China’s manufacturing industry leads the world thanks to a combination of factors: a complete industrial system, economies of scale, cost advantages, proactive industrial policies, technological innovation, and a strong global strategy. Together, these strengths make China stand out in international competition.
1. Complete industrial system and strong production capacity
China is the only country with all industrial categories listed by the UN, meaning it can produce nearly any industrial product from raw materials to finished goods. Its manufacturing output is huge—China ranks first in production for over 40% of major global industrial products. Well-developed infrastructure like ports, railways, and highways also supports efficient production and logistics.
2. Economies of scale and cost advantages
China’s large domestic market and export-oriented economy allow companies to produce at scale, reducing costs. Despite rising wages, labor costs remain lower than in developed countries. Combined with advanced supply chains and complete supporting industries, this keeps overall production costs competitive.
3. Supportive policies and openness
The Chinese government actively supports manufacturing through incentives, subsidies, and policies that encourage technological progress. Meanwhile, China’s open strategy—embracing trade, investment, and foreign partnerships—has helped upgrade its manufacturing sector.
4. Innovation and industrial upgrading
Chinese manufacturers are increasing R&D investment, especially in new energy, electric vehicles, and batteries. This is driving a shift from low-cost, labor-intensive production to high-tech, high-value industries, transforming China from the “world’s factory” into a true manufacturing powerhouse.
5. Global engagement
Chinese companies compete globally, expand through overseas investments and partnerships, and participate in infrastructure projects around the world, helping local industrial development and achieving mutual growth.
DALY: A case of China’s advanced manufacturing
A great example is DALY Electronics (Dongguan DALY Electronics Co., Ltd.), a global leader in new energy technology. Its brand DALY BMS specializes in battery management systems (BMS), using innovative technology to support green energy worldwide.
As a national high-tech enterprise, DALY has invested over 500 million RMB in R&D, holds over 100 patents, and has developed core technologies like potting waterproofing and intelligent thermal panels. Its advanced products improve battery performance, lifespan, and safety.
DALY operates a 20,000 m² production base, four R&D centers, and has an annual capacity of 20 million units. Its products serve energy storage, power batteries, and other applications across 130+ countries, making it a key partner in the global new energy supply chain.
Guided by the mission “Innovating smart technology for a green world,” DALY continues to advance battery management toward higher safety and intelligence, contributing to carbon neutrality and sustainable energy development.
In short, China’s manufacturing leadership comes from its complete industry system, scale and cost advantages, strong policies, innovation, and global strategy. Companies like DALY showcase how Chinese manufacturers leverage these strengths to drive global progress in advanced industries.
Post time: Jul-07-2025
