Midea helps ramp up go-global push
Midea Group, a Chinese home appliance giant, launched an initiative on Tuesday to help domestic manufacturers build and operate factories overseas through a comprehensive package of digital, artificial intelligence-powered and operational solutions.
The Go-Global Partner Program has been introduced at a time when a growing number of Chinese companies are accelerating overseas expansion amid shifting global supply chains and rising investment in overseas production, said Zhang Xiaoyi, vice-president and chief data officer of Midea Group.
The initiative seeks to address some of the most persistent challenges facing manufacturers venturing abroad, including fragmented cross-border supply chains, inconsistent quality standards, complex regulatory requirements and cross-cultural workforce management, Zhang said.
The program is built on lessons learned from Midea's operations in Thailand, where the company has transformed its air conditioner factory into an overseas Lighthouse Factory — a first for China's AC industry — in which multiple AI agents collaborate across production, logistics, quality control and management functions.
The factory, covering 208,000 square meters, produced more than 5 million AC units last year. Its AI platform integrates 13 specialized AI agents across 25 core business scenarios, enabling managers to monitor operations and access key performance indicators through simple voice or text commands, said Zhou Xiaoling, information technology director of Midea Group.
"Unlike conventional smart factories that primarily automate production processes, AI agents can understand information, learn from experience and provide analytical support. They can work independently, collaborate with people and generate operational insights based on real-time data, enabling intelligent decisionmaking throughout the entire production cycle," Zhou said.
The company's Kuka intelligent manufacturing solution, for example, integrates autonomous mobile robots, automated warehouses and production lines into a unified operational platform. A single production line can save approximately $30,000 annually in overseas labor costs.
To address such issues, Midea also developed an AI — and virtual reality-enabled global workforce training platform. "The results have been substantial. Employee training cycles have been shortened from eight days to three days while training efficiency has increased by 62.5 percent," said Li Peng, manager of Midea Air Conditioning Thailand factory.
Over the past two years, Midea Thailand has worked with more than 70 Chinese companies expanding overseas. Li said the factory's experience demonstrates the value of collaborative overseas expansion.
He revealed that Chinese enterprises have accelerated expansion into Southeast Asia via building entire ecosystems from the ground up in recent years. Thailand has been a priority destination due to its geographical advantage, preferential policies and cultural similarity.
According to the Thai Foreign Business Commission, 113 foreign investors were permitted to operate businesses in Thailand in the first month of this year, representing a 10 percent increase. China stood at the top with an investment of 5.39 billion baht ($164 million).
Chinese investment is driving a wave of high-value projects in Thailand's Eastern Economic Corridor, focusing on advanced technology sectors and fueling Thailand's ambition to become a crucial global export hub, marking a significant strategic shift away from traditional manufacturing, according to Preesan Rakwatin, executive vice-president of the Digital Economy Promotion Agency of Thailand.
Rakwatin said China is now a leading country in cutting-edge technologies, including AI, which has empowered the manufacturing sector in Thailand and will serve as an important driver for a tech evolution in the region.
"Many countries are entering an aging society and we need the help of technology. Thailand welcomes more investment from China and those enterprises with high-tech support. This will not only solve labor shortages in the future, but will also help strengthen our regional competitiveness," he added.
Zhang, Midea's vice-president, said Chinese companies should move beyond traditional capacity relocation toward a more integrated model of global industrial development.
"The future of globalization requires a systematic approach," he said. "Technology, operational experience and industrial ecosystems must work together. The next phase of globalization is defined not merely by where factories are built, but by how knowledge, technology and industrial expertise are shared across borders."
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