China will open a series of pilot zones to press ahead the Made in China 2025 strategy, Premier Li Keqiang said at a State Council executive meeting on Wednesday.

The demonstration areas, poised as test bed for policy and institutional innovation, are expected to develop into industrial clusters and the country's new growth engine, according to a statement released after the meeting on the State Council's website.

Twelve cities have gained approval from the Ministry of Industry and Information Technology as of Wednesday to build pilot zones for the strategy. Some of them will be designated at a national level, receiving favorable policies in financing and other fields.

The State Council also promised to reduce corporate burden and cut their annual costs by 120 billion yuan ($17.48 billion) through slashing logistics fees and service charges.

The Made in China 2025 has shown significant progress in upgrading the country's economy toward medium to high-end over the past two years, the statement noted. China's first home-developed large passenger jet C919 made its debut flight in Shanghai earlier this month.

Smart manufacturing will be a primary focus, with China accelerating innovations in sensor and control system as well as industrial software, it added.

The strategy, together with Internet Plus Initiative and mass entrepreneurship, will support the upgrade of the country's manufacturing toward intelligent, eco-friendly and service driven.