Dassault to invest deeply in China

French industrial software company Dassault Systemes is doubling down on its commitment to the Chinese market, with plans to further increase investments and strengthen its local ecosystem, citing significant growth potential within China's ongoing efforts to foster new quality productive forces.

Pascal Daloz, CEO of Dassault Systemes, emphasized the company's long-term dedication to supporting China's digital transformation, particularly in sectors such as construction and urban infrastructure, which are poised for technological upgrades.

Over the past 25 years, Dassault Systemes has experienced rapid growth in China, with its business in the market tripling over the past five years alone. This year, the company said it is on track to achieve double-digit growth in the country.

Daloz reaffirmed the company's resolve to continue expanding its footprint in China, following a strategy based on its motto of "In China, For China, With China".

"We are committed to continuing to invest and to develop the ecosystems in China," Daloz said, adding that the company is working with its Chinese customers to empower them to innovate and strengthen their industries. By investing deeply in China, the company is not just supporting local businesses, but also helping them grow into global leaders, he said.

The company's expansion comes at a time when the country's construction industry faces significant challenges, particularly in terms of productivity and digitalization.

Citing official data, Daloz said the total output of China's construction industry in 2022 reached 30.8 trillion yuan ($4.22 trillion). However, investment in construction-related digitalization remains limited, accounting for only 0.08 percent of the industry's total output, compared to around 1 percent in developed countries such as those in Europe and North America.

He pointed out that this gap presents both an opportunity and a challenge for the sector.

"The construction industry is in urgent need of productivity improvements," Daloz noted.

With China's focus on achieving new quality productive forces, Daloz said there is a strong push for innovation. Digital technologies, such as those Dassault Systemes provides, are essential for making this leap forward. And he believes that industrial software can play a crucial role in enabling the construction industry to meet its goals and drive efficiency.

Dassault Systemes has already seen the impact of its digital solutions through collaborations with key local partners such as the Central-South Architectural Design Institute in Wuhan, Hubei province. Through this partnership during the past few years, they have pioneered paperless, blueprint-free construction methods that have led to a 50 percent improvement in productivity. Furthermore, these innovations have reduced material usage by 50 percent and cut construction timelines by 20 percent, marking significant strides toward both cost efficiency and sustainability.

Dassault Systemes recently forged a new joint venture with the CSADI. This partnership, which officially kicked off in early November, aims to spearhead digital solutions for urban lifecycle management and contribute to the green, low-carbon, high-quality development of the industry.

The new joint venture will leverage Dassault Systemes' advanced digital technologies and CSADI's expertise in architectural design to deliver solutions that address key challenges in China's urban development. These include increasing productivity, reducing costs and enhancing sustainability across the construction lifecycle. Through the collaboration, both parties aim to foster the digital transformation of China's urban planning, construction and operation processes.

Yang Jianhua, chairman of CSADI, emphasized the importance of digital transformation in addressing the construction industry's challenges, such as data fragmentation and complex digital delivery. "The combination of Dassault Systemes' digital technologies and CSADI's extensive industry experience will provide more efficient, collaborative and sustainable solutions to drive the upgrade of the building and urban sectors."

"We will focus on the development of solutions for city information modeling based on Dassault Systemes' 3DEXPERIENCE platform," said Zhang Ying, managing director of Dassault Systemes Greater China. "This partnership represents a powerful alignment of industry expertise and cutting-edge digital technology. Together, we will redefine industry practices and deliver value to cities and communities across China."

ouyangshijia@chinadaily.com.cn