Robust Factory Output and Consumer Spending Boost China Economy

The gross domestic product (GDP) of China in the first three quarters of this year was 59,328.8 billion yuan, a year-on-year increase of 6.9 percent at comparable prices, growing at the same speed as that in the first half of this year, or 0.2 percentage point higher than the same period last year, according to the National Bureau of Statistics.

Specifically, the value added of the primary industry was 4,122.9 billion yuan, up by 3.7 percent year-on-year; that of the secondary industry was 23,810.9 billion yuan, up by 6.3 percent; and that of the tertiary industry was 31,395.1 billion yuan, up by 7.8 percent.

Data also showed that in the third quarter China's GDP grew 1.7% from the previous three months on a seasonally adjusted basis, compared with a revised expansion of 1.8% in the second quarter. In July, the statistic bureau said China's economy grew 1.7% in the second quarter from the previous three months.

The bureau also said that  in the first three quarters, the investment in fixed assets was 45,847.8 billion yuan, a year-on-year growth of 7.5 percent, 0.7 percentage point lower than that in the same period last year. Specifically, the investment by the state holding enterprises reached 16,816.4 billion yuan, a rise of 11.0 percent; private investment reached 27,752.0 billion yuan, up by 6.0 percent, accounting for 60.5 percent of the total investment.

Industrial production accelerates

The total value added of the industrial enterprises above designated size in the first three quarters was up by 6.7 percent year-on-year in real terms, 0.7 percentage point higher than the same period last year.

An analysis by types of ownership showed that the value added of state holding enterprises went up by 6.8 percent; collective enterprises up by 0.3 percent; share-holding enterprises up by 6.8 percent; and enterprises funded by foreign investors or investors from Hong Kong, Macao and Taiwan up by 7.1 percent.

In terms of sectors, the value added of mining industry was down by 1.6 percent year-on-year; manufacturing up by 7.3 percent and the production and supply of electricity, heat, gas and water up by 8.4 percent. The industrial development moved towards the medium-high level.

In the first three quarters, the value added of high-tech manufacturing industry and equipment manufacturing industry grew by 13.4 percent and 11.6 percent year-on-year respectively, 6.7 percentage points and 4.9 percentage points higher than that of the industrial enterprises above designated size.

In the first three quarters, the sales-output ratio of industrial enterprises above designated size was 97.8 percent.

In September, the total value added of the industrial enterprises above designated size was up by 6.6 percent year-on-year, 0.6 percentage point higher than that of last month, or up by 0.56 percent month-on-month. In September, the Purchasing Managers’ Index was 52.4 percent, 0.7 percentage point higher than August, reaching the highest point since May 2012.

In the first eight months, the profits made by industrial enterprises above designated size stood at 4,921.4 billion yuan, up by 21.6 percent year-on-year.

The profit rate from principal business of the industrial enterprises above designated size was 6.13 percent, 0.45 percentage point higher than the same period last year. Specifically, the profits grew by 24 percent year-on-year in August, 7.5 percentage points higher than that in the previous month.

Meanwhile, market sales continued to grow rapidly and online retailing showed strong momentum in the third quarter.

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