China Daily: Sany Indonesia Factory! Important Milestone!

On September 5, China Daily focused on the start of production of Sany's "Indonesia Lighthouse" factory, and published a large page "Sany's Indonesia plant a major milestone" (Sany's Indonesia plant marks an important milestone).

The following is a translation of the report:

Through the establishment of overseas "lighthouse factories", Chinese machinery giant Sany Group is exporting China's mechanical wisdom to the world.

On August 15, the first excavator produced by Sany Heavy Industry's "Lighthouse Factory" in Indonesia was put into operation, marking the first overseas layout of this type of factory in the history of China's machinery industry.

A "lighthouse" is a state-of-the-art facility that is at the forefront of the adoption and integration of cutting-edge technologies around the world. The World Economic Forum and McKinsey, a world-renowned consulting firm, have jointly evaluated and published a list of "lighthouses".

Sany began transforming 20 factories in 2019 and has invested more than 10 billion yuan (US$1.45 billion) to date to establish more than 40 "lighthouse factories" in China, enabling real-time interconnection of nearly 10,000 devices and more than 100,000 materials. The "Lighthouse Factory" in Indonesia is the first of its kind overseas for the group.

Mr. Xu Ming, Senior Vice President and Director of International Business Headquarters of Sany Heavy Industry, said, "The establishment of the 'Lighthouse Factory' in Indonesia has brought advanced manufacturing technology to Indonesia, shared professional technical knowledge, accelerated the cultivation and reserve of local talents, and created many job opportunities. What's more, through cooperation with local parts manufacturers and new product development, we will further improve our parts supply capacity and provide customers with a more complete one-stop experience.

"The establishment of our first overseas 'lighthouse factory' in Indonesia will help us expand our business in other parts of ASEAN, as well as in countries such as Australia and New Zealand. The lighthouse factory is expected to promote the high-quality development of Indonesia's machinery industry and contribute to the construction of the Belt and Road Initiative. Mr. Xu Ming said.

The "lighthouse factory" is located in the KIM Industrial Park in Indonesia, 70 kilometers away from the capital Jakarta, with a total investment of 200 million yuan, and the first phase of the factory is expected to have an annual production capacity of 3,000 excavators.

In July, the first batch of equipment produced by the "Lighthouse Factory" in Indonesia was approved by the local government. Within 30 days, the first machine, made in Indonesia, was in operation.

At present, the factory has realized the whole network interconnection and unmanned production of 12 main processes such as assembly, logistics and commissioning, creating a precedent for overseas manufacturing of Chinese construction machinery enterprises.

"This 'lighthouse factory' combines the core achievements of more than 40 'lighthouse factories' of Sany Heavy Industry in China, and is the first overseas manufacturing base of China Construction Machinery to be built in full accordance with Industry 4.0 standards," said Mr. Ding Shifeng, Assistant Vice President of Sany Indonesia's Project Department.

Mr. Ding Shifeng said that there are more than 500 robots of various types in the factory, and there are only about 100 workers. It is estimated that the per capita annual output value is 11 million yuan, making the factory one of the factories with the highest per capita output value and the highest degree of intelligence in China's construction machinery industry.

Compared with Sany Heavy Industry's overseas bases in the United States, Germany, India and other places, Indonesia's "Lighthouse Factory" has achieved 100% independent intellectual property rights for the first time.

"This is the first systematic overseas export case of China's intelligent manufacturing of construction machinery," said Mr. Ding Shifeng.

Among the 50 smartest companies listed by the international technology media MIT Technology Review, Sany became the only Chinese machinery company on the list.

Mr. Ding Shifeng said that the construction of the project reflects the unity and cohesion of Sany Heavy Industry employees.

"In July last year, when the project first started, we found that some of the tools for unloading and installing the machines were not fully ready, and it was difficult to import them from China due to policy restrictions. Our grassroots workers are all taking action: working out solutions, immediately going to nearby hardware stores and contacting local suppliers to buy what we desperately need," he said.

"Every worker treats this project as their most important thing. One night, while unloading the cargo, the team encountered time-consuming equipment commissioning. At that time, I had an important schedule for the next day, so I went to the on-site dormitory in the middle of the night. However, when I woke up, I found that the whole team had been working all night until noon the next day. This is Sany's corporate culture, only to complete the task, employees will be satisfied. Mr. Ding Shifeng said.

The company said that a small step taken by Indonesia's "lighthouse factory" is a big step for Sany Heavy Industry's overseas manufacturing.

"The completion of the factory is expected to change the world's impression of China's intelligent manufacturing, and provides a good opportunity for the world to understand that China's intelligent manufacturing is in the leading position in the world to a certain extent." Mr. Ding Shifeng said.

Mr. Xu Ming said: "The 'Lighthouse Factory' is an excellent proof that Sany's intelligent manufacturing is at the forefront of the world's construction machinery industry. Through advanced technology, our productivity has increased by 85% and the production cycle has been reduced from 30 days to 7 days. What's more, our manufacturing standards have been improved, and the quality of our products has made a qualitative leap. ”

Chen Jia, an independent researcher on international strategy, said: "The commissioning of Sany Heavy Industry's 'Lighthouse Factory' in Indonesia marks the opening of China's machinery industry to the world and further consolidates the foundation for the development of the 'Belt and Road'. ”

"Following Sany as an example, it is expected that Chinese companies will participate in more Belt and Road-related projects and actively invest in countries and regions along the Belt and Road with higher standards," said Professor Liang Haiming, dean of the Belt and Road Research Institute at Hainan University.

In order to improve the level of local manufacturing and cultivate talents for the local society, Sany has also established a training center in Indonesia that can accommodate more than 600 people at the same time.

The company said that in the future, it will use Indonesia's "lighthouse factory" as a template to quickly promote and replicate it within the company, and build 10 more such factories overseas in the next few years.

"Our journey abroad has only just begun. In the face of increasingly severe global challenges, Sany is fully prepared and will spare no effort to become a world-leading company," said Mr. Xu Ming.

According to data from Sany Group, in the first half of the year, the group's overseas sales revenue increased by nearly 40% year-on-year, of which the sales revenue in the United States, Europe and Southeast Asia doubled.

In the same period, its pump trucks and trackscraneThe market share ranks among the top in the world. The company said overseas sales of its excavators were up nearly 70% year-over-year.

Content source: China Daily China Daily