Digital Finance Drives Chain Fortification: Second Batch of Manufacturing Finance Application Projects Takes Effect in Chongqing

“Although a large-volume order came in, we were held back by a funding gap for raw material procurement. Fortunately, the timely disbursement of this loan from Postal Savings Bank of China relieved our urgent need.” It is the experience from a small and medium-sized enterprise (SMEs) in equipment manufacturing in Chongqing. Recently, the company obtained financing through the “Smart Manufacturing Industry e-Loan” product offered by the Postal Savings Bank of China (PSBC) Chongqing Branch, which filled the working capital shortfall for raw materials, ensured the smooth operation of its production lines, and enabled it to complete order delivery on schedule.

On July 14, the Chongqing Municipal Commission of Economy and Information Technology announced the list of the second batch of municipal-level digital finance application projects for manufacturing industry chains and supply chains. A total of five projects were selected, including: the “Smart Manufacturing Industry e-Loan” of PSBC Chongqing Branch, the “Wei Jie Dai (Micro-Express Loan)” of ABC Chongqing Branch, the “Data Chain” of CZBANK Chongqing Branch, the “Order e-Financing” of Gold Net Digital Technology Co., Ltd., and the “Hui Lian Dai (Supply Chain Inclusive Loan)” of SPD Bank Chongqing Branch.

For a long time, a large number of SMEs in the upstream segments of the city’s manufacturing industry chains have been deeply engaged in specialized niche fields. They consistently provide supporting products and services to leading enterprises and serve as a critical link in ensuring the stable operation of the industrial chains. However, most of these companies operate with an asset-light model and lack traditional collateral such as real estate or equipment. Consequently, when they undertake large-volume orders, procure raw materials in bulk, or implement production line upgrades and capacity expansions, they often face short-term working capital pressures.

To remove bottlenecks between industry and finance, the city has successively cultivated two batches of innovative digital supply chain finance products in recent years. An official from the city’s Municipal Commission of Economy and Information Technology noted that all five digital financing projects approved in this round share the same innovative approach: they do not occupy enterprises’ credit lines, do not increase their liability risks, move beyond traditional fixed-asset collateral methods, and convert enterprises’ real supply chain data into usable credit assets.

This new type of digital supply-chain financing enables SMEs to obtain pure credit loans quickly without the need for collateral or guarantees, thereby meeting their working capital needs for raw material procurement, production capacity expansion, and other operational purposes. By shortening the financing cycle and reducing comprehensive financing costs, it helps ensure the coordinated operation of upstream and downstream links in the industrial chain and reinforces the overall resilience of the supply chain.

The Municipal Commission of Economy and Information Technology stated that the city is currently continuing to refine the digital financial product matrix for manufacturing industry chains and supply chains. The goal is to strengthen the industry-finance integration, and to encourage closer alignment across the four key areas: industry, supply, innovation, and capital. The city will scale up the application of digital supply chain finance, expand its coverage, and provide financial support for the development of modern manufacturing clusters.

Source: Chongqing Daily