Characterized by robotics, automation, the Internet of Things, and other cutting-edge technologies, intelligent manufacturing has been at the forefront of industrial development in China.
A green, low-carbon, and intelligent air conditioner factory has been certified as an exceptional smart factory in Jinwan District, Zhuhai City, south China’s Guangdong Province.
The factory offers a glimpse into the landscape of future industry: machines there run 24/7; rows of robotic arms move in an orderly manner while automated conveyors operate overhead. The general assembly workshop sits at the center of the factory compound, surrounded by production areas and warehouses, all interconnected by an overhead transport system.
This factory belongs to Gree Electric Appliances Inc. – a prominent leader in China’s home appliance industry. However, this certification is not only a recognition of a single brand, but also a testament to the innovation capacity of Chinese enterprises in intelligent manufacturing.
Gree showcases its innovative central air conditioning units at the 2025 Appliance & Electronics World Expo (AWE2025) held in Shanghai, China, on March 21, 2025.
Greater Efficiency
“In the production workshop, components are delivered via an overhead transport system to the assembly line platform. Robotic arms then assemble the parts before transporting the finished products to the warehouse,” said Chen Zhenghua, general manager of Gree Electric Appliances (Zhuhai Jinwan) Co., Ltd.
Its assembly workshop boasts the highest level of automation. Automated guided vehicles (AGVs) each no bigger than a suitcase but capable of carrying materials up to 10 times their size, move smoothly along magnetic tracks, packing outdoor condensers.
Unlike human arms limited by fixed angles, robotic arms can rotate in any direction. When removing a component from the overhead delivery machine, each arm follows the most efficient path and places it precisely into the slot in an air conditioner base on the assembly conveyor.
With the help of autonomous machines, inserting outer panels into the base takes only one second and connecting the condenser ducts takes around three seconds. “Fifteen seconds – that’s all it takes to assemble one air conditioner here,” Chen said, adding that, “The key benefit of a smart factory is improved quality and efficiency.”
Here, workers no longer need to hustle between rows of machines; cumbersome process management has been streamlined by data interaction; and traditional assembly lines have been replaced by flexible production lines.
With high-precision automated systems, nimble robotic arms, AGVs shuttling materials seamlessly, and intelligent inspection devices running around the clock, Gree’s Jinwan smart factory, through the application of the Industrial Internet of Things (IIoT), achieves 100 percent connectivity among equipment, materials, and personnel – creating a highly automated “dark factory” (one that could run without lights or human presence).
“From order placement to product design, procurement, production scheduling, and customer service, digital management has been integrated into the entire process,” Chen said.
Customers can place orders online and track the process in real time via the service platform. The management system is able to handle orders automatically based on delivery schedules and product models, dispatch supply requests to vendors, and send production orders to the factory.
“As 5G, artificial intelligence (AI), big data, and cloud computing technologies deeply integrate with the home appliance industry, new models of digital production, quality control, supply chain management, equipment operation, and remote maintenance are being widely adopted,” said Jiang Feng, executive director of the China Household Electrical Appliances Association.
“Leading home appliance manufacturers have built Industrial Internet platforms that enable real-time demand response, full-process visibility, and seamless resource integration,” industry analyst Liang Zhenpeng noted. “Such intelligent manufacturing capabilities now rank among the best in the world,” he added.
The robotic arms in Gree’s smart factory carry out assembly operations.
Energy-Saving Solutions
Not far from the factory stands Gree’s Smart Industrial Brain Center, where a massive screen displays real-time data covering every stage of production. Behind this visualization is a software system that integrates core business functions such as marketing, product design, procurement, manufacturing, and customer service, forming a comprehensive digital management network.
“Smart air conditioners come from smart manufacturing,” explained Chen, adding that the smooth flow of the production line ultimately depends on this “industrial brain.” Connecting nearly 10,000 pieces of equipment and business terminals, the program collects over 100 million bits of data daily, which makes overall production management more transparent and has doubled productivity.
“Besides improved efficiency and increased output,” Chen continued, “more importantly, intelligent manufacturing minimizes human error and achieves greater quality consistency.”
Compared with traditional plants, Gree’s smart factory has boosted production efficiency through flexible production lines and an advanced planning and scheduling (APS) system.
Take the air conditioner assembly line for example. In addition to producing one unit every 15 seconds, “the smart factory can now automatically transmit orders and configure process parameters with a single click. The line-switching time has been shortened from 10 minutes per unit to just one minute,” Chen said.
One of the most significant improvements lies in automated inspection. Since the introduction of AI, inspection efficiency has increased by 200 percent.
According to statistics, manual inspection of a single air conditioner’s exterior takes nearly three minutes, while the intelligent vision inspection system processes multiple units in just one minute.
“If a product fails inspection, it will be automatically transferred to a holding area for further handling via specially designed programs,” Chen explained. “These systems can operate 24/7. We’ve achieved real-time monitoring and control, and the defect rate has dropped from 0.05 percent to 0.03 percent.”
The “industrial brain” also excels in energy efficiency. This smart factory operates an energy management platform called G-SEMS, which continuously collects data on energy consumption of water, electricity, gas, and cooling systems, and uses AI algorithms to optimize energy efficiency.
Meanwhile, both energy waste and emissions are reduced by using the photovoltaics-energy storage-air conditioning technology (an integrated energy solution that combines photovoltaic power generation, energy storage, and air-conditioning load management) and reclaimed water.
“After switching to solar power, the factory has significantly cut carbon emissions by about 5,000 tons per year, offsetting nearly 30 percent of the company’s total emissions,” Chen said.
Through digital twin simulation to optimize process design, logistics energy consumption across the production process has been reduced. Thanks to group control, online monitoring, and other programs, the plant’s comprehensive energy consumption per unit of output value has fallen from 46.55 tons of standard coal per RMB 10,000 to 27.93 tons, representing a 40 percent reduction. Likewise, carbon emissions per unit of output value have dropped by 37.54 percent from 170.28 tons to 106.36 tons per RMB 10,000.
Visitors look at a screen in the photovoltaic power section of Gree’s exhibition area at the 18th International Photovoltaic Power Generation and Smart Energy Conference & Exhibition in Shanghai, China, on June 12, 2025.
Self-Developed Machinery
Zhou Yunshan, a team leader at Gree’s Jinwan assembly plant, has personally witnessed the transformation from traditional manufacturing to intelligent manufacturing.
“In the past, our work required mostly physical labor plus experience, rather than advanced skills,” he recalled, adding that, “It’s totally different working in a smart factory. You need to know how to operate and maintain robots, and you must learn how to collect and apply data.”
To meet these new demands, Gree has been providing training programs to its employees. “We run courses on AI visual inspection and equipment maintenance and organize hands-on drills for troubleshooting simulated equipment faults,” Chen said.
“These programs have greatly improved workers’ ability to master intelligent tools. Now, assembly line operators must pass qualification tests on the MES system and AGV coordination before they can begin work,” he added.
The company plans to train over 500 “intelligent manufacturing engineers” and establish a skills certification system to encourage workers to take part in the digital transformation process, Chen said.
Intelligent manufacturing has not only raised the bar for industrial workers but also spurred upgrades across the supply chain.
A Gree executive revealed that in order to avoid being constrained by suppliers, the company is determined to independently develop key technologies in equipment such as electric spindles, integrated drive-control systems, and a machine vision. This ensures its factories’ autonomy and stability, free from the lack of external technology supplies and compatibility issues.
“Every piece of equipment you see in this factory was developed by our engineers,” said the executive. To precisely satisfy customer needs, Gree designs customized equipment such as flexible assembly lines for air conditioners and automated welding systems for heat exchangers, tailored to various models in small batches.
“We’ve now achieved 100 percent in-house development of all core components of our smart equipment. For example, the GR series industrial robot boasts a repeatable positioning accuracy of ±0.07 mm – finer than the width of a human hair,” he said.
On the software side, Gree’s cross-enterprise Industrial Internet platform has transformed collaboration with its 4,607 suppliers. The company is now sharing production schedules, quality standards, and inventory data to help suppliers optimize their own processes.
For example, its supplier Kaibang Motor can now access Gree’s MES system to receive real time updates on motor demand and quality parameters. As a result, its on-time delivery rate has risen from 75 percent to 90 percent. Another plastic parts supplier uses Gree’s SCM system to monitor supply ratios and inspection standards, reducing its defect rate by 40 percent. 
SHI QINGCHUAN is a reporter at China Economic Weekly.
