The initial quarterly performance report for the industrial and information technology sectors in the first year of the 16th Five-Year Plan period reflects a positive trend. At a press conference held on April 21, officials from the Ministry of Industry and Information Technology detailed the sector's achievements in the first quarter of 2026.
Industrial development remained stable and improved. The Ministry has actively coordinated with regional and departmental authorities to advance initiatives. Industrial and IT development achieved a strong start in the first quarter. Data shows that value-added output of large-scale industries increased by 6.1% year-on-year. All 31 provinces recorded positive growth, with over 80% of industrial sectors expanding. The industrial sector contributed nearly 40% to overall economic growth. Telecommunications service volume grew by 8.3%, accelerating by 0.6 percentage points compared to the same period last year.
The industrial structure continued to optimize. Value-added output of equipment manufacturing increased by 8.9%, contributing nearly 50% to the growth of large-scale industrial output. Production of high-tech, high-value-added products such as robotic reducers and memory chips surged by over 40%. Investment in manufacturing stabilized and rebounded, rising by 4.1% year-on-year, an acceleration of 3.5 percentage points compared to the previous year. Sectors including computer and office equipment manufacturing, as well as aerospace equipment manufacturing, recorded double-digit investment growth. The Manufacturing Purchasing Managers' Index rose by 1.4 percentage points in March, entering expansion territory.
Despite rising external uncertainties, China's comprehensive industrial system, strong resilience, and vast market size underpin a stable and improving industrial economy. Future efforts will focus on stabilizing growth, enhancing innovation, promoting integration, optimizing governance, and preventing risks to improve the quality and efficiency of industrial operations.
New growth drivers are accelerating. The first batch of 21 national-level manufacturing pilot platforms and 14 top-tier technology enterprise incubators have been selected. The second domestically built large cruise ship, Aida Huacheng, was successfully launched. In the first two months, the penetration rate of Level 2 combined driving assistance functions in new passenger vehicles reached 69%. Technological innovation in industries is deepening, further unlocking growth potential.
The deep integration of the digital and real economies is a key driver of industrial transformation. Progress has been made in advancing information and communication infrastructure, strengthening the foundation for digital and intelligent economic transformation. 5G and gigabit optical networks have been integrated into 91 out of 97 major economic sectors. Over 25,000 "5G + Industrial Internet" projects have been established, along with 1,260 categorized and specialized 5G factories. These initiatives have improved product quality by 20.5%, reduced operating costs by 18.4%, and increased average production capacity by 24.7%.
Developing future industries is crucial for gaining a competitive edge in technology and industry. Over 100 "unveiling and commanding" innovation tasks have been deployed in key areas such as quantum technology and clean, low-carbon hydrogen. A number of manufacturing innovation centers and pilot platforms for future industries have been systematically established. There are now 509,000 high-tech enterprises, with 193 innovative industrial clusters hosting 54,000 innovative companies.
To further advance future industries from the laboratory to the market, efforts will focus on aligning research with industrial needs, strengthening basic and applied research, and promoting the construction of innovation centers and pilot platforms. Both general and sector-specific policies will be coordinated.
Services for enterprises have been enhanced. Initiatives include talent support programs for small and medium-sized enterprises, accelerating the clearance of overdue payments to businesses, and addressing irregularities in the automotive industry. Early warning systems for overcapacity and measures to regulate price competition have been implemented. Programs to provide universal computing power to SMEs have been launched.
In the first two months, profits of large-scale industrial enterprises increased by 15.2% year-on-year, accelerating by 14.6 percentage points. Competition秩序 in sectors such as new energy vehicles and photovoltaics has improved, with prices of photovoltaic modules, lithium carbonate, and power-type lithium iron phosphate generally recovering.
Small and medium-sized enterprises play a vital role in driving innovation, employment, and livelihoods. Fostering specialized, sophisticated, distinctive, and innovative SMEs is essential for high-quality development. A unified, well-coordinated, and precisely serviced gradient cultivation system for high-quality SMEs has been established, with the corresponding management measures taking effect on April 1.
SMEs have demonstrated stable and progressive operational performance, with accelerated production and improved efficiency. In the first quarter, value-added output of specialized, sophisticated, distinctive, and innovative "little giant" enterprises within large-scale industries grew by 10.2% year-on-year. Future plans include a three-year action plan for gradient cultivation of high-quality enterprises, exploring the establishment of empowerment centers for specialized SMEs, releasing a development plan for SMEs during the 16th Five-Year Plan period, launching the second phase of the National SME Development Fund, and creating national public service demonstration platforms for SMEs.