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Xi Pushes for Advanced Manufacturing and Stable Supply Chains

By Drooid · · How we work

Core Directive at National Manufacturing Conference

On September 17, 2026, President Xi Jinping delivered new instructions at a national conference on advanced manufacturing in Beijing. The president urged authorities to accelerate the development of a modern industrial system centered on “smart, green and integrated” manufacturing, and to make China’s industrial supply chains more self-reliant and resilient. Xinhua reported that Xi framed these measures as essential to strengthening the real economy and securing China’s global competitiveness.

Economic Context

The directives come amid a slowdown in China’s domestic economy. Xinhua data cited by the Associated Press indicated that retail sales rose only 0.4 % year-on-year in August, while fixed-asset investment fell 7.2 %. Unemployment rose to 5.3 % in the same month, even as industrial production increased 5.2 %, suggesting stronger factory activity despite weak consumption and investment. ING chief China economist Lynn Song attributed the subdued demand to lingering weakness in consumer and investment sectors.

BRICS Outreach and Global Supply-Chain Stability

During the final day of the 18th BRICS Leaders’ Summit in New Delhi, Xi called on “greater BRICS” members and partner countries to keep industrial and supply chains “stable and unimpeded.” He linked this appeal to recent disruptions in shipping through the Strait of Hormuz, urging emerging-market cooperation, multilateralism, and reforms to the World Trade Organization and other international institutions. Xi also announced plans for a BRICS AI open-source zone, a digital industry cloud platform, and a special-economics-zone partnership, positioning the bloc as a driver of future industrial development.

Official Statements & Responses

State-run Xinhua conveyed Xi’s message in both domestic and international settings, emphasizing that advanced manufacturing should provide “strong support” for Chinese modernization. The agency highlighted Xi’s call for “mutual benefit and win-win outcomes” and for the Global South to play a “key force” in moving the world toward multipolarity. No dissenting official commentary was reported in the available sources.

Implications for China’s Economy

If implemented, the push for smarter, greener factories and more autonomous supply chains could mitigate the impact of weak domestic demand and external logistics shocks. By aligning BRICS partners around shared technology and trade initiatives, China seeks to broaden market access and reduce reliance on traditional Western supply routes, potentially reshaping global industrial networks while bolstering its own economic resilience.