SteelOrbis Shanghai
On January 24, China's National Bureau of Statistics (NBS) released the main data relating to the national economy in 2007.
In 2007, maintaining fast and steady growth, China's national economy was characterized by rapid development, optimized structure, enhanced profits, and improved living standards.
According to the preliminary figures, in 2007 China's gross domestic product (GDP) reached RMB 24.6619 trillion ($3.4158 trillion), up 11.4 percent year on year. The growth rate was 0.3 of a percentage points higher than the 2006 level. 2007 was the fifth year during which China's GDP increased by more than 10 percent. Looking at the various quarters in turn, GDP expanded 11.1 percent in the first quarter, 11.9 percent in the second, 11.5 percent in the third and 11.2 percent in the fourth. Looking at the situation in the different sectors in China in 2007, primary industry output was up 3.7 percent to RMB 2.891 trillion ($400.4 billion), 1.3 percentage points lower than in 2006; meanwhile, secondary sector output was up 13.4 percent to RMB 12.1381 trillion ($1.6812 trillion), 0.4 of a percentage point higher; finally, the tertiary sector was up 11.4 percent to RMB 9.6328 trillion ($1.3342 trillion), up 0.6 of a percentage point.
1. Agriculture production continued to see stable development. The grain harvest in 2007 totaled 501.5 million mt, up 3.5 million mt or 0.7 percent over the 2006 level - the fourth successive year of growth in grain production.
2. Industrial output in China accelerated its growth rate in 2007, with enhanced profits for enterprises. The industrial output of major industrial enterprises with annual sales of more than RMB 5 million saw a rise of 18.5 percent year on year, i.e., 1.9 percentage points higher than in 2006.
In the January-November period of 2007, the aggregate profits of major industrial enterprises were up 36.7 percent year on year to RMB 2.2951 trillion ($317.9 billion), 6.0 percentage points more than a year earlier. Vehicle producers' profits soared 68.7 percent, followed by growth of 61.4 percent in the profits of special equipment producers. The profit increase rates for the chemicals, coal, steel and electric power industries were 51.5 percent, 49.1 percent, 47.2 percent and 39.0 percent respectively.
3. With fast growth in fixed assets investments, accelerated expansion was seen in real estate development. In 2007, China's fixed assets investments rose 24.8 percent year on year to RMB 13.7239 trillion ($1.9008 trillion), up 0.9 of a percentage point from 2006. Urban fixed assets investments were up 25.8 percent to RMB 11.7414 trillion ($1.6262 trillion), up 1.5 percentage points from the previous year.
4. Domestic market consumption grew fast in 2007. China's retail sales went up 16.8 percent to RMB 8.921 trillion ($1.2356 trillion), up 3.1 percentage points.
5. Rapid increase was seen in consumer prices, especially in housing prices. The consumer price index (CPI) was up 4.8 percent, 3.3 percentage points higher than in 2006. Food and housing prices were the major forces pushing up the general CPI level.
6. Chinese foreign trade volume accelerated its fast development trend, with a continuous increase seen in direct foreign investment. China's combined imports and exports in 2007 totaled $2.1738 trillion, up 23.5 percent year on year and down 0.3 of percentage point. In 2007 China's exports rose 25.7 percent to $1.218 trillion, 1.5 percentage points lower over the 2006 level; meanwhile, imports were up 20.8 percent to $955.8 billion, 0.8 of a percentage point higher than in 2006, resulting in a trade surplus of $262.2 billion for the year 2007, up $84.7 billion.
7. Remarkable improvements were achieved in both incomes and employment rates in 2007. Urban residents in China earned RMB 13,786 ($1,909) per capita in disposable income, up 17.2 percent year on year. Inflation-adjusted growth was 12.2 percent, 1.8 percentage points faster than in 2006. Rural residents saw their per capita income increase by 15.4 percent to RMB 4,140 ($573). After deducting price fluctuations, the real growth rate was 9.5 percent, 2.1 percentage points faster than the previous year.
8. Monetary supply saw rapid increase, accompanied by a considerable rise in loans. By the end of December, broad money M2 reached RMB 40.3 trillion ($5.58 trillion), up 16.7 percent year on year and down 0.2 of a percentage point over the previous year. Loans issued by financial institutions in 2007 showed an increase of RMB 3.6323 trillion ($503.1 billion), up RMB 448.2 billion ($62.1 billion) compared with the previous year.