From steel mills to panel factory displays, Chinese companies are rapidly integrating artificial intelligence (AI) into traditional industries, indicating a major shift towards intelligent digital manufacturing.
The transformation is led by Shougang Group, one of China's largest steel manufacturers. This has deployed an AI-powered visual system that increases production efficiency by more than 20% and reduces defects by 35%. Once synonymous with heavy labor and pollution, the steel industry now shows how advanced technology can revolutionize the legacy sector.
At the 2025 Global Digital Economy Conference in Beijing, Shogan's Innovation was recognized as one of the top 10 benchmark AI applications. The event highlighted China's national ambition to use AI to accelerate industrial upgrades and accelerate smarter production.
Other major players, such as the top global display manufacturer BoE Technology Group, are also using AI to streamline quality checks, defect detection and automated decision making. “Traditional systems are no longer enough. AI is needed to push performance to the next level,” said Jiang Xingqun, senior VP at Boe.
China is gaining momentum. Today, the country boasts nearly 10,000 intelligent factories and digitized workshops. This has been recognized as a domestic AI manufacturing benchmark with over 400 people.
The lower costs of large AI models are further driving adoption. Two Chinese tech giants Baishu and Kuaishou highlighted the growing role of AI on the industrial internet as AI-generated video, digital twins, and interactive environments reshaping the way companies operate.
Government policies also play an important role. Zhao Chaofan, Ministry of Industry and Information Technology, said the authorities are launching initiatives to better integrate AI with traditional industries and support new industrialization.
Despite rapid progress, challenges remain. Experts have pointed out that there is a lack of awareness among manufacturers and limited customer outreach by AI providers as an important barrier. To fill this gap, analysts are looking for closer integrity between technology developers and factory contestants.
“China's vast manufacturing infrastructure, rich data and diverse application scenarios provide strategic advantages in building a world-leading AI industry ecosystem,” says Mao Shengbo of MiraclePlus.
As China continues to expand AI across the industrial environment, businesses and policymakers are likewise betting on smart manufacturing as a pillar of the country's economic future.
news.az
