Zhejiang Province, an economic powerhouse in east China that recorded a GDP of more than 9 trillion yuan (about 1.24 trillion U.S. dollars) in 2024, plans to focus on sci-tech innovation this year to build a distinctive modern industry system.
Following the broader trend among major Chinese provinces of prioritizing sci-tech innovation to drive new quality productive forces and promoting integrated development between science and technology and industrial innovation, Zhejiang aims to expand revenue from its advanced manufacturing clusters to over 9.5 trillion yuan (about 1.309 trillion U.S. dollars) this year.
The province plans to cultivate 20 new "Eagle Enterprises," or industry leaders, predominantly from its private sector, and develop 30 national manufacturing champions in 2025.
Since 2019, Zhejiang has implemented the "Eagle Action" plan, listing its industry giants or leaders in manufacturing and related fields as "Eagle Enterprises." These enterprises are characterized by significant influence, strong cluster support and excellent comprehensive strength. They are also expected to master core technologies, solve major industry technical challenges and play a crucial role in industrial chains. By the end of 2024, Zhejiang had listed 118 companies as "Eagle Enterprises."
"Zhejiang is strongly signaling its commitment to rapidly developing new quality productive forces through innovations," said Yu Jianxing, a professor and member of the Consulting Committee of Zhejiang Provincial Government.
Specifically, Zhejiang will intensify efforts in speeding up the building of a next-generation computing power system, enhancing high-quality data supply, and encouraging AI innovations and applications.
The province has already allocated 3 billion yuan (about 413 million U.S. dollars) of funds to support early-stage, long-term, and tech-focused investments in the AI industry, and accelerate projects creating new application scenarios in the fields of healthcare, scientific data and manufacturing, so as to build itself into an AI development highland.
"Focusing on the four advantageous industries of automobile manufacturing, new fiber materials, life sciences and high-end equipment in Xiaoshan District, we aim to raise the penetration rate of artificial intelligence applications in manufacturing enterprises above the designated size above 30 percent in 2025, with attention paid to every production link of the enterprises," said Xiao Zhongguang, chief of the Emerging Industries Section of the Economy and Information Technology Bureau of Xiaoshan District in Hangzhou, capital city of Zhejiang.
Industrial enterprise above designated size refers to companies with an annual revenue from their main business of 20 million yuan (about 2.8 million U.S. dollars) or more.
"Hangzhou has built a policy ecosystem as dense as a rainforest, aiming to have the lowest computing costs in its AI industry, boast the best model ecosystem, and foster an AI development highland by 2026. In the meantime, Hangzhou hopes AI will drive the development of the real economy and other sectors," said Cai Rong, director of the technological innovation office of the municipal Bureau of Economy and Information Technology.
Home to six top Chinese startups, commonly known as the Six Little Dragons, including Unitree Robotics and Rokid AR Studio, Zhejiang will also increase enterprises' participation in scientific innovation, with a goal of engaging them in more than 80 percent of major provincial sci-tech projects.
"Though collaboration across demand, supply, and service ends of sci-tech outcomes, we will promote the trading, application and transfer of more sci-tech results in Hangzhou to bridge innovators with end users for smooth technology commercialization," said Yu Jun, deputy director of the municipal Bureau of Science and Technology.
Zhejiang accelerates innovation-driven development to forge modern industrial system
