[Focus on the Provincial Two Sessions] Hu Dawei, Deputy to the Provincial People’s Congress: Contributing Corporate Strength to Sustained Economic Growth

Hu Dawei, a representative of the Provincial People’s Congress: Governor Jin’s government work report has a high perspective, broad scope, lofty intentions, and is inspiring. As a representative of entrepreneurs, I have deeply felt the resolute stance of the Provincial Party Committee and the Provincial Government in supporting the development of the private economy. This has strengthened our determination and confidence in seizing and utilizing policy opportunities to continuously drive transformative and high-quality development.

“Looking ahead to the new year, the promising blueprint inspires confidence and spurs us on…” On the afternoon of January 17, Hu Dawei, a deputy to the Provincial People’s Congress, Chairman of the Xinzhou Federation of Industry and Commerce, President of the Xinzhou General Chamber of Commerce, and Chairman of Shanxi Tianbao Group, immediately placed a call to Wang Liliang, General Manager of Shanxi Tianbao Group.

Hu Dawei said: “The Government Work Report emphasizes “focusing on promoting a sustained economic recovery”, “expanding effective demand in all respects”, “Improving investment efficiency. Launching the ‘Major Project Development Year’ initiative”, as well as “coordinating ‘hard investment’ and ‘soft development’, implementing a batch of ‘major national projects’, including those aligned with major national strategies, building up security capacity in key areas, as well as high-quality transformation projects”, “Leveraging policy incentives for technological upgrading and introducing special incentives for equipment renewal, with the goal of achieving an 8% increase in manufacturing investment”…sound policies are a true source of confidence.

Wang Liliang: Indeed. Only when sound policies continue to be implemented can positive momentum continue to emerge. The “5G + Cloud Platform-based Wind Power Ring Forging Intelligent Manufacturing Expansion Project” has not only doubled our total production capacity to 95,000 tons, but has also promoted the development of intelligent manufacturing and accelerated the deep integration of industrialization and digitalization. In addition, during last year’s application for the “Shanxi Provincial Manufacturing Equipment Renewal Incentive Fund”, we upgraded a total of 35 sets of equipment, including forging, machining, heat treatment, lifting, and power equipment.

Hu Dawei: Standing at the starting line of 2025, we must cultivate Tiabao’s “fields of responsibility” with dedication and paint a finely detailed “meticulous brushwork” for the Company’s future.

Wang Liliang: At present, we are actively advancing the “50,000-ton-per-year integrated casting and forging production line project”. This project adopts advanced casting technologies and equipment such as lost foam casting, as encouraged by the state, and features integration, scale, intelligence, green development, and high-end positioning. It will drive the upgrading of the traditional forging industry and comprehensively promote the high-quality development of the Dingxiang Flange Specialized Town. Once completed and put into operation, the project is expected to generate an additional annual revenue of CNY 1 billion and create 400 new jobs.

Hu Dawei: This year marks the final year of the 14th Five-year Plan. Victory lies in action, and success can only be achieved through solid, down-to-earth work. We must also align closely with policies such as “the major national projects and programs”, including those aligned with major national strategies, building up security capacity in key areas, as well as the large-scale renewal of equipment and the trade-in of consumer goods, fully leverage policy incentives, adopt an open mindset to expand into domestic and international markets, focus on countries participating in the Belt and Road Initiative, and promote high-end flanges and forgings. We must seize the key driver of technological innovation, advance the layout of high-end forging in new materials such as titanium alloys, and promote the application of high-performance materials in high-tech industries. We must promote the extension of our competitive industries along the industrial chain and toward the high end of the value chain, consolidate our leading advantages, expand our competitive edge, and build the “Tianbao” brand into a name recognized worldwide. We must fulfill our corporate social responsibilities and contribute to an even more prosperous and vibrant Shanxi.

| Expert Commentary |

Nie Na   Deputy Director and Associate Professor, Provincial Situation and Development Research Center, CPC Shanxi Provincial Party School

At present, Shanxi Province is at a critical stage of promoting high-quality development and advancing comprehensive transformation. It is essential to accurately and effectively implement a more proactive macroeconomic policy, focus on expanding domestic demand, promote the integrated development of technological innovation and industrial innovation, stabilize expectations, stimulate vitality, and promote the sustained economic recovery and growth.

To stabilize growth, greater efforts must be made to expand demand and boost consumption. It is necessary to deepen the implementation of special initiatives to stimulate consumption, enabling more people to have the capacity, confidence, and willingness to consume. First, continued efforts should be made to advance the “trade-in” policy for consumer goods and extend it to the service sector, so as to further amplify the effectiveness of consumption-boosting policies. Second, greater support should be provided to specific groups to enhance their risk resilience and stimulate consumption.

To stabilize growth, it is also essential to expand effective investment and give full play to the guiding role of major projects and government investment. Government investment should be leveraged to drive broader social investment. On the one hand, government investment can directly stimulate private investment. For example, investment in infrastructure such as transportation, energy, and water conservancy will create demand across upstream and downstream industrial chains, thereby stimulating private sector participation. In emerging sectors such as new infrastructure and advanced manufacturing, which require large capital input and have strong growth potential, government investment can also encourage greater private capital involvement. On the other hand, government investment can indirectly boost private investment by improving the business environment. Increased investment in infrastructure and public services helps reduce operational costs and risks for enterprises, thereby enhancing investment returns and confidence.

To stabilize growth, it is also essential to guide the development of new quality productive forces through scientific and technological innovation. As an important growth engine of county-level economies, characteristic industrial towns not only reflect the specialization and distinctive strengths of local industries, but also play a critical role in driving industrial upgrading, promoting rural revitalization, and advancing new-type urbanization. It is necessary to seize the opportunities presented by the development of specialized industrial towns, plan pathways for cultivating new quality productive forces, and promote innovation-driven development. Traditional industries should be upgraded through technological transformation, while emerging industries should be actively fostered, forming a diversified and high-value industrial system that supports high-quality development.