The first Smart China Expo has kicked off in Chongqing, in China's southwest. Chinese President Xi Jinping sent a congratulatory letter and urged his country to integrate its digital and real economies. Government leaders, academic and business leaders from China and abroad gathered to discuss, and show off, some of the latest advances in technology. CGTN's Wei Lynn Tang reports.

A theme of empowerment and enrichment fills the air at the Smart China Expo 2018 in Chongqing. The first of this expo series to be held, it comes at a time when China has placed great importance on innovation, to promote what it calls "high-quality development".

HAN ZHENG CHINESE VICE PREMIER "Smart technology is the focus of future scientific and technological innovation. Amid issues and demands we face, we should speed up the implementation of major AI projects, make breakthroughs on theory, and strengthen collaborative innovation."

The buzz on the ground is unmistakable, as companies show off their latest technological products and services. This company has collaborated with Tencent, to roll out a cyber-physical system, or intelligent factory, as one calls it. Basically, this simulation is able to track a company's production lines, to increase operational efficiency.

ZHANG YAN, CHIEF INSPECTOR SHENZHEN HUALONG SHUNDA INFORMATION TECHNOLOGY CO., LTD. "Whether it's from pre-production -- where the simulator can first monitor if standards can be met before the plant is put into operation -- to monitoring the use of raw materials during production, to identifying mistakes during post-production. This real-time platform uses big data and AI to help bring down production costs."

The company expects to commercialize this platform in the next quarter, and to broaden its use beyond the food and tobacco industries it started with.

WEI LYNN TANG CHONGQING "There is only one way forward for China, it will keep getting smarter—in living, manufacturing, commuting and communicating. Industry players are hoping this expo as a platform to further integrate the internet, big data, AI into the real economy."

Speaking of commuting, Meituan, one of China's homegrown online service providers, has plans to roll out an unmanned delivery service.

Analysts say the company, which recently filed for a listing in Hong Kong, faces a key challenge in the form of rising labour costs.

Meituan is attempting to incorporate AI and big data into its food delivery process, to make it more seamless and secure. That's in line with the spirit of the expo, not to mention China as a whole: With the country aiming to better meet people's needs for a higher quality life. The government has been rolling out policies to transition from high-speed to higher-quality growth. WLT, CGTN, Chongqing.