The 2024 Supply Chain Cooperation and Innovation Conference is held on Sept 9. [Photo/China Daily]

Officials and business insiders are calling for greater efforts to ensure the safety and stability of supply chains amid the ever-changing global situation.

"With the rise of digital technologies, especially artificial intelligence, global supply chains have seen improvements in transparency, quality and cost stability," Lin Ruiliang, vice-governor of Fujian province, said in his Sept 9 address to the 2024 Supply Chain Cooperation and Innovation Conference at the 24th China International Fair for Investment and Trade in Xiamen.

"However, increased geopolitical instability has introduced more uncertainties and security risks to supply chains worldwide. Enhancing supply chain participation can optimize resource allocation, achieve economies of scale, improve efficiency and ultimately reduce costs amid these challenges," Lin added.

Fujian, on China's southeastern coast, has a robust economy, well-developed ports and a strong industrial foundation, with trade and investment relationships spanning more than 220 countries and regions. Lin said the province is dedicated to building a strong supply chain, accelerating construction of the international logistics system and establishing an international cooperation strategy for industry and supply chains.

Gabor Jenei, CEO of the Hungarian Export Promotion Agency, said international incidents such as the recent Red Sea crisis which involves multiple nations show that goods cannot move around the globe as freely as they once did.

"The supply chain crisis is not a temporary situation; it is a fundamental issue that has been ongoing for years," Jenei said.

In recent years, China has been Hungary's largest investor. According to Jenei, over the past 10 years, Hungary has made a positive decision on subsidizing 49 Chinese investment projects worth a 16.7 billion euros ($18.44 billion), creating 30,000 new jobs in Hungary.

Hungary began building its battery ecosystem in 2016, Jenei said. "This is a new industrial competition and Hungary wants to participate in this competition and be among the best. Chinese companies play a prominent role in this industry," he added.

Xu Xiaoxi, chairman of Xiamen ITG Holding Group, said: "The rapid global changes are reshaping the economy. From digital advances to green shifts, every move affects the supply chain."

A key concern of the global supply chain industry is how supply enterprises can navigate the wave of change for a mutually beneficial future, Xu said. In recent years, ITG has developed a new integration concept for supply, industry, and value chains. The approach includes end-to-end supply chain services, international industry chain operations and efficient value chain coordination, aiming to support smart supply chain development and create a secure industrial ecosystem.

According to Xu, in 2020, ITG's subsidiary partnered with JD Technology to develop an integrated smart supply chain platform, integrating supply and industry chains, improving efficiency and fostering upward industry chain development and ecological synergy.

Xu said the three-chain integration for co-creating an industrial ecosystem "synchronizes positive effects, enables key links to obtain reasonable resource allocation and progresses in a virtuous cycle", adding: "It is the necessary path for stakeholders to co-create value."

During the conference, China Federation of Logistics & Purchasing, Xiamen ITG Holding Group and Deloitte China jointly released the Global Supply Chain Development Trends Blue Book. It analyzes the challenges of the new economic pattern on supply chains, proposes optimization paths and focuses on Xiamen's ecosystem construction and innovative practices toward efficient and resilient supply chains.