Chinese economy experiences profound structural changes over past 7 decades: report

A worker operates a robot in a company producing electric mechanical products in Langfang, Hebei province. (Photo/Xinhua)

Since 1949, China has gone through profound changes in its industry and demand structures and substantially promoted its economy, according to a report issued by the country’s National Bureau of Statistics (NBS) earlier this month.

The added-value of the service sector accounted for 52.2 percent of China’s total GDP in 2018, up 23.5 percentage points than that in 1952. 46.3 percent of the country’s workforce was employed in the tertiary industry, 37.2 percentage points higher than that in 1952.

The service sector contributed to 59.7 percent of China’s economic growth, 23.6 percentage points higher than that of the secondary industry, said Du Xishuang, head of the Department of Service Statistics under the NBS.

The upgraded industrial structure, together with new technologies such as e-commerce and supply chain, facilitated the growth of emerging services. For example, the country handled a total of 50.7 billion express parcels in 2018, up 26.6 percent year-on-year.

China’s reform in trade structure has also made progress. Primary products accounted for more than 80 percent of China’s exports back when the country was founded. However, the proportion dropped to 5.4 percent and that of manufactured goods increased to 94.6 percent last year.

Meanwhile, the consumption potential of China was further unleashed, with consumption contributing 76.2 percent to economic growth last year.

“Approximately 140 million Chinese families of three enjoy an annual income of between 100,000 and 500,000 yuan, meaning they can afford cars, houses and leisure travel, which projects promising market potential,” said Ning Jizhe, head of NBS.