DUE to factors like the pandemic and soaring inflation in some Western countries, Dongguan, a manufacturing powerhouse in Guangdong, faced a decline in foreign trade in recent years.

In the first half of this year, the gross domestic product of the city, often dubbed the “factory of the world,” recorded a modest year-on-year growth of 1.5%, significantly lower than the national average of 5.5%.

To address the challenges, Dongguan is actively pursuing a slew of new measures involving the optimization of economic structures, transformation of production methods, exploration of new markets and a commitment to innovation.

Lucky Harvest Co., a leading metal mold maker in the city, has ventured into new fields, such as new energy vehicles (NEV), communication equipment and solar storage components.

“As a veteran manufacturer in the mold and components industry, Lucky Harvest has the capabilities to seize new opportunities,” said Yang Bin, executive deputy general manager of the company.

In the first three quarters of 2023, the company achieved an operating income of 3.9 billion yuan (US$548.5 million), up 32.05% year on year, with its net profit registering a year-on-year increase of 65.17%.

Highlighting the strong technological foundation of Dongguan’s manufacturing industry, Ye Kongxin, Party chief of Chang’an Township, where Lucky Harvest is located, said this is the driving force behind Dongguan’s factories being able to consistently develop new products and explore new areas of growth.

Chang’an, an economic leader among the townships in Dongguan, is home to two main clusters of industries — electronic information and metal molds.

According to Ye, the township aims to cultivate emerging industrial clusters in three areas: NEV supporting industries, intelligent visual technology and digital health care.

In recent years, Dongguan Jinbo Photoelectronic Co. faced difficulties due to factors such as the pandemic and a downturn in the mobile phone market.

“Overseas orders significantly decreased, leading to a drop in the company’s sales revenue. During the most challenging period, monthly sales decreased 57%,” said Li Zhijun, general manager of the company.

In response, Jingbo collaborated with partners in the industrial chain in an effort to overcome technical bottlenecks.

At the end of July 2023, Jingbo made a breakthrough in developing automobile glass covers. Orders soon flooded in and have been fully booked until January 2024. (Xinhua)