Under trade disputes, China should upgrade manufacturing: Expert

The current US-China trade disputes lead to inevitable upgrades in the Chinese manufacturing industry, said an expert, in response to the recent news that US tariffs will primarily target Chinese industries under the Made in China 2025 strategy.

Huang Qunhui, head of the Institute of Industrial Economics of the Chinese Academy of Social Science (CASS), said that China needs to consider raising production quality and industrial innovation in the industry.

"Going forward, we need further capacity cuts and core technology development," said Huang.

Unveiled in 2015, Made in China 2025 highlighted information technology, artificial intelligence, green manufacturing and high-end machinery to advance China's manufacturing power.

"China is currently developing into the second-largest country that has the most patents and research investment," Huang said, indicating a good sign of the upgrade to the industry.

Huang also pointed out that currently overcapacity and lack of core technology and equipment limit the long-term development of China's manufacturing.

Up to now, China is able to produce over 500 types of manufactured products, with 220 of those ranked among the top production volumes in the international market, according to Huang. China also has the most independent and complete industrial system, which other countries lack.