Electrical Equipment / Components & Telecoms

After years of accumulation and development, the added value of China's manufacturing industry accounts for about 30% of the world's total. China has become a veritable manufacturing and trading power. "Made in China" has also become a "gold-lettered signboard" welcomed by the international community. However, in recent years, the international situation has changed, the tide of globalization is surging, and trade protectionism is rising. How China's manufacturing enterprises continue to go on the path of globalization has attracted attention and discussion from all sides. As a representative of the National People's Congress, Li Dongsheng, the founder and chairman of TCL, put forward suggestions on this issue during this year's two sessions and shared the relevant experience of TCL globalization. This is the third time in a row that he has put forward relevant suggestions on the globalization development of China's manufacturing industry.

"At present, the traditional international trade export model of China's manufacturing industry is facing a series of challenges. Enterprises should shift from exporting products to exporting industrial capabilities, and also avoid trade barriers to realize greater value of their own advantages in the world. But for most Chinese manufacturing enterprises, they are also facing multiple risks such as trade frictions, compliance management and patent litigation." Li Dongsheng said, escorting the globalization of manufacturing in China, We also need to improve our cross-border service level.

To this end, Li Dongsheng's proposal to the two sessions this year involves the following aspects: China's embassies and consulates abroad provide legal assistance, policy advice and other support to Chinese-funded enterprises in the host country; Set up a special fund for technology patent litigation to support technology patent litigation related to the development of the whole industry; The business department organizes enterprises to fully participate in multilateral and bilateral trade negotiations; Facilitate cross-border investment and domestic and foreign financing for China's advantageous industries.

In particular, he further explained the proposal to establish a special fund for technology patent litigation: in recent years, one of the major difficulties faced by the global operation of China's technology manufacturing industry is patent barriers. From the perspective of China's technological development, we are the catchers. Foreign multinational enterprises have formed relatively strong technical patent barriers in many technical fields. For Chinese enterprises, these barriers must be addressed by continuously improving innovation capabilities and increasing technology patents. However, in overseas business operations, Chinese enterprises, especially the leading Chinese multinational enterprises, often encounter some unreasonable and non-conforming patent claims and appeals. The success or failure of these enterprises in patent litigation will affect the patent application of more enterprises in some fields. However, the current problem is that Chinese enterprises often take a long time to deal with such patent litigation and the cost is high. "Therefore, I suggest that the government take the lead in establishing a special fund for patent litigation to give enterprises some help in technology patent litigation related to the development of the whole industry, so that these litigation can be reasonably resolved."

When talking about the situation that Chinese manufacturing enterprises will face in the future, Li Dongsheng believes that the global economic pattern has changed. The economic globalization that was originally driven by efficiency has now shifted more to the regionalization and even localization of the economy. It is increasingly difficult for Chinese enterprises to continue to sell products to the international trade market. Chinese enterprises should adapt to this change, seize opportunities and overcome difficulties in the changing environment. He introduced TCL's three experiences in dealing with the current situation:

First, we should improve the global industrial layout, shift from exporting products to exporting industrial capabilities, and realize greater value in the global market. It is under the guidance of this strategy that the sales volume of TCL TV sets has jumped to the second place in the world.

The second is to promote the combination of supply chain globalization and overseas localization. At present, TCL has formed a complete layout of the global industrial chain and supply chain, with 43 research and development centers and 32 manufacturing bases in the world, and its business covers more than 160 countries and regions in the world.

Third, use advanced technology to promote globalization and extend competitive advantages to the high-end of the industrial chain. At present, TCL has applied for more than 100000 patents, and the improvement of its technological innovation strength has further enhanced TCL's global competitiveness.

"Most countries want the manufacturing industry to return, which means that the import tariffs of these countries are difficult to reduce. Therefore, in order to obtain a higher market share in the world, Chinese manufacturing enterprises must globalize their industrial capabilities and supply chain capabilities, so that they can truly participate in the global economic cycle and can seize more opportunities in the new economic globalization pattern," Li Dongsheng said, In the past few years, TCL has been continuously promoting the construction of global business capabilities, from exporting products to exporting industrial capabilities, and expanding global market share by improving global industrial competitiveness, "The achievements of TCL globalization are reflected in the improvement of global market share and the growth of overseas revenue on the one hand, and the continuous growth of international trade exports on the other hand. Although our international trade exports of manufactured products have decreased, our device exports have continued to increase."

It is understood that TCL's overseas revenue has increased from 55.8 billion yuan to more than 106 billion yuan in the past five years, and its export volume has increased from 8.53 billion dollars to 14.97 billion dollars.

"It is a major trend for Chinese enterprises to support their own development by strengthening the global layout. In the long run, the core competitiveness and comparative advantages of manufacturing in China still exist. Compared with developed countries, China has advantages in efficiency, scale and supply chain; compared with developing countries, it has advantages of complete categories, advanced technology and high production efficiency." Li Dongsheng believes that in the future, as the global situation changes, The global layout of Chinese enterprises will also continue to optimize and evolve. He said that TCL will continue to adhere to industry, deeply cultivate high-tech, asset-heavy and long-cycle national strategic science and technology industry, and further enhance international trade competitiveness through globalization, to achieve TCL's strategic goal of becoming the world's leading intelligent technology industry group.