China's Role as an Innovation Hub in Global Industry Spotlighted at Hannover Messe 2025
Schneider Electric executive highlights China's advancements in industrial automation and sustainability at major global exhibition.
At Hannover Messe 2025 in Germany, Ali Haj Fraj, senior vice president of Schneider Electric, underscored China's emerging role as a leader in industrial innovation.
In an interview, Fraj characterized China as not just a manufacturing powerhouse, but a pivotal innovation hub influencing the next phase of industrial automation and sustainability.
Since its entry into the Chinese market in 1987, Schneider Electric has expanded significantly, operating over 30 factories and distribution centers, five research and development facilities, and an AI innovation lab, employing upwards of 18,000 individuals.
Fraj noted that China's emphasis on high-quality development, digitalization, and green transitions aligns well with Schneider Electric's global strategies.
The company is focusing investments in software-defined automation and AI-powered industrial solutions aimed at enhancing the competitiveness of Chinese enterprises on a global scale.
This approach is consistent with China’s governmental priority on developing “new quality productive forces” that encompass traditional industries and burgeoning sectors such as new energy vehicles, semiconductors, and robotics.
Fraj commented on China’s unprecedented scale and speed in digital and green technology adoption.
He described Schneider Electric's “China Hub” strategy, which consolidates local research, manufacturing, and supply chain capabilities to serve both domestic and international markets effectively.
With a network comprising approximately 1,600 local suppliers and numerous manufacturing and distribution centers, China holds a central place in Schneider Electric’s global supply chain strategy.
The company cited examples such as a smart factory in Shanghai's Putuo District, which has successfully utilized AI and digital tools to enhance production efficiency by 82% and significantly reduce order fulfillment time.
China's dual carbon goals, aiming for peak carbon emissions before 2030 and achieving carbon neutrality by 2060, have led Schneider Electric to deepen its commitment to aiding industries in their decarbonization efforts.
The company has implemented integrated solutions that interlink automation, energy management, and AI analytics to improve sustainability and operational performance.
An exemplar of this commitment can be seen in the Jiading Renewable Energy project in Shanghai, which has diminished operational alarms by 90% thanks to Schneider Electric's intelligent waste-to-energy solutions, showcasing a blend of efficiency, sustainability, and innovation.
Fraj pointed to China's robust position in AI research and industrial applications as vital to Schneider Electric’s global industrial AI strategy, reinforcing its status as a strategic market.
Amid global uncertainties, China has set a GDP growth target of 5% for 2025, which bolsters Schneider Electric’s long-term optimism about the region’s dynamic economy.
The multinational company, along with others, is ramping up investments in China, encouraged by the country's commitment to open up further and enhance business conditions.
Schneider Electric's ongoing partnership with Chinese enterprises aims to expedite industrial digitalization and sustainability initiatives, reflecting a mutual commitment to shaping future industrial trends.
In an interview, Fraj characterized China as not just a manufacturing powerhouse, but a pivotal innovation hub influencing the next phase of industrial automation and sustainability.
Since its entry into the Chinese market in 1987, Schneider Electric has expanded significantly, operating over 30 factories and distribution centers, five research and development facilities, and an AI innovation lab, employing upwards of 18,000 individuals.
Fraj noted that China's emphasis on high-quality development, digitalization, and green transitions aligns well with Schneider Electric's global strategies.
The company is focusing investments in software-defined automation and AI-powered industrial solutions aimed at enhancing the competitiveness of Chinese enterprises on a global scale.
This approach is consistent with China’s governmental priority on developing “new quality productive forces” that encompass traditional industries and burgeoning sectors such as new energy vehicles, semiconductors, and robotics.
Fraj commented on China’s unprecedented scale and speed in digital and green technology adoption.
He described Schneider Electric's “China Hub” strategy, which consolidates local research, manufacturing, and supply chain capabilities to serve both domestic and international markets effectively.
With a network comprising approximately 1,600 local suppliers and numerous manufacturing and distribution centers, China holds a central place in Schneider Electric’s global supply chain strategy.
The company cited examples such as a smart factory in Shanghai's Putuo District, which has successfully utilized AI and digital tools to enhance production efficiency by 82% and significantly reduce order fulfillment time.
China's dual carbon goals, aiming for peak carbon emissions before 2030 and achieving carbon neutrality by 2060, have led Schneider Electric to deepen its commitment to aiding industries in their decarbonization efforts.
The company has implemented integrated solutions that interlink automation, energy management, and AI analytics to improve sustainability and operational performance.
An exemplar of this commitment can be seen in the Jiading Renewable Energy project in Shanghai, which has diminished operational alarms by 90% thanks to Schneider Electric's intelligent waste-to-energy solutions, showcasing a blend of efficiency, sustainability, and innovation.
Fraj pointed to China's robust position in AI research and industrial applications as vital to Schneider Electric’s global industrial AI strategy, reinforcing its status as a strategic market.
Amid global uncertainties, China has set a GDP growth target of 5% for 2025, which bolsters Schneider Electric’s long-term optimism about the region’s dynamic economy.
The multinational company, along with others, is ramping up investments in China, encouraged by the country's commitment to open up further and enhance business conditions.
Schneider Electric's ongoing partnership with Chinese enterprises aims to expedite industrial digitalization and sustainability initiatives, reflecting a mutual commitment to shaping future industrial trends.
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