Industrial Outlook: China as a Core Driver of Global Process Industry Transformation

Over the past decade, China has played an increasingly central role in global industrial development, particularly in process industries such as chemicals, mining, oil and gas, and manufacturing automation. As the country accelerates its transition toward high-quality, low-carbon growth, global industrial technology leaders are deepening their long-term commitment to the Chinese market.

In an exclusive industry dialogue, Joachim Braun, President of ABB Process Industries, emphasized ABB’s long-term strategic focus on China, highlighting a five-year development perspective aimed at supporting industrial digitalization, electrification, and sustainable transformation.

Five-Year Strategy: Deepening Roots in China’s Industrial Ecosystem

According to Joachim Braun, ABB’s strategy in China is built on long-term collaboration rather than short-term market cycles. Over the next five years, ABB will continue to strengthen its presence in China by focusing on:

• Expansion of localized engineering and service capabilities
• Increased investment in industrial digitalization solutions
• Strengthening supply chain resilience within China
• Supporting decarbonization goals across heavy industries
• Enhancing automation and electrification integration

This approach reflects ABB’s recognition of China not only as a manufacturing hub, but also as a global innovation center for process industries.

Digitalization and Electrification: Core Drivers of Industrial Transformation

ABB Process Industries continues to focus on two key technological pillars:

1. Industrial Digitalization

ABB is advancing integrated digital solutions that enable process industries to improve operational transparency, efficiency, and safety. These include:

• Real-time process monitoring systems
• Predictive maintenance solutions
• Industrial IoT-based asset performance management
• AI-driven optimization tools

2. Electrification of Industrial Processes

Electrification remains a key pathway for reducing carbon emissions and improving energy efficiency in heavy industries. ABB’s solutions support:

• Electrified drive systems for industrial operations
• Energy-efficient motor control technologies
• Integrated power and automation systems
• Reduced dependency on fossil-fuel-driven equipment

Together, these technologies support the transition toward more efficient, flexible, and low-carbon industrial operations.

Localization Strategy: Strengthening China-Based Innovation and Services

A central theme in ABB’s China strategy is localization. The company continues to expand its local R&D, engineering, and service capabilities to better support Chinese industrial customers.

Key localization priorities include:

• Faster response to customer operational needs
• Development of China-specific industrial solutions
• Stronger collaboration with local industrial partners
• Talent development and technical training programs
• Improved lifecycle service capabilities for installed base equipment

This localization strategy ensures ABB can respond more effectively to the rapid pace of industrial transformation in China.

Industry Transformation: From Capacity Expansion to Value Creation

Joachim Braun highlighted that the Chinese industrial landscape is shifting from scale-driven expansion to value-driven growth. This transformation is characterized by:

• Higher emphasis on energy efficiency and sustainability
• Increasing adoption of automation and smart manufacturing
• Stronger regulatory focus on carbon reduction
• Integration of digital technologies into core industrial processes

In this context, ABB’s role is evolving from a traditional automation supplier to a full lifecycle technology and digital transformation partner.

Strategic Outlook: China as a Global Benchmark for Smart Industry

ABB views China as one of the most dynamic markets for industrial innovation globally. The country’s rapid adoption of digital technologies, combined with strong policy support for green transformation, is expected to shape global best practices in process industries.

Over the next five years, ABB aims to contribute to:

• Smart factory and smart plant development
• Industrial decarbonization pathways
• Advanced process automation ecosystems
• Cross-industry digital integration standards

Conclusion

ABB’s five-year strategy in China reflects a deepening commitment to long-term industrial transformation. As emphasized by Joachim Braun, the company is not only investing in technology but also embedding itself within China’s evolving industrial ecosystem.

Through digitalization, electrification, and localization, ABB is positioning itself as a key enabler of value-driven, sustainable, and intelligent industrial development in one of the world’s most important process industry markets.