The first meeting of the 20th Financial and Economic Commission of the CPC Central Committee held on May 5 said that traditional industries should be transformed and upgraded rather than simply quit as "low-end industries".

Traditional industry is the base of industrial modernization system

For a period of time, the traditional industry has become the role of "grandma does not care, uncle does not love", the government through environmental protection, tax, relocation and other means to eliminate "backward production capacity", committed to the development of new economy, modern service industry, but without traditional industry, traditional manufacturing, service industry is water without a source, a tree without roots.

In fact, traditional industries are still the backbone of Chinese manufacturing. In the first "ministerial channel" of the National Two sessions this year, Jin Zhuanglong, minister of Industry and Information Technology, has introduced that China's traditional industry volume is large, accounting for more than 80% of the manufacturing industry. The traditional industry is the base of the modern industrial system, and the transformation and upgrading of the traditional industry has a direct bearing on the overall construction of the modern industrial system.

Therefore, traditional industry ≠ low-end industry. In Zhejiang, where traditional manufacturing industry accounts for half of the real economy, it has long been a popular consensus and a long time practice.

Nowadays, the traditional manufacturing industry is still the main body of Zhejiang's real economy and an important field with competitive advantages. It provides a source of tax revenue, guarantees more jobs, and profoundly affects the speed and quality of Zhejiang's economic development. At present, Zhejiang is implementing 415X industrial cluster construction, many of them are traditional industries, such as modern textile and clothing industry cluster, intelligent electrical industry cluster, etc.

Traditional industries meet the basic needs of food, clothing, housing, transportation and so on. Through upgrading and upgrading, they constantly meet the people's needs for a better life. They have great room for transformation and improvement, great potential for future development, and strong ability to drive industrial integration.

The separation and opposition between low-end and high-end will lead to the hollowing out of the industry

At the meeting of the Financial and Economic Commission of the CPC Central Committee, the central Committee also stressed one point: Avoid division and confrontation.

In fact, traditional industries are still the main force driving China's export and employment. At present, China's manufacturing industry, especially the traditional manufacturing industry, faces great challenges such as forced decoupling and high production costs, which have brought about the accelerated shift of the industrial chain. At this point, the "low-end industry" and "high-end industry" in the "separation and opposition" position, will certainly lead to "industry hollowing out".

For example, deindustrialization led to the transfer of some industries and links in Europe and the United States, which were first transferred to the four Asian Tigers to establish production bases, and then the labor-intensive industries were transferred to China and other developing countries. However, in recent decades, the side effects of the elimination of backward industries in Europe and the United States have gradually amplified, that is, "industry hollowing out". Reflected in the data is the decline in manufacturing output, industrial value added and employment.

After the "hollowing out of industry" and the realization of high-end industry, what is the attitude of the United States now? Seek to repatriate manufacturing.

As we all know, the US has introduced policies, such as the Inflation Reduction Act and the Chip Act, to attract high-end industries such as "new energy vehicles" and "chips" back to the US.

But it's not just high-end manufacturing. The US is also moving back to "low-end manufacturing".

According to a survey of U.S. manufacturing executives and ceos, more than 80% of companies in almost every industry have a strategy to bring back at least some of their manufacturing operations within the next three years, according to the U.S. Manufacturing Reshoring Index. These industries are not only high-end industries, but also some so-called "low-end industries", such as food and beverage, clothing and textiles, furniture, toys and so on.

The transformation and upgrading of traditional textile industry see Shengze

Shengze's traditional industries are following the transformation road of "promoting intelligent, green and integrated industries" to accelerate the transformation.

According to reports, in recent years, Shengze Town has introduced a number of policies related to traditional industries, such as the Implementation Plan of Shengze Town on supporting Enterprises' independent Renewal (Trial) and the "One Thing" Plan of Enterprises' independent renewal, which provide specific guidance for promoting the transformation of the textile industry and helping enterprises develop independent renewal plans by category.

Take "Enterprise independent renewal" Plan as an example, led by Shengze Town Administrative examination and approval Bureau, together with town Economic development Bureau and Construction Bureau, launched enterprise independent renewal of one thing package, "tailored" approval process for different types of projects, and fully realize the speed and efficiency of engineering construction project approval. At the same time, support sole proprietorship enterprises to put on record, and formulate "Operation Measures for independently updating project put on record of sole proprietorship enterprises (Trial)"; The one-to-one working mechanism of "specially-assigned special personnel" is established for the renewal project. From the beginning of the intention update of the enterprise to the completion and operation of the project, the service is tracked throughout the whole process, and the cooperation of multiple departments is made to ensure that the renewal of the project is completed on time and according to the schedule, so as to effectively "escort" the transformation and upgrading of traditional industries.

Technological transformation, digitalization and intellectualization are means and methodologies. In the final analysis, the goal is to promote the high-end development of traditional industries. The "two-way enabling" between the government and enterprises to achieve the traditional industry to the middle and high end is the inevitable evolution of the textile industry, but also conform to the trend of the new development pattern. Therefore, even in the face of complex and changeable market environment, Shengze private economy is still resilient.

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