Core Insights - The article discusses the transition of China Petroleum Lubricating Oil Company from a product-centric model to a service-oriented model in response to market challenges, emphasizing the importance of providing comprehensive lubrication solutions to drive profit growth [1] Group 1: Industry Trends - The Ministry of Industry and Information Technology, along with six other departments, has issued a plan to promote service-oriented manufacturing innovation from 2025 to 2028, focusing on enterprises, industries, regions, and ecosystems [1] - Service-oriented manufacturing is becoming a crucial direction for the development of the manufacturing industry, driven by advancements in information technology and deepening industrial integration [1][2] - The share of service revenue in the total revenue of selected service-oriented manufacturing demonstration enterprises is maintained at over 35%, with service business contributing 60% to revenue growth [2] Group 2: Development Strategies - The plan aims to enhance production efficiency and product value by embedding services into manufacturing processes, transitioning from merely selling products to offering "product + service" solutions [1] - New service-oriented manufacturing models, such as shared manufacturing, personalized customization, and lifecycle management, are being widely adopted across various sectors including engineering machinery and petrochemicals [2] - The plan emphasizes the need to strengthen key technology supply capabilities and establish a standard system for service-oriented manufacturing [3] Group 3: Economic Impact - The shift towards service-oriented manufacturing is leading to the optimization and upgrading of industrial structures, with traditional industries moving towards high-end product services and intelligent equipment [2] - The annual growth rates for the value added in information transmission, software, and IT services, as well as leasing and business services, are projected to be 13.71% and 15.66% respectively from 2020 to 2024 [2]

Core Viewpoint - The transition from product sales to service-oriented solutions is essential for companies facing market shrinkage and the need for transformation, as exemplified by the China Petroleum Lubricating Oil Company, which has seen rapid profit growth through this strategy [1] Group 1: Service-Oriented Manufacturing Development - The Ministry of Industry and Information Technology, along with six other departments, has issued a plan to promote service-oriented manufacturing innovation from 2025 to 2028, focusing on enterprises, industries, regions, and ecosystems [1][2] - Service-oriented manufacturing is becoming a crucial direction for the development of the manufacturing industry, driven by the rapid iteration of new information technologies and deepening industrial integration [1][2] Group 2: Financial Performance and Growth - Among the 372 selected service-oriented manufacturing demonstration enterprises, service revenue accounts for over 35% of total revenue, with service business contributing 60% to revenue growth [2] - The average annual growth rates for the value added in information transmission, software, and IT services, as well as leasing and business services, are projected to be 13.71% and 15.66% respectively from 2020 to 2024 [2] Group 3: Challenges and Strategic Actions - Key challenges in service-oriented manufacturing include weak supply capabilities for critical technologies and an incomplete standard system [3] - The implementation plan aims to create leading enterprises and brands, enhance service-oriented manufacturing branding, and foster innovation in application scenarios [3] - The plan emphasizes the need for regional development through high-tech industrial parks and clusters, as well as strengthening common technology research and establishing a service-oriented manufacturing standard system [3]

Core Insights - The article discusses the transition of China Petroleum Lubricating Oil Company from a product-centric model to a service-oriented model in response to market challenges, emphasizing the importance of integrated solutions for driving profit growth [1] Group 1: Industry Trends - The Ministry of Industry and Information Technology, along with six other departments, has issued a plan to promote service-oriented manufacturing innovation from 2025 to 2028, focusing on enterprises, industries, regions, and ecosystems [1][2] - Service-oriented manufacturing is becoming a crucial direction for the development of the manufacturing industry, driven by advancements in information technology and deepening industrial integration [1][2] Group 2: Financial Performance - Among the 372 selected service-oriented manufacturing demonstration enterprises, service revenue accounts for over 35% of total revenue, with service business contributing 60% to revenue growth [2] - The annual growth rates for the value added in information transmission, software, and IT services, as well as leasing and business services, are projected to be 13.71% and 15.66% respectively from 2020 to 2024 [2] Group 3: Challenges and Solutions - Key challenges in service-oriented manufacturing include weak supply capabilities for critical technologies and an incomplete standard system [3] - The implementation plan aims to build leading enterprises and brands, enhance service-oriented manufacturing brand actions, and foster innovation in application scenarios [3]

Core Insights - The development of service-oriented manufacturing in China has seen continuous innovation and is widely applied across various manufacturing sectors, covering 36 out of 41 major industrial categories and 161 out of 207 subcategories [1][2] - According to the "Global Service-Oriented Manufacturing Development Index (2024)," China has entered the first tier globally in terms of service-oriented manufacturing development, but still faces challenges such as inadequate understanding, uneven development, and weak supply capabilities of key technologies [1] Group 1 - The key tasks for advancing service-oriented manufacturing include strengthening common technology breakthroughs, exploring new business models and scenarios, and promoting the application and iterative upgrade of research outcomes [1] - There is a focus on stimulating the vitality of business entities by actively cultivating leading enterprises, flagship brands, and transformation solution providers [1] - Local governments are encouraged to focus on their unique advantageous industries to create service-oriented manufacturing hubs [1] Group 2 - The role of productive services in empowering manufacturing should be reinforced, alongside the establishment of a technical promotion service system [1] - The construction of a service-oriented manufacturing standard system is essential, along with strengthening policy support and talent cultivation, and improving public services and international cooperation [1] - The foundation for service-oriented manufacturing development must be solidified by enhancing new information technology infrastructure and developing AI-driven new service scenarios to improve the supply capacity of industrial data elements [1]

Core Viewpoint - The development of service-oriented manufacturing in China has been continuously innovating and expanding since the new era, now widely applied across various manufacturing sectors, covering 36 out of 41 major industrial categories and 161 out of 207 subcategories [1] Group 1: Current Status and Challenges - According to the "Global Service-Oriented Manufacturing Development Index (2024)", China's service-oriented manufacturing has reached a leading global level, yet still faces challenges such as inadequate understanding, uneven development, and weak supply capacity of key technologies [1] Group 2: Key Tasks for Development - Strengthening the research and development of key common technologies in service-oriented manufacturing, exploring new business models and scenarios, and promoting the transformation and iterative upgrading of research outcomes [1] - Stimulating the vitality of business entities by actively cultivating leading enterprises, flagship brands, and providers of transformation solutions [1] - Encouraging localities to focus on their unique advantageous industries to create service-oriented manufacturing hubs [1] - Enhancing the empowering role of productive services and establishing a robust technical promotion service system [1] - Advancing the construction of a service-oriented manufacturing standard system, reinforcing policy support and talent cultivation, and improving public services and international cooperation [1] - Strengthening the foundational development of service-oriented manufacturing by enhancing new information technology infrastructure and developing AI-driven new service scenarios to boost industrial data supply capacity [1] Group 3: Market Potential - China's manufacturing industry is comprehensive with a complete industrial system, possessing a vast market scale and rich application scenarios, providing a solid foundation for the development of service-oriented manufacturing [2]

Core Viewpoint - The Chinese government emphasizes the importance of high-quality development in the manufacturing sector, advocating for the deep integration of advanced manufacturing and modern services to build a strong manufacturing nation [1] Group 1: Service-Oriented Manufacturing - Service-oriented manufacturing is crucial for enhancing the value creation capability of the manufacturing industry and improving the quality and efficiency of its development [1] - The Ministry of Industry and Information Technology, along with six other departments, has issued a plan for the innovation and development of service-oriented manufacturing from 2025 to 2028, outlining seven main tasks and three special actions [1] Group 2: China National Petroleum Corporation (CNPC) Lubricants - CNPC Lubricants has shifted from selling products to providing comprehensive lubrication solutions, achieving a cost reduction of over 23% for clients like Harbin Electric Group through tailored solutions [2][4] - The company integrates various oil brands into a single product for clients, significantly reducing inventory and management complexity [4] - CNPC Lubricants has transitioned from a product-centric approach to a service-oriented model, offering oil monitoring services that extend oil life and reduce unnecessary downtime [5] - The company has developed high-performance transformer oil to meet international standards, gaining entry into global supply chains [6][7] - Since 2022, CNPC Lubricants has seen comprehensive growth in sales, revenue, and profit, with a projected profit increase of 52% in 2024 [7] Group 3: Shaanxi Blower Group - Shaanxi Blower Group has transformed from manufacturing to service-oriented manufacturing, providing full lifecycle system solutions and real-time monitoring for over 8,000 pieces of equipment across 2,000 clients [8][9] - The company employs digital twin technology and intelligent analysis to offer predictive maintenance services, significantly reducing maintenance costs for clients [9] - Shaanxi Blower Group has developed 13 industrial intelligent service models, focusing on energy management and process optimization [9][10] Group 4: Oppein Home Group - Oppein Home Group has embraced a "whole-house customization" approach, utilizing AI technology to enhance design efficiency and customer experience [12][15] - The company has developed a digital ecosystem that integrates design, production, and installation, allowing for real-time tracking of orders and inventory [14][15] - Oppein has evolved its business model from simple customization to a comprehensive service that includes design, production, and installation, addressing the growing demand for personalized home solutions [13][14]

Core Viewpoint - The Chinese manufacturing sector is transitioning from a "production-oriented" model to a "value-oriented" model, with service-oriented manufacturing becoming a new engine for high-quality development in the industry [1]. Group 1: Policy and Strategic Goals - The Ministry of Industry and Information Technology and six other departments have jointly issued a plan to promote service-oriented manufacturing innovation from 2025 to 2028, aiming to create 50 leading brands, establish 100 innovation hubs, and complete 20 standard formulations by 2028 [1]. - The plan emphasizes the comprehensive and deep integration of manufacturing and services, signaling a shift in focus towards value creation [1]. Group 2: Industry Transformation - The rise of service-oriented manufacturing offers traditional light industry sectors a new approach to transformation, shifting from "manufacturing products" to "manufacturing services" and "manufacturing experiences" [2]. - Companies like Haier and Midea are leading this transformation in the home appliance sector by embedding user needs into product design and offering value-added services through smart manufacturing and cloud service platforms [2]. - In the furniture and home goods sector, companies such as Gujia Home and Quanyou Home are transitioning to become "integrated solution providers," offering customized design and comprehensive services [2]. Group 3: Value Chain and Customer Relationships - The service-oriented manufacturing model is reshaping value chains in various industries, including the footwear sector, where companies are adopting flexible customization and rapid delivery through digital factories and smart supply chains [3][4]. - This transition from a "product-oriented" to a "customer-oriented" approach is revitalizing traditional industries, enhancing long-term relationships between brands and consumers [4]. Group 4: Ecosystem and Collaboration - Service-oriented manufacturing requires collaboration among enterprises, upstream and downstream partners, service providers, and platforms to create an innovative ecosystem [4]. - Regions like Zhejiang and Guangdong are developing service-oriented manufacturing hubs through an "industry chain + service platform" model, enabling small and medium-sized enterprises to share resources [4]. Group 5: Long-term Economic Impact - Service-oriented manufacturing is not only a new path for improving manufacturing quality and efficiency but also a significant source of new economic momentum for China [4]. - By focusing on customer needs and leveraging digital technologies, the manufacturing sector is moving from "quantitative expansion" to "qualitative improvement," positioning itself for higher value in the global value chain [4].

Domestic Macro - On October 11, the State Council Information Office held a press conference on "High-Quality Completion of the 14th Five-Year Plan" [5] - On October 12, the Ministry of Commerce stated that China's rare earth export controls do not constitute a ban on exports, and applications that meet the requirements will be permitted [5][6] - On October 14, Premier Li Qiang hosted a meeting with economic experts and entrepreneurs, emphasizing the need to enhance counter-cyclical adjustments [5][6] - On October 15, the central bank announced a 600 billion yuan six-month reverse repurchase operation, with a cumulative net injection of 400 billion yuan for the month [5][6] - On October 16, China expressed an open attitude regarding the possibility of new Sino-U.S. trade talks [5][6] Industry Policy - On October 10, the Ministry of Natural Resources released the "Guidelines for Revitalizing and Optimizing Urban Stock Space," indicating that revitalizing existing space will be a key task in future land use planning [6][18] - On October 10, the Financial Regulatory Authority issued a document to strengthen regulation of non-auto insurance businesses, focusing on issues such as irregular operations and irrational competition [6][18] - On October 11, the central bank solicited opinions on the "Management Measures for Identifying Beneficial Owners of Financial Institution Clients" [6][18] - On October 12, the Ministry of Industry and Information Technology and six other departments issued a plan to promote service-oriented manufacturing innovation [6][18] - On October 15, six departments, including the National Development and Reform Commission, issued a "Three-Year Doubling" action plan for electric vehicle charging facilities [6][18] Local Policy - On October 10, Shanghai adjusted the rules for the 2025 automobile trade-in subsidy program [7][21] - On October 11, the Shanghai Municipal Government released measures to accelerate the cultivation of future industries, focusing on six key areas [7][21] - On October 12, the Hainan Provincial Government announced that the "Hainan Free Trade Port Tourism Regulations" will take effect on December 1, 2025, gradually relaxing restrictions on foreign investment in tourism [7][21] - On October 15, the second batch of Shanghai Free Trade Zone innovation zone construction plans was released [7][21] Overseas Dynamics - On October 10, China announced countermeasures against U.S. restrictions on the shipbuilding industry, starting to charge special port fees for U.S. vessels from October 14 [8] - On October 11, the global cryptocurrency market experienced a "black swan" event, with over 19 billion USD in liquidations in a single day [8] - On October 12, Chinese semiconductor assets worth 14.7 billion USD were frozen by the Dutch government [8] - On October 15, China filed a complaint with the WTO against India's electric vehicle and battery subsidy measures [8]

Core Viewpoint - The Ministry of Industry and Information Technology and six other departments have issued a plan to enhance the role of service-oriented manufacturing in high-quality development by 2028, aiming to create an upgraded version of service-oriented manufacturing that integrates advanced manufacturing with modern services [1] Group 1: Characteristics of Service-Oriented Manufacturing - Service-oriented manufacturing is characterized by deep integration of manufacturing and services throughout the product lifecycle, focusing on creating new value through services rather than just selling products [1][2] - This model shifts the focus from merely producing goods to enhancing user experience and value, thereby addressing the challenges of homogeneous competition in the manufacturing sector [2] Group 2: Technological Support and Development - A distinctive feature of China's service-oriented manufacturing system is its reliance on digital and intelligent technologies, which address issues such as supply-demand mismatches and inefficiencies in traditional manufacturing [2][3] - China has established a competitive advantage in digital technologies like 5G and industrial internet, which serve as a robust foundation for the development of service-oriented manufacturing [2] Group 3: Shared Manufacturing Model - Shared manufacturing, a model based on the sharing economy, utilizes internet platforms to integrate idle manufacturing resources, providing low-cost access to technology and resources for small and medium-sized enterprises [3] - This model enhances the resilience and flexibility of supply chains, catering to the diverse and personalized demands of consumers in China's vast market [3] Group 4: Localized Development Strategies - The development of service-oriented manufacturing should be anchored in local market demands and leverage regional advantages, with different areas focusing on their unique industrial strengths [3] - For instance, the Yangtze River Delta can focus on high-end equipment lifecycle services, while the Pearl River Delta can expand customized R&D based on its electronic information industry advantages [3] Group 5: Global Competitiveness - Service-oriented manufacturing in China aims to achieve world-class standards by leveraging the country's comprehensive industrial system and large domestic market, positioning itself competitively in the global value chain [4]

Core Viewpoint - The Ministry of Industry and Information Technology and six other departments have issued the "Implementation Plan for Deepening the Innovation and Development of Service-Oriented Manufacturing (2025-2028)", aiming to enhance the role of service-oriented manufacturing in high-quality development by 2028 [1] Group 1: Service-Oriented Manufacturing - Service-oriented manufacturing is defined as a new industrial form that deeply integrates manufacturing and services, focusing on embedding services throughout the product lifecycle and reshaping the value chain [1][2] - The shift from merely selling products to providing services is emphasized, highlighting the importance of value creation and customer satisfaction in the competitive landscape of manufacturing [1][2] Group 2: Characteristics and Advantages - Service-oriented manufacturing is characterized by a customer demand-driven approach, contrasting with traditional manufacturing that produces first and seeks markets later [2] - The integration of digital and intelligent technologies is crucial for developing a service-oriented manufacturing system in China, addressing issues like supply-demand mismatches and inefficiencies [2][3] Group 3: Shared Manufacturing Model - Shared manufacturing, a model based on the sharing economy, utilizes internet platforms to integrate idle manufacturing resources, providing low-cost access to technology and resources for small and medium-sized enterprises [3] - This model enhances the resilience and flexibility of supply chains, catering to the diverse and personalized demands of consumers in China's vast market [3] Group 4: Regional Focus and Innovation - The development of service-oriented manufacturing should be anchored in local market demands and leverage regional advantages, with different areas focusing on their unique industrial strengths [3] - Encouraging local innovation and specialization can lead to the establishment of service-oriented manufacturing innovation hubs across various regions [3] Group 5: Global Competitiveness - The service-oriented manufacturing model aims to not only be rooted in China's industrial system but also to compete at a global level, reshaping China's manufacturing advantages in the global value chain [4]