Minhang district included in pilot list for SME digital transformation

Minhang district is home to a robust SME sector. [Photo/WeChat ID: minhangnews]

Minhang district recently became the only district in Shanghai to be named among the third batch of national pilot cities for the digital transformation of SMEs (small and medium-sized enterprises), which includes 35 cities and districts across China.

Known as a hub of Chinese industry, Minhang is a leading economic zone in Shanghai. In 2024, the district achieved a GDP of 411.9 billion yuan ($57.41 billion), a 4.2 percent increase from the previous year, with an industrial output of 375 billion yuan and fiscal revenue of 33.67 billion yuan, the second highest in the city.

Minhang is home to a robust SME sector, featuring 1,604 specialized and innovative SMEs and 120 "Little Giants" (specialized, high-tech small and medium-sized firms), placing it at the forefront in Shanghai. The district has developed six municipal-level SME industrial clusters, the most in the city, with strong industries such as high-end equipment and next-generation information technology.

The district's industrial landscape includes high-end equipment, electronic components, and biomedicine, which constitute about 60 percent of large-scale industrial SMEs and account for approximately 65 percent of production value. By April 2025, Minhang had assessed 206 smart factories and conducted digital diagnostics for 574 manufacturing SMEs, underscoring its digital readiness.

To better align with national directives and its own strategic plans, Minhang will target high-end equipment manufacturing, electronic components, and biomedicine for digital transformation. The district plans to establish a three-tiered coordination system involving district leaders, committees, and local parks, creating a dedicated task force for the pilot program.

The initiative will be carried out in four phases: preparation, implementation, replication, and evaluation. Minhang will implement six key mechanisms to ensure a comprehensive rollout, including organizational leadership, policy coordination, and financial support.

During the program, Minhang aims to digitally transform 510 enterprises, ensuring all pilot enterprises use cloud technologies. This includes upgrading 56 "Little Giant" enterprises, establishing 20 smart factories, and creating 30 real-world applications for AI. By leveraging previous pilot experiences, Minhang seeks to establish a "Smart Minhang" model for SME digital transformation in Shanghai and beyond.