A major global retailer is investing $70 million by 2028 to enhance supply chain efficiency and improve working conditions across its manufacturing network in China. This initiative aims to modernize production facilities, integrate advanced automation, and uplift worker welfare, reinforcing China’s role as a key player in global supply chains.
So far, $33 million has been allocated for factory upgrades, leading to the renovation of 203 manufacturing facilities covering over 500,000 square meters. These enhancements include optimized layouts, increased efficiency, and the adoption of cutting-edge technology, such as autonomous guided vehicles (AGVs) to streamline garment transportation.
To further support supply chain resilience, over $7.5 million has been invested in upgrading factories in Southern China. A significant portion of this funding has been directed toward worker welfare, including nearly $280,000 for canteen improvements and more than $430,000 for free accommodation for migrant workers.
In addition, a dedicated Centre of Innovation for Garment Manufacturing (CIGM) has received a $40 million investment to drive automation and lean production solutions. By the end of 2024, the facility had already allocated $23 million, filed 30 patents, and conducted 485 training sessions for 20,000 workers, ensuring a highly skilled workforce to support the evolving supply chain landscape.
This strategic investment underscores China’s growing importance in global trade and highlights ongoing efforts to build a more efficient, responsible, and technology-driven supply chain.
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