China"s shipbuilding industry illustrates this transformation. As the world"s largest shipbuilder, the country is rapidly transforming its shipbuilding sector to enhance global competitiveness.

　　At shipyards in Nantong, Jiangsu Province, production lines are operating at full capacity, with some orders extending through 2030. Exports accounted for more than 90 percent of China"s total ship completions, new orders and existing order backlog, highlighting the country"s growing competitiveness in high-end manufacturing.

　　The upgrading trend extends across the broader industrial landscape. Of the 41 major industrial categories, 32 recorded growth in the first half of the year. Industries including electronics, specialized equipment, general machinery, automobiles and electrical equipment together contributed more than half of industrial growth.

　　Digital and intelligent technologies are also reshaping the real economy, unlocking new sources of industrial growth.

　　AI-driven visual inspection systems can detect micron-level defects automatically, significantly boosting efficiency. Industrial large language models are also speeding up antibody and small-molecule drug discovery, cutting preclinical development timelines for targeted cancer therapies and other new medicines by 40 percent. Through practical industrial applications, China is accelerating the rollout of its AI Plus Initiative across the real economy.

　　China has built more than 56,000 basic-level smart factories, over 9,000 advanced-level smart factories and more than 500 leading-level smart factories, while AI adoption among manufacturing enterprises above designated size has exceeded 30 percent.

　　FOSTERING INDUSTRIES OF THE FUTURE

　　While upgrading traditional sectors, China is accelerating the development of emerging industries that could shape future growth.