Beijing, 17 August 2024 (TDI): China is ramping up efforts to boost its manufacturing prowess with investment in technological transformation in the manufacturing industry surging 10.9% in the first seven months of the current year, continuing a double-digit growth trend, thanks to the country’s push for industrial upgrade and equipment renewal.
China has introduced multiple initiatives since the start of the year to supercharge its large-scale equipment renewal drive, which is aimed at propelling its green, low-carbon transition and unleashing domestic demand potential.
The National Development and Reform Commission (NDRC) has allocated about 50 billion yuan (7 billion dollars) from the first batch of ultra-long special treasury bonds to support large-scale equipment renewals, and has fast-tracked new project approvals.
Moreover, the NDRC has inked re-loan contracts exceeding fifty billion yuan for equipment renewal, with over fifteen billion yuan allocated for energy-efficient upgrades in commercial and industrial sectors.
Analysts said that this is not just a boost for investment but also an important part of the country’s efforts to revitalize domestic demand and advance its green transition.
The NDRC also pledged to further streamline approval procedures to support projects.
By relaxing restrictions and expanding the scope of eligible projects, local governments are accelerating project implementation, said Wen Hua, deputy director of the resource conservation and environmental protection department at the NDRC.
The NDRC will also promote the use of more energy-efficient, low-carbon equipment, so as to advance the industrial upgrade and support the green transition, Wen added.
In March, Beijing unveiled an action plan to promote the large-scale renewal of equipment and the trading-in of consumer goods, aiming to unleash a vast market potential worth trillions of yuan.
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On July 25, the NDRC, together with the Ministry of Finance, announced the issuance of around three hundred billion yuan in ultra-long special treasury bonds to enhance support for the large-scale renewal of equipment and the trading-in of consumer goods.
Officials have also promised to help businesses tackle challenges and accelerate a countrywide shift toward high-tech and green industries by ramping up investment and encouraging more companies to upgrade their equipment.
