Economic Development in the First Quarter of 2014: Stable and Sound
National Bureau of Statistics of China
16 April 2014
Since the beginning of 2014, faced with complicated and severe economic environment at home and abroad, the Central Party Committee and the State Council have stood firm, launched their actions and made their efforts to take reforms and innovations, to transform and upgrade the economic development model, and to improve people’s well-being. As a result, the national economy has a stable and Sound start.
According to the preliminary estimation, the gross domestic product (GDP) of China in the first quarter of this year was 12,821.3 billion yuan, a year-on-year increase of 7.4 percent. The value added of the primary industry was 777.6 billion yuan, up by 3.5 percent year-on-year; that of the secondary industry was 5,758.7 billion yuan, up by 7.3 percent; and that of the tertiary industry was 6,285.0 billion yuan, up by 7.8 percent. The gross domestic product of the first quarter went up by 1.4 percent against the previous quarter.
1. Agricultural Production Remained Stable.
According to the planting intention survey conducted among more than 110 thousand rural households, the planting area for rice would go up by 0.15 percent; wheat down by 0.56 percent; corn up by 1.75 percent and cotton down by 6.77 percent. Currently, the growth of seedling was normal in main producing area. In the first quarter of this year, the total output of pork, beef, mutton and poultry reached 23.47 million tons, a year-on-year growth of 2.0 percent. The output of pork was 16.07 million tons, up by 3.5 percent.
2. Industrial Production Growth Dropped Slightly.
In the first quarter, the value added at comparable prices of the industrial enterprises above designated size was up by 8.7 percent year-on-year and 0.8 percentage point lower as compared with that of the same period of previous year. An analysis on different types of enterprises showed that the value added growth of the state-owned and state holding enterprises went up by 4.5 percent; collective enterprises up by 3.1 percent; share-holding enterprises up by 10.0 percent; and a 7.8 percent growth for enterprises funded by foreign investors or investors from Hong Kong, Macao and Taiwan provinces. The value-added growth for mining industry was up by 3.3 percent year-on-year; manufacturing up by 9.9 percent and the production and supply of electricity, heat, gas and water up by 4.5 percent. In terms of different areas, the growth in eastern, central and western regions was 8.1 percent, 8.9 percent and 10.4 percent respectively. Out of the 464 kinds of industrial products, 324 kinds registered year-on-year increases in output. In the first quarter, the sales ratio of industrial enterprises above designated size was 97.1 percent, or 0.1 percentage point lower than that in the same period of last year. The export delivery value of the industrial enterprises above designated size reached 2,577.3 billion yuan, up by 4.2 percent. In March, the total value added of the industrial enterprises above designated size was up by 8.8 percent year-on-year, or 0.81 percent month-on-month.
In the first two months of this year, the profits made by industrial enterprises above designated size stood at 779.3 billion yuan, up by 9.4 percent year-on-year. Specifically, the profits of primary activities reached 739.6 billion yuan, an increase of 8.4%. In the first two months, the costs for per-hundred-yuan turnover of primary activities of the industrial enterprises above designated size reached 85.18 yuan. The profit rate of industrial enterprises above designated size from their primary activities was 5.28 percent.
3. The Growth of Investment in Fixed Assets Slowed Down at High Level.
In the first quarter of 2014, the investment in fixed assets, excluding rural households, was 6,832.2 billion yuan, a year-on-year growth of 17.6 percent, or a real growth of 16.3 percent, and 3.3 percentage points lower as compared with that of the same period of the previous year. Of this total, the fixed assets investment in the state-owned and state holding enterprises reached 2,064.4 billion yuan, an increase of 14.5 percent; private investment reached 4,430.3 billion yuan, up by 20.9 percent, accounting for 64.8 percent of the total investment. In terms of different areas, the growth in eastern, central and western regions was 16.4 percent, 20.2 percent and 19.1 percent respectively. The investment in the primary industry reached 117.0 billion yuan, up by 25.8 percent year-on-year; that in the secondary industry was 2,825.4 billion yuan, up by 14.7 percent; and that in the tertiary industry was 3,889.8 billion yuan, up by 19.6 percent. The amount in place for investment in the first quarter of 2014 was 9,574.4 billion yuan, up by 12.8 percent. Specifically, the government budgetary funds went up by 18.2 percent, domestic loans increased by 15.3 percent, self-raising funds increased by 15.6 percent and foreign investment was down by 6.2 percent. The total planned investment in newly-started projects was 5,501.5 billion yuan, a year-on-year increase of 12.6 percent. In March, the investment in fixed assets, excluding rural households, went up by 1.24 percent month-on-month.
In the first quarter of 2014, the total investment in real estate development was 1,533.9 billion yuan, a year-on-year growth of 16.8 percent, or a real growth of 15.5 percent. Of this total, the investment in residential buildings went up by 16.8 percent. Floor space of houses newly started in the first quarter was 290.90 million square meters, down by 25.2 percent. Specifically, the floor space of residential buildings started in the first quarter dropped by 27.2 percent. The floor space of commercial buildings sold reached 201.11 million square meters, down by 3.8 percent. Of this total, that of residential buildings went down by 5.7 percent. The sales of commercial buildings in the first quarter was 1,326.3 billion yuan, down by 5.2 percent. Of this total, that of residential buildings was down by 7.7 percent. In the first quarter of this year, the land space purchased by real estate development enterprises was 59.90 million square meters, down by 2.3 percent. By the end of March, the floor space of commercial buildings for sale reached 521.63 million square meters, up by 22.9 percent. The actual funds for real estate development enterprises in the first quarter reached 2,873.1 billion yuan, up by 6.6 percent.
4. Market Sales Kept Steady Growth.
In the first quarter of 2014, the total retail sales of consumer goods reached 6,208.1 billion yuan, an increase of 12.0 percent (a real growth of 10.9 percent after deducting price factors). Specifically, the retail sales of the units above designated size stood at 3,027.5 billion yuan, up by 9.7 percent and the online retail sales of the units above designated size reached 81.5 billion yuan, up by 51.7 percent. Analyzed by different areas, the retail sales in urban areas reached 5,355.3 billion yuan, up by 11.8 percent, and that in rural areas stood at 852.8 billion yuan, up by 12.8 percent. Grouped by consumption patterns, the total income of catering industry was 646.5 billion yuan, up by 9.8 percent year-on-year; and retail sales of goods was 5,561.6 billion yuan, up by 12.2 percent. In particular, the retail sales of units above designated size reached 2,840.9 billion yuan, up by 10.3 percent. In March, the total retail sales of consumer goods grew by 12.2 percent year-on-year (a real growth of 10.8 percent after deducting price factors), or 1.23 percent month-on-month.
5. Exports Dropped.
The total value of imports and exports in the first quarter of 2014 was 5,902.2 billion yuan, or 965.9 billion US dollars, a year-on-year decrease of 1.0 percent. The total value of exports was 3,002.5 billion yuan, or 491.3 billion US dollars, down by 3.4 percent; and that of imports was 2,899.7 billion yuan, or 474.6 billion US dollars, up by 1.6 percent. The trade surplus was 102.8 billion yuan or 16.74 billion US dollars. In March, the total value of imports and exports was 2,031.4 billion yuan, or 332.5 billion US dollars, down by 9.0 percent year-on-year. The total value of exports was 1,039.2 billion yuan, or 170.1 billion US dollars, down by 6.6 percent; and that of imports was 992.3 billion yuan, or 162.4 billion US dollars, down by 11.3 percent.
6. Consumer Price Remained Stable.
In the first quarter of 2014, the consumer price went up by 2.3 percent year-on-year. Specifically, the price went up by 2.4 percent in cities and 2.0 percent in rural areas. Grouped by commodity categories, prices for food grew by 3.5 percent; tobacco, liquor and articles dropped by 0.7 percent; clothing up by 2.2 percent; household facilities, articles and maintenance services up by 1.3 percent; health care and personal articles grew by 1.1 percent; transportation and communication decreased by 0.2 percent; recreation, education, culture articles and services grew by 2.5 percent; and housing went up by 2.7 percent. In terms of food prices, that for grain grew up by 2.9 percent, oil or fat down by 5.1 percent, pork down by 6.6 percent and fresh vegetables up by 5.8 percent. In March, the consumer prices went up by 2.4 percent year-on-year, or down by 0.5 percent month-on-month. In the first quarter, the producer prices for industrial products decreased by 2.0 percent. In March, the price dropped by 2.3 percent year-on-year, or down by 0.3 percent month-on-month. The purchasing price for industrial producers was down by 2.1 percent year-on-year. In March, the price was down by 2.5 percent year-on-year, or 0.5 percent month-on-month.
7. Urban and Rural household Income Increased Rapidly.
In the first quarter of this year, the per capita cash income of rural households was 3,224 yuan, up by 12.3 percent year-on-year, or 10.1 percent in real terms. The per capita disposable income of urban households was 8,155 yuan, a year-on-year growth of 9.8 percent, or a real growth of 7.2 percent. According to the results of the integrated survey of urban and rural households carried out since the fourth quarter of 2012, the per capita disposable income nationwide in the first quarter of 2014 was 5,562 yuan, up by 11.1 percent, or a real rise of 8.6 percent. The median of per capita disposable income of national households was 4,694 yuan, up by 14.0 percent. The number of rural migrant workers in the first quarter was 169.33 million, increased by 2.88 million, up by 1.7 percent year-on-year. The average monthly income of migrant workers was 2,681 yuan, up by 10.1 percent.
8. Structural Adjustment Made Progress.
The industrial structure continued to be optimized. In the first quarter, the value added of the tertiary industry accounted for 49.0 percent of the GDP, 1.1 percentage points higher as compared with the same period of the previous year and 4.1 percentage points higher than that of the secondary industry. Domestic demand continued to make more contribution to the economy. In the first quarter, final consumption accounted for 64.9 percent of the GDP, 1.1 percentage points higher as compared with the same period of the previous year. The income gap between urban and rural households was further narrowed. In the first quarter, the real growth of per capita cash income of rural households was 2.9 percentage points higher than per capita disposable income of urban households. The per capita income of urban households was 2.53 times that of rural households, a decrease of 0.06 as compared with the same period of the previous year. Energy conservation and consumption reduction continued to make new achievements. In the first quarter, unit energy consumption against GDP decreased by 4.3 percent year-on-year.
9. Money Supply Kept Steady Growth.
By the end of March, the balance of broad money (M2) was 116.07 trillion yuan, a year-on-year growth of 12.1 percent; the balance of narrow money (M1) was 32.77 trillion yuan, up by 5.4 percent; and the balance of cash in circulation (M0) was 5.83 trillion yuan, up by 5.2 percent. The amount of outstanding loans of all financial institutions in the first quarter was 74.91 trillion yuan, while the amount of outstanding deposits of all financial institutions was 109.10 trillion yuan. In the first quarter, the newly increased loans reached 3.01 trillion yuan, an increase of 259.2 billion yuan; the newly increased deposits was 4.72 trillion yuan, a decrease of 1.39 trillion yuan year-on-year. In the first quarter, the total social financing reached 5.60 trillion yuan, or a decrease of 561.2 billion yuan year-on-year.
As a whole, the national economy in the first quarter of 2014 performed within a proper range with structural adjustment, economic transformation and upgrading continuing to make progress. However, we should keep in mind that the external environment remains complicated and volatile and the national economy still faces downward pressure. In the future, in accordance with the decisions and arrangements of the Central Party Committee and the State Council, we must fortify confidence to promote reform, stabilize growth by scientific control, and make unwavering efforts to adjust economic structure, transform development patterns and bring benefits to the people. We must create impetus by deepening reform, adjusting economic structure and improving people’s well-being in a bid to ensure a sustained and sound development of the national economy.
Notes:
1. The growth rate of gross domestic product, value added of industrial enterprises above designated size and its sub-items are real growth by using comparable prices. The growth rates of other indicators are nominal growth by using current prices unless otherwise specified.
2. According to the auto-revision function of the seasonal adjustment model, quarterly GDP of 2013 and the month-on-month changes of the value added of industrial enterprises above designated size, investment in fixed assets (excluding rural households), and total retail sales of consumer goods have been revised. The revised figures and figures for March as well as GDP of the first quarter of 2014 are as follows:
The quarter-on-quarter growth of GDP in each quarter of 2013 and in the first quarter of 2014 was 1.5 percent, 1.8 percent, 2.3 percent, 1.7 percent and 1.4 percent respectively.
| Month-on-Month Changes | |||
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| Value Added of Industrial Enterprises above Designated Size (%) | Investment in Fixed Assets (Excluding Rural Households) (%) | Total Retail Sales of Consumer Goods (%) |
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| 2013 March | 0.72 | 1.48 | 1.50 |
| April | 0.79 | 1.46 | 0.99 |
| May | 0.67 | 1.41 | 0.97 |
| June | 0.69 | 1.41 | 1.03 |
| July | 0.93 | 1.46 | 1.04 |
| August | 0.86 | 1.51 | 0.91 |
| September | 0.72 | 1.29 | 1.04 |
| October | 0.78 | 1.36 | 0.97 |
| November | 0.68 | 1.43 | 1.00 |
| December | 0.64 | 1.38 | 0.98 |
| 2014 January | 0.59 | 1.36 | 0.80 |
| February | 0.61 | 1.28 | 0.72 |
| March | 0.81 | 1.24 | 1.23 |
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3. Starting from 2012, the NBS implemented the new Industrial Classification for National Economic Activities (GB/T4754-2011). For more detailed information, please refer to: http://www.stats.gov.cn/tjsj/tjbz/hyflbz.
4. The eastern areas include 11 provinces and municipalities: Beijing, Tianjin, Hebei, Liaoning, Shanghai, Jiangsu, Zhejiang, Fujian, Shandong, Guangdong and Hainan; central areas cover 8 provinces: Shanxi, Jilin, Heilongjiang, Anhui, Jiangxi, Henan, Hubei and Hunan; western area include 12 provinces, autonomous regions and municipality: Inner Mongolia, Guangxi, Chongqing, Sichuan, Guizhou, Yunnan, Tibet, Shaanxi, Gansu, Qinghai, Ningxia and Xinjiang.
5. Industrial enterprises above designated size are industrial enterprises with annual revenue from primary activities over 20 million yuan.
6. Units above designated size in total retail sales of consumer goods include wholesale enterprises, retail enterprises and lodging and catering enterprises with annual revenue from principle business over 20 million yuan, 5 million yuan and 2 million yuan respectively. The online retail sales of the units above designated size refer to the retail sales of consumer goods conducted through Internet trading platforms (including self-made websites and third-party platforms).
7. In the fourth quarter of 2012, the National Bureau of Statistics (NBS) of China conducted the reform of integrated survey of urban and rural households, unifying the names, classification and statistical standards of urban and rural households and selecting 160 thousand urban and rural households across the country to conduct direct surveys. On its basis, per capita disposable income of national residents was calculated according to the new definitions which make urban and rural households comparable.
8. The median of per capita disposable income of urban and rural households refers to the per capita disposable income of households which lies in the middle of all surveyed households ranked from low to high on the basis of per capital disposable income level.
9. Data of imports and exports are from the General Administration of Customs; data of money supply and deposits and loans and social financing are from the People’s Bank of China.
10. Due to the rounding-off reasons, the subentries may not add up to the aggregate totals.
In case of any differences between English translation and the original Chinese text, the Chinese edition shall prevail.