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Construction of an Advanced Manufacturing Province丨Tan Xuguang: Traditional Manufacturing Industry Must Achieve Three Transformations


On the afternoon of August 29th, 2022, the construction work conference of Shandong advanced manufacturing province was held in Jinan. Tan Xuguang, chairman of Shandong Heavy Industry Group Co., Ltd., said in his speech at the meeting that “science and technology leading enterprise + national innovation platform” is the “focal point” of construction of an advanced manufacturing province. The traditional manufacturing industry must realize three transformations, namely, transformation from low added value to high added value, transformation from homogeneous quantitative competition to high-quality development, and transformation from product following to science and technology leading.

Tan Xuguang believes that the construction of a strong province in advanced manufacturing industry cannot be separated from leading enterprises in science and technology, so as to obtain more national innovation platforms and realize the mutually beneficial development of “science and technology leading enterprise + national innovation platform”. Weichai took the lead in building the National Key Laboratory of Internal Combustion Engine Reliability in 2015, took the lead in building the National Fuel Cell Technology Innovation Center in 2020, and took the lead in building the National Internal Combustion Engine Industry Measurement and Test Center in 2022. Relying on the national platform, Weichai has carried out in-depth “industry-university-research” cooperation with world-class universities, scientific research institutions and multinational companies, established a R&D community with upstream and downstream enterprises in the industrial chain, attracted the best domestic and foreign industry technical experts, and achieved a number of breakthrough achievements in leading the industry's development from applied research to basic frontier technology research. The thermal efficiency of diesel engine broke through the 50% and 51% barrier for the first time in the world, leading China's internal combustion engine industry to the peak of world science and technology.

There is no permanent traditional industry, only emerging industries that are constantly changing themselves. New energy is the future direction, and hydrogen fuel cell engine is the ultimate technology route recognized by the world. Since 2010, Weichai has been studying the layout of new energy, established three technical routes of pure electric, hybrid and hydrogen fuel cell, strategically reorganized Canada Ballard, and successively invested 4 billion CNY to form a complete industrial chain in Weifang, with technical indicators leading the world. “In the process of structural adjustment, enterprises in traditional industries should cultivate a number of strategic new industries and new business forms, seize the commanding heights of science and technology, and form unique new growth points. New industries and new business forms need government guidance, enterprise leadership, and industrial chain coordination. The ecology of Innovation Incubation is extremely important.” Tan Xuguang said that integrating the resources of the province to cultivate a number of strategic emerging industries is the “core driving force” for the transformation and upgrading of advanced manufacturing industry in our province.

Building a number of world-class enterprises is the “new navigation mark” for the transformation of manufacturing enterprises in our province. To build a world-class enterprise, we need to speed up the cultivation of scientific and technological strategic entrepreneurs with international vision, first-time information and broad minds. “We need to train a group of outstanding global entrepreneurs who have industrial dreams, work hard as ‘maniacs’ and do not contribute to fame and wealth.” Tan Xuguang believes that entrepreneurs should have the spirit of innovation, know their profession, and create dreams for their own industry; Entrepreneurs should strive to become strategic entrepreneurs of science and technology, not seeking immediate interests, but drawing a blueprint for decades; Entrepreneurs should be able to withstand the periodic changes like stormy waves and have the spirit of fearlessness and bravery. 

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