Page 46 - 2015_SpecialReport_web
P. 46
5 Special Report on the State of Business in South China
2. Guangdong Province
Heart of the PRD Furthermore, the provincial government is also taking
steps to advance the nancial industry, setting a goal for this
Guangdong has the largest regional GDP of China’s prov- to be among the province’s “key industries” by 2015. In 2012,
inces and is the country’s biggest exporter, accounting for the province’s Financial Department released its “Overall Plan
more than one-third of China’s total foreign trade. e pro- of Guangdong Province in Establishing an Integrated Experi-
vincial capital, Guangzhou, is the heart of Cantonese culture. mental Area for Financial Reform and Innovation.” e Plan
Guangdong is also home to three out of four of China’s origi- suggests that added value in the nancial industry will account
nal special economic zones - Shenzhen, Zhuhai and Shantou. for more than 8 percent of provincial GDP by 2015, and this
is further estimated to reach more than 10 percent by 2020.
In terms of commerce, the cities of Guangdong lead not
only the PRD but in many cases the country as a whole, with Spotlight on Guangzhou’s Changing Identity
Guangzhou ranking number one in Forbes China’s “Best Traditionally considered only a manufacturing base,
Cities for Business 2013”. e city is actively supporting the
development of micro, small and medium-sized enterprises, Guangzhou is increasingly being recognized for its growing
such as via tax incentives introduced in a November 2012 amount of domestic consumption. From 2012, total retail
circular. sales in the city increased by 15.2 percent and reached RMB
688.285 billion. is enabled Guangzhou to take the top
Economy spot on Forbes China’s “Best Cities for Business” in 2013.
Growth in retail sales is largely being fueled by Guangzhou’s
Guangdong’s economy is estimated to have grown by 8.5 large population and high wages, as well as its e cient
percent in 2013 and reached a GDP output of more than infrastructure.
US$1 trillion last year according to Xinhua News Agency.
If Guangdong were a separate country, it would rank as the • Guangzhou is a city of 14 million people and the na-
world’s sixteenth largest economy, behind Mexico and South tion’s third-largest metropolitan economy.
Korea, and ahead of Indonesia and Turkey. Guangdong is
also taking action to shift its focus onto services rather than • In 2013, regional GDP totaled RMB1.542 trillion,
manufacturing. With average wages among the highest in the ranking third in the country, trailing Shanghai and
country there is a growing potential to reorient the provincial Beijing.
economy toward domestic consumption rather than exports
and cheap labor. • Among the highest in the country, average monthly
wages in Guangzhou grew to RMB 6647 in 2013.
e Pearl River Delta contributed 85 percent of Guang- Guangzhou’s monthly minimum wage rose by 19.2
dong’s economic growth in 2013 through the following lead- percent from RMB 1,300 to RMB 1,550 in 2014
ing industrial outputs: – the second highest in the province behind Shen-
zhen. Meanwhile, the city’s minimum hourly wage
1. Communications equipment, computers and other increased from RMB10.5 to RMB15.
electronic equipment
Guangdong’s strength in foreign trade is evident in the fol-
2. Electrical machinery & equipment lowing gures (from Guangdong Statistical Yearbook 2013):
3. Smelting and processing of metals
4. Raw chemical materials and chemical products • Total exports and imports rose to US$636.4 billion
5. Automobiles and US$455.2 billion, respectively, by 10.9 and 11
6. Plastics percent year-over-year
7. Petroleum re ning and nuclear fuel processing
8. Garments and footwear • Although exports had to face a 0.8% decrease in the
9. General purpose machinery rst ten months of 2014, Guangdong – China’s big-
10. Textiles
gest export region – realized an export value of US&
46 515.7 billion.From Januar to October 2014, imports
decreased 7.6% year on year to US% 349.2 billion.
• Nevertheless, Guangdong province was still ranked
tops for both export and import values nation wide.
2. Guangdong Province
Heart of the PRD Furthermore, the provincial government is also taking
steps to advance the nancial industry, setting a goal for this
Guangdong has the largest regional GDP of China’s prov- to be among the province’s “key industries” by 2015. In 2012,
inces and is the country’s biggest exporter, accounting for the province’s Financial Department released its “Overall Plan
more than one-third of China’s total foreign trade. e pro- of Guangdong Province in Establishing an Integrated Experi-
vincial capital, Guangzhou, is the heart of Cantonese culture. mental Area for Financial Reform and Innovation.” e Plan
Guangdong is also home to three out of four of China’s origi- suggests that added value in the nancial industry will account
nal special economic zones - Shenzhen, Zhuhai and Shantou. for more than 8 percent of provincial GDP by 2015, and this
is further estimated to reach more than 10 percent by 2020.
In terms of commerce, the cities of Guangdong lead not
only the PRD but in many cases the country as a whole, with Spotlight on Guangzhou’s Changing Identity
Guangzhou ranking number one in Forbes China’s “Best Traditionally considered only a manufacturing base,
Cities for Business 2013”. e city is actively supporting the
development of micro, small and medium-sized enterprises, Guangzhou is increasingly being recognized for its growing
such as via tax incentives introduced in a November 2012 amount of domestic consumption. From 2012, total retail
circular. sales in the city increased by 15.2 percent and reached RMB
688.285 billion. is enabled Guangzhou to take the top
Economy spot on Forbes China’s “Best Cities for Business” in 2013.
Growth in retail sales is largely being fueled by Guangzhou’s
Guangdong’s economy is estimated to have grown by 8.5 large population and high wages, as well as its e cient
percent in 2013 and reached a GDP output of more than infrastructure.
US$1 trillion last year according to Xinhua News Agency.
If Guangdong were a separate country, it would rank as the • Guangzhou is a city of 14 million people and the na-
world’s sixteenth largest economy, behind Mexico and South tion’s third-largest metropolitan economy.
Korea, and ahead of Indonesia and Turkey. Guangdong is
also taking action to shift its focus onto services rather than • In 2013, regional GDP totaled RMB1.542 trillion,
manufacturing. With average wages among the highest in the ranking third in the country, trailing Shanghai and
country there is a growing potential to reorient the provincial Beijing.
economy toward domestic consumption rather than exports
and cheap labor. • Among the highest in the country, average monthly
wages in Guangzhou grew to RMB 6647 in 2013.
e Pearl River Delta contributed 85 percent of Guang- Guangzhou’s monthly minimum wage rose by 19.2
dong’s economic growth in 2013 through the following lead- percent from RMB 1,300 to RMB 1,550 in 2014
ing industrial outputs: – the second highest in the province behind Shen-
zhen. Meanwhile, the city’s minimum hourly wage
1. Communications equipment, computers and other increased from RMB10.5 to RMB15.
electronic equipment
Guangdong’s strength in foreign trade is evident in the fol-
2. Electrical machinery & equipment lowing gures (from Guangdong Statistical Yearbook 2013):
3. Smelting and processing of metals
4. Raw chemical materials and chemical products • Total exports and imports rose to US$636.4 billion
5. Automobiles and US$455.2 billion, respectively, by 10.9 and 11
6. Plastics percent year-over-year
7. Petroleum re ning and nuclear fuel processing
8. Garments and footwear • Although exports had to face a 0.8% decrease in the
9. General purpose machinery rst ten months of 2014, Guangdong – China’s big-
10. Textiles
gest export region – realized an export value of US&
46 515.7 billion.From Januar to October 2014, imports
decreased 7.6% year on year to US% 349.2 billion.
• Nevertheless, Guangdong province was still ranked
tops for both export and import values nation wide.
