China's AI-powered factories are driving the digital transformation of the manufacturing industry, marked by the rapid rise of "lighthouse factories," the world's most advanced production facilities.
This year, the World Economic Forum recognized 189 lighthouse factories worldwide, with an impressive 80 based in China.
One of them is a chiller factory operated by Chinese home appliances maker Midea Group in southwest China's Chongqing Municipality, which has leveraged AI technologies to streamline complex processes, and enhance design and planning efficiencies.
The factory specializes in large central air conditioning systems, widely used in airports and industrial plants, with 80 percent of its products customized. To meet rising demand and the shift toward tailored orders, it integrates AI algorithms with its self-developed chiller selector data platform and smart management system, to optimize selection and design.
According to Sam Luo, research and development director of Midea Building Technologies Chiller Product Company, once they know a client's needs, they will input data into the system, which has significantly shortened product design time from at least a week to within an hour.
"This boosts efficiency, reduces error rate, and makes it easier for standardized production later on," he added.
Meanwhile, technicians use augmented reality (AR) glasses to efficiently complete hundreds of intricate wiring tasks in the production of core components.
The AR technology also assists in technician training, said Huang Xuesong, manufacturing center director of Midea Building Technologies Chiller Product Company.
"This technology helps our employees learn skills more quickly. It helps improve the wiring pass rate by 30 percent. What used to take a skilled worker about 30 to 45 days to master now takes basically seven days," he said.
Inside the factory's smart production workshop, an advanced digital management platform uses big data and simulation technologies for real-time monitoring, while automated equipment precisely allocates materials.
The plant also utilizes industrial robots for welding large components and deploys numerous sensors to collect data, alongside advanced AI technologies such as machine learning, to optimize production processes.
Local officials said the Midea factory's innovations in smart manufacturing are crucial for stimulating digital transformation among other enterprises across Chongqing.
"Midea's 'lighthouse factory', as the municipality's first lighthouse factory, sets a great example for other small and medium-sized enterprises and the whole industrial chain, to apply AI across multiple scenarios, to boost the overall competitiveness of Chongqing's manufacturing businesses," said Zuo Yijun, director of intelligent technology division at Chongqing Municipal Economic And Information Commission.

China's AI-powered factories drive digital transformation in manufacturing