The International Consultative Conference on the Future Economic Development of Guangdong Province 2015 (ICCFED 2015) is on the stage in Dong Fang Hotel. Advisor Edward L. Monser, President of Emerson, accepted an exclusive interview from Newsgd.com.
Newsgd.com: What recommendations have you made to the Guangdong government regarding smart manufacturing?
Mr. Monser: We made three key recommendations to the government. Our recommendations included: prioritize and support pillar industries, and create initiatives to encourage industry collaboration in value chain optimization; establish an ecosystem for intelligent manufacturing, which will give Guangdong a significant advantage by having a wide variety of solution offerings in the future; build a foundation, through favorable policies, for healthy and sustainable development of intelligent manufacturing.
We believe our recommendations will help Guangdong sharpen its competitive edge on a regional and global level.
Newsgd.com: From your experience as economic advisor for decades, how would you see the changes and improvements in investment and innovation in Guangdong?
Mr. Monser: I’ve had the honor of participating in this conference for the past 10 years. During this time, we have seen Guangdong become China’s most populous and wealthiest province with a gross domestic product (GDP) of 6.78 trillion yuan in 2014, and it has been my honor to witness this evolution.
As China adjusts to the ‘new normal’ state of its economy, innovation is increasingly important as a key driver and differentiator for growth. Industries in Guangdong and other China cities are moving up the value chain. This is an opportunity for Guangdong to once again lead the transformation of the manufacturing industry and services sector.
For example, Guangdong province has an opportunity to play an important role in the national government’s “Belt and Road” initiatives by stepping up its focus on scientific and technology innovation and by promoting new ways to encourage international cooperation and competition.
The Guangdong government has done a remarkable job in developing its economy so far, and is constantly planning one step ahead. The government has thrown strong support into manufacturing base upgrade, and we expect China and Guangdong to continue to be a key market for Emerson long into the future.
Newsgd.com: Compared to ten years ago, what are the key factors that are attracting investment to Guangdong nowadays?
Mr. Monser: What I can tell is why my company Emerson has invested in Guangdong province in the last decade. Guangdong is where many of our customers are. It has a strong and diverse economy, and proven ability to leverage talents for commercial innovation and creation of cutting-edge businesses. The province is also constantly planning one step ahead, and the International Consultative Conference on The Future Economic Development of Guangdong Province (ICCFED) is one good example.
Hence, while labor and other costs are rising in Guangdong, Guangdong remains a key manufacturing and R&D base as well as key market for many global companies like Emerson.
Newsgd.com: Intelligent manufacturing has been one of the recent major initiatives in Guangdong. How (has) Emerson responded to the policies on both intelligent manufacturing and innovation-driven practices?
Mr. Monser: Intelligent manufacturing is not new to the process industry or Emerson. We are honored to be able to bring to China and Guangdong our experience in designing innovative solutions to help our customers modernize, automate, and optimize their operations to be globally competitive.
We have been doing business in China for 30 years. Emerson has made significant investments in Guangdong and has strong commitment to the province. Most recently, we made three recent major investments in Guangdong:
oEmerson Network Power invested in, and moved to, a new facility in the NanShan District, Shenzhen. Intelligent efficiency management solution is deployed in the new building to achieve a high level of energy saving and emission reduction.
oTherm-O-Disc built, and moved to, a new plant in Zhuhai. This is the largest Therm-a-Disc facility in the world, and the only plant in China. It specializes in temperature control products and is heavily automated, reducing operating costs and improving quality and delivery time.
oFisher Shenzhen invested in new production lines in a factory in Bao’an. It is one of only two manufacturing plants for Fisher instruments worldwide.
We expect to grow with the province in the future.