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ICBC Strongly Supports Manufacturing Transformation and Upgrading
 

In recent years, ICBC has actively supported the transformation and upgrading of the manufacturing sector, accelerating the transition from "Made in China" to "Created in China". Data show that ICBC's domestic balance of manufacturing loans had reached RMB 1.53 trillion by the end of 2014, retaining the first place among domestic financial institutions for three consecutive years. Meanwhile, during the six years from 2009 to 2014, ICBC's domestic manufacturing loans increased annually by RMB 147.9 billion on average, representing an annual rate of 14.1%.

To accelerate China's manufacturing development through transformation and upgrading, by leveraging strength in diversified and international operation, ICBC provides manufacturing businesses with relevant supporting financial products, and supports businesses to upgrade technology, strengthen brand, optimize industrial structure, and accelerate in growth of global competitiveness, according to an officer of ICBC.

The first is to develop the credit policy specifically for equipment manufacturing, with priority on supporting advanced equipment manufacturers that are capable of independent innovation, have state-of-art manufacturing technology and are able to provide supporting service, and play a positive leading role in structural upgrade of China's key industries and construction of major projects, including domestic high-end equipment manufacturing and the traditional equipment manufacturing in transformation and upgrading. Meanwhile by supporting technology transformation projects in line with the requirements of industrial transformation and upgrade, ICBC has expanded financing and diversified financial services for leading enterprises and their upstream and downstream supply chains, , which has helped strengthen the enterprises.

The second is to provide customized financial products to support manufacturing. For example, in light of long production cycle, strong demand for liquidity, and high asset-liability ratio of aviation equipment manufacturing and other industrial leading customers, ICBC has customized service solutions, innovated financing models, offered buyout domestic factoring business for their subordinate members, which better meets the customers’ financing needs. As for transformation and upgrade of the traditional equipment manufacturing, ICBC has provided strong support for enterprises to speed up transforming and upgrading, strengthen development of new products, enhance the technology quality and added value of products, and upgrade products through application of new technologies, new materials, new techniques, and new equipment.

The third is to leverage strength in international and diversified operation, and provide full-suite financial services for manufacturing transformation and upgrading. ICBC has actively developed businesses such as bond underwriting, syndicated loans and M&A consultations by leveraging comprehensive service models such as "commercial banking + investment banking" and "on-balance-sheet + off-balance-sheet", which has positively satisfied demand of manufacturing enterprises for direct investment and financing, integration of production capacity, M&A restructuring.

The official said that the next step is to focus on the plan of Made in China 2025, continuously improve financial services for manufacturing, and support industrial upgrade of the enterprises in the 10 key sectors included in the plan. In addition, to help increase global competitiveness of Chinese manufacturing, ICBC would provide Chinese manufacturers going global with overall financial products and information services including credit, investment banking, financial lease, international settlement, global cash management and information consulting.


(2015-07-07)
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