement of market entities’ innovation capacity and competitiveness as the core. We will concentrate on key areas where technological transformation drives industrial transformation, implement six major technological transformation projects, and promote the upgrading of platforms, products, technologies, and enterprises,accelerate the empowerment of the digital economy, drive green and low-carbon transformation, and promote changes in quality, efficiency, and growth drivers, thereby cultivating new momentum and providing strong support for the construction of a modern manufacturing system.
By 2025, the province’s level of technological upgrading will have significantly improved, with annual investment in technological upgrading growing by more than 8%. Labor productivity in traditional enterprises will have substantially increased, and the scaled development of emerging enterprises will have yielded significant results. The rate of numerical control (NC) application in key production processes among industrial enterprises above designated size will reach 64%, and energy consumption per unit of industrial output value for enterprises above designated size will be reduced by more than 14.5% during the 14th Five-Year Plan period.By 2030, manufacturing enterprises across the province will achieve intensive growth and a leap toward intelligent manufacturing. Industrialization breakthroughs will be realized in key core technologies within priority sub-sectors, and a number of flagship products with high market share and strong competitiveness at the national level will emerge. The role of technological transformation in supporting the high-quality development of industry and informatization will be further strengthened.
II. Key Directions
(1) Focus on Industrial Transformation to Advance High-End, Intelligent, and Green Upgrades
Innovation-driven approaches will be integrated throughout the entire process of enterprise technological transformation to enhance process and equipment standards, upgrade products, promote full-process intelligent transformation, and elevate the level of green and low-carbon development.
1. Upgrade traditional leading enterprises. Emphasize smart, green, and service-oriented transformation pathways to guide traditional leading enterprises from extensive, resource-intensive development toward intensive, value-driven development. In the steel industry, promote technologies such as low-carbon metallurgy, clean steel smelting, and advanced rolling, optimize the product structure of stainless steel, and enhance the supply capacity of key steel products such as high-quality special steel and special alloy steel for high-end equipment.In the coking industry, we will promote the upgrading of large-scale coking equipment and green retrofits such as dry quenching and the utilization of waste heat and pressure. We will utilize coke oven gas to produce hydrogen, methanol, and ethylene glycol, and extend this into high-end polyester materials; we will conduct deep processing of crude benzene to produce biodegradable plastics, caprolactam, and downstream products;and the fine separation of light fractions and deep processing of heavy fractions of coal tar to produce naphthalene series, pharmaceutical intermediates, and high-end carbon products. The non-ferrous metals industry will promote the application of high-performance aluminum-magnesium alloys in aerospace, rail transit, and automotive sectors, and facilitate the expansion of high-strength, high-conductivity, and high-toughness copper alloys in precision electronics and 5G communications.The chemical industry will utilize new coal gasification technologies to upgrade urea production facilities and develop downstream chlor-alkali products. The building materials industry will expand the supply of green building materials, such as prefabricated building components. The traditional equipment manufacturing sector will develop intelligent coal mining machinery for comprehensive coal extraction, primary and auxiliary transportation, and underground safety; enhance the competitive edge of heavy machinery for metallurgy, lifting, and excavation; create specialized equipment for coal chemical processing, textile machinery, and agricultural machinery; and develop precision and high-end cast and forged products.The wine industry will preserve and optimize traditional brewing techniques. The vinegar industry will promote integrated smart brewing technologies combining fermentation, smoking, and leaching, and expand the scale of functional vinegar products. The food industry will enhance quality and safety assurance capabilities and develop functional foods tailored to the needs of infants, the elderly, and other specific demographic groups. The light industry will develop high-end daily-use ceramics and glassware, specialty construction paper, and high-end silk, linen, and wool textiles.
2. Expand and strengthen strategic emerging enterprises. Focusing on key areas of transformation—end-user markets, high-end products, and cutting-edge technologies—we will promote the scaled development of strategic emerging enterprise clusters.The high-end equipment manufacturing sector will develop rail transit equipment such as wheel sets and axles for high-speed trains, electric drive systems, high-performance bogies, electric locomotives, high-speed trains, and urban rail vehicles; improve the quality of wind power equipment, including complete units and components for high-power wind turbines; build strategic equipment such as high-end machine tools, intelligent robots, aerospace, and shipbuilding and offshore engineering; and develop general aviation equipment such as drones, aircraft engines, and small and medium-sized general aviation aircraft.The energy-saving and new energy vehicle industry will develop complete vehicle products such as pure electric vehicles, hydrogen fuel cell vehicles, and methanol-powered vehicles, and advance core components including drive motors, electronic control systems, and hydrogen fuel cell engines.New Materials Industry: Develop new inorganic non-metallic materials such as coal-based kaolin and refractory materials; advance high-performance fiber materials including organic fibers, carbon fibers, and glass fibers; and achieve breakthroughs in frontier materials such as nanomaterials, advanced composite materials, and high-end carbon materials. Synthetic Biology Industry: Develop bio-based materials such as pentamethylene diamine, long-chain dicarboxylic acids, polyamides, and polylactic acid; and establish downstream products such as textile fibers and engineering plastics.Modern Coal Chemical Industry: Research and develop generic technologies suitable for Shanxi’s coal types, including coal gasification, coal pyrolysis, fractionated and graded coal utilization, and “three wastes” treatment; develop downstream products based on coal-to-liquids, olefins, methanol, and ethylene glycol.The energy-saving and environmental protection industry will develop energy-saving and environmental protection equipment such as high-efficiency heating systems, energy-efficient power sources, and systems for utilizing waste heat and pressure, as well as intelligent wastewater and flue gas treatment systems. It will also develop complete sets of equipment for the comprehensive utilization of industrial waste and promote technologies such as multi-pollutant协同治理 and advanced treatment and reuse of industrial wastewater. The modern pharmaceutical and healthcare industry will strengthen the research, development, and industrialization of new drugs, develop granulated traditional Chinese medicine formulations, and foster high-value consumables and high-performance medical equipment.
(2) Focus on the Integration of the Digital and Real Economies to Promote Industrialization, Digitalization, and Convergence
We will synergistically advance the industrialization of the digital sector and the digital transformation of traditional industries, promote the quality improvement, scale expansion, and innovative development of digital enterprises, accelerate the digital transformation of manufacturing enterprises, and foster new models for the digital economy to empower and enable economic growth.
1. Achieve breakthroughs in digital technology products. Promote the application and innovation of key core technologies and the commercialization of research outcomes to enhance the quality of product supply in core digital industries. In the semiconductor industry, strengthen strategic布局 in materials, equipment, chips, and packaging; develop products such as integrated circuits, optoelectronic devices, discrete devices, and sensors; and promote the large-scale production of silicon carbide substrate materials. In the photovoltaic industry, intensify the industrialization of photovoltaic cells and modules and develop smart photovoltaic products.The new energy storage battery industry will develop sodium-ion, lithium-ion, and vanadium flow battery products, and accelerate the development of key materials such as anode and cathode materials, separators, and electrolytes. The software industry will enhance the level of foundational software and increase the supply of software products for industrial, platform, industry-specific, and embedded applications.The big data industry will accelerate the development of green, intensive, and efficient computing centers, develop big data products such as data generation and collection, storage and processing, analysis services, and security governance, and promote the in-depth application of industrial big data. The information technology innovation industry will tackle technologies such as high-performance server chips and large-scale distributed storage, and create independently controlled products including complete systems, servers, and storage devices.
2. Accelerate digital and intelligent empowerment in key sectors. Promote digital transformation and upgrading in development zones, market entities, and new product sectors; enrich typical application scenarios; and establish a demonstration-driven advantage. Digital Transformation of Development Zones. Relying on industrial development zones, accelerate the construction of digital parks, upgrade digital infrastructure, build smart development zone cloud service platforms, and accelerate the digitalization of government services, project management, public services, and operational management.Digital Transformation of Market Entities. State-owned enterprises will play a leading and exemplary role, comprehensively driving digital transformation in R&D and design, production and processing, operations management, and sales and services.Private enterprises should deepen their focus on niche markets, concentrate on core manufacturing processes for digital transformation, and foster “specialized, refined, distinctive, and innovative” small and medium-sized enterprises (SMEs) as well as “single-champion” enterprises in the manufacturing sector. Smart Manufacturing Scenarios and Product Development. Select and promote outstanding smart manufacturing scenarios targeting core manufacturing processes; establish smart manufacturing demonstration factories in specific sub-sectors; guide leading enterprises to spearhead the development of smart supply chains; and encourage the creation of smart manufacturing pilot zones. Develop new smart products such as smart (connected) vehicles, smart coal mining machinery, smart terminals, and smart home appliances.
III. Key Tasks
Closely aligned with key directions for technological transformation, we will leverage the catalytic and guiding role of Shanxi Province’s Special Fund for Technological Transformation to implement six major special projects. This will accelerate the pace of enterprise transformation and upgrading while enhancing the driving force and core competitiveness of industrial development.
(1) Special Project for Clustering, Intensification, and Efficiency Enhancement
Enhance the efficiency of industrial upgrading, cluster collaboration, and enterprise operations; promote efficiency transformation through chain-based clustering, factor intensification, and regional concentration. Cultivate key industrial chains, strengthen “chain-leading” enterprises, optimize enterprises within the chain, attract key links to establish operations, strengthen upstream-downstream collaboration and support, and elevate the supporting development level of development zones and platform institutions. Build specialized towns with distinctive features, supporting the construction of public service platforms in these towns, the development of leading industries, the cultivation of market entities, and the enhancement of service support capabilities.Accelerate the advancement of new industrialization, establish pilot zones for high-quality manufacturing development, and cultivate demonstration bases for new industrialization. Optimize and enhance the carrying capacity of industrial clusters, establish complete industrial chains, build an advanced manufacturing ecosystem, expand scale and radiation effects, and create national-level advanced manufacturing industrial clusters.
(2) Special Project for Enhancing Core Competitiveness
By consolidating foundations, leveraging strengths, addressing weaknesses, and reinforcing vulnerable areas, we will promote a quality transformation in key basic products and major technological equipment.Implement the industrial foundation revitalization initiative to promote the enhancement of foundational capabilities—including core basic components, core basic elements, critical basic software, critical basic materials, and advanced basic processes—through categorized approaches. Consolidate the core support capabilities of the industrial foundation, expand the scale of competitive basic products, enrich the product portfolio, and drive the upgrading of equipment toward larger-scale and high-end applications. Enhance the capacity for strategic breakthroughs in the industrial foundation and promote industrialization breakthroughs in key core technologies.Accelerate the construction of public service platforms for industrial technological foundations, including testing, inspection, and metrology standards; industrial information; and the industrialization of innovation outcomes. Implement research and development initiatives for major technological equipment, accelerate R&D, manufacturing, and application, and enhance the high-end, intelligent, and green characteristics of major technological equipment. Conduct “end-to-end” application demonstrations for foundational products and major equipment to promote the interactive development of complete machines (systems) and foundational products. Support demonstration applications of the first units (sets) of major technological equipment, the first batches of new materials, and the first versions of software.
(3) Special Projects Driven by Technological Innovation
Establish bases for the commercialization of innovation outcomes, providing full-process management services including preliminary feasibility studies, pilot-scale refinement, and industrialization model planning. Strengthen the transformation and promotion of common industry technologies. Leverage the role of enterprises as the primary drivers of innovation, enhance the output, transformation, and application of innovation outcomes, and promote a transformation of growth drivers by improving technological innovation capabilities.Encourage enterprises to establish pilot demonstration projects for technological innovation, increase investment in the R&D and commercialization of new products and technologies, and promote enterprise-led development and revision of international, national, and industry standards. Promote integrated collaborative innovation among government, industry, academia, research institutions, financial institutions, service providers, and end-users; support the establishment and upgrading of enterprise technology centers; encourage enterprises to take the lead in establishing manufacturing innovation centers; and jointly build new R&D institutions integrating industry, academia, and research. Attract and cultivate innovative, applied, and skilled talent and teams in high-end, cutting-edge, and scarce fields.
(IV) Special Project for Digital and Intelligent Transformation
Leverage the exemplary role of manufacturing enterprises as key players, and utilize next-generation information technologies to help enterprises reduce costs, improve efficiency, and enhance quality. Deploy smart manufacturing equipment such as CNC machine tools, additive manufacturing, sensing and control systems, testing and assembly equipment, and logistics and warehousing systems; integrate corresponding processes and software; and promote the intelligent upgrading of the entire manufacturing process, including design, production, management, and services.Leverage the enabling role of the digital economy to optimize and upgrade digital infrastructure. Deploy and build 5G network infrastructure, strengthen deep coverage in industrial parks and enterprises, and deepen the integration and application of 5G. Promote the transformation of industrial enterprises’ internal and external networks, accelerate the construction and large-scale application of second-level nodes for the Industrial Internet of Things (IIoT) identifier resolution, and build comprehensive, distinctive, and specialized IIoT platforms.
(5) Special Projects for Green and Low-Carbon Transition
Implement the strategic goals of carbon peaking and carbon neutrality, promote green and low-carbon transformation in key industries, and increase the “green content” of industrial development. Adopt advanced technologies for energy, water, and material conservation, as well as pollution and carbon reduction, to carry out systematic clean production upgrades. Promote advanced energy-saving processes and drive systematic energy-saving retrofits of key energy-consuming equipment.Implement water-saving upgrades in water-intensive industries and strengthen the utilization of industrial wastewater and non-conventional water resources. Promote the large-scale utilization of bulk industrial solid wastes such as fly ash, coal gangue, smelting slag, red mud, and industrial by-product gypsum. Reasonably promote the co-disposal of solid wastes in cement kilns based on actual conditions, and explore research and demonstration projects for the co-disposal of solid wastes in steel furnaces and chemical plants.Encourage the development of remanufactured products, extend the industrial chains for the deep processing of recycled resources such as scrap steel, scrap non-ferrous metals, and used power batteries, and promote the high-value utilization of recycled resources.
(6) Special Project for Enterprise Growth and Quality Improvement
Stimulate the vitality of market entities to help enterprises expand their scale, strengthen their capabilities, and improve their efficiency. Encourage the establishment of national-level pilot and demonstration projects; build a tiered cultivation framework for high-quality enterprises such as specialized, refined, distinctive, and innovative “Little Giants” and manufacturing single-champions; create a green manufacturing system encompassing green factories, green products, and green supply chains; foster enterprise technology centers and technology innovation demonstration enterprises; carry out pilot and demonstration initiatives for smart manufacturing; and promote the integrated development of next-generation information technology and the manufacturing sector.Leverage the leading role of flagship and backbone enterprises to refine dominant industries, expand operational scale, and optimize flagship products, thereby driving the coordinated and complementary development of upstream and downstream enterprises and propelling an overall surge in revenue across all manufacturing sectors.
IV. Support Measures
(1) Strengthening Financial Support
Further expand the scale of Shanxi Province’s special fund for technological transformation. Provide interest subsidies, grants, and incentives to key projects under the six major technological transformation programs. Promote the establishment of municipal-level special funds for technological transformation. Seek support from national special funds for advanced manufacturing, industrial infrastructure revitalization, and high-quality manufacturing development.
(2) Advancing Technical Renovation Project Construction
Accelerate the processing of preliminary procedures for technical transformation projects—including project approval, planning, land acquisition, environmental impact assessments, and energy assessments—to ensure early project commencement, prompt project commissioning, and rapid achievement of operational efficiency.Implement full-cycle management of technical renovation projects, conduct comprehensive monitoring and coordination throughout the entire process, and standardize project evaluation procedures to ensure the safe and efficient use of technical renovation funds. Regularly provide on-site enterprise services, ensure the availability of production factors, offer policy consultation, and provide service support, while promptly identifying and coordinating solutions to challenges, pain points, and bottlenecks affecting project construction.
(3) Expanding Enterprise Financing Channels
Make full and effective use of the China Development Bank’s special loans for the manufacturing sector and seek support from the National Technical Transformation and Upgrading Guidance Plan to broaden financing channels for enterprises undertaking technical transformation. Regularly organize government-bank-enterprise coordination meetings to promote key technical transformation projects and projects supported by technical transformation funds, and encourage various financial institutions to develop financial products and service models tailored to enterprises’ financing needs for technical transformation. Leverage the guiding and catalytic role of government investment funds to support the construction of technical transformation projects.
(4) Ensure Effective Policy Implementation
The Provincial Leading Group for Manufacturing Revitalization shall coordinate and advance enterprise technological transformation efforts across the province. The Provincial Department of Industry and Information Technology shall fulfill its role as the Leading Group’s Office, implement the Provincial Government’s arrangements for improving implementation and execution, and work with all member units to jointly advance all tasks related to technological transformation. All cities shall formulate action plans to promote enterprise technological transformation based on local conditions, expedite the introduction of specific policy measures, and effectively guide enterprises in carrying out in-depth technological transformation.
The “Implementation Opinions of the People’s Government of Shanxi Province on Promoting Enterprise Technological Transformation” (Jin Zheng Fa [2017] No. 7) is hereby repealed.
People’s Government of Shanxi Province
July 14, 2023
