Chinese manufacturers are facing a lot of uncertainty due to the escalating US-China trade friction. But many believe core technology breakthroughs can help them expand their global market share. CGTN's Wu Lei visited a high-tech manufacturer in east China's Zhejiang province to learn more.

Most auto-makers use magnesium alloys to make their cars lighter. Wanfeng Auto Holding Group has become one of the world's largest suppliers of the mixtures Its CEO said his company used to focus on quantity, but now they are shifting to quality.

CHEN BIN CEO, WANFENG AUTO HOLDING GROUP "For market share, the top 3 is enough for us, but as far as technology is concerned, we need to have the best. For example, our magnesium alloy already accounts for over 68% of the global market share, but our skill is also the best, this is our core technology."

With advanced technologies and market readiness, Chen's company isn't being overly strained by the trade war. He said if Chinese manufacturers want to maintain sustainable growth, they need to grasp key skill-sets in specific sectors.

WU LEI XINCHANG COUNTY, ZHEJIANG PROVINCE "As more Chinese companies go global, how to keep improving their core competitiveness has been a major challenge. Many Chinese manufacturers believe global collaboration and strategic mergers are some of the effective channels for improving their key technologies."

While Chen's company has also had its eye on China's burgeoning General Aviation market, it doesn't have the expertise to make a proper go of it.

Then, on the other hand, Diamond Aircraft from Austria has some of the best technologies in the sector, but it is struggling to expand its overseas market. So the two sides see a huge opportunity.

BERND LECHNER PROJECT LEADER OF CHINA OPERATIONS, DIAMOND AIRCRAFT AUSTRIA INDUSTRIES "We simply don't have the resources in Austria, not the space, not the people. And in this kind of cooperation, you can make a company such as this one Wanfeng and Diamond really really big."

Wanfeng acquired Diamond to speed up the Austrian side's manufacturing and marketing in Asia. Meanwhile, Diamond has also sent several technical experts to train and improve the skills of the Chinese staff.

CHEN BIN CEO, WANFENG AUTO HOLDING GROUP "To buy a company is easy, as long as you have resources and the other side is willing to sell. But more importantly is how to integrate, how to lead the company into a higher place and make more contributions to the whole industry."

If one thing has come out of this escalating US-China trade spat, it may be that Chinese manufacturers are realizing the importance of core technology breakthroughs. Chen said, as companies, they could not change the policies or regulations of any country or organization, so they would only focus on integrating global resources and providing better products and services for the world's consumers.

WL, CGTN, ZJ PROVINCE.