Page 182 - 2020 White Paper on the Business Environment in China
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0 White Paper on the Business Environment in China
structural adjustments, improve people’s living exported about 19,000 excavators in 2018, almost
standards and guard against risks, the construction double that of the previous year. The report cited
machinery sector revenue grew by more than the BRI as a major driver for the momentum.
10 percent in 2019. The enhanced focus on Experts hold cautiously optimistic attitudes toward
research and development will help buoy profits. the industry development in 2020. Yang Shaohui,
The total revenue of key construction machinery an analyst with securities firm BOC International
companies reached US$14.53 billion during (China) Ltd, said the policy adjustment can
the first quarter of 2019, up 29.2 percent on a help underpin the demand of the construction
yearly basis. Profits of these companies rose 82.1 machinery industry, as the government aims
percent year-on-year to 8.75 billion yuan during to stabilize the infrastructure construction. He
the period. The construction machinery sector estimated excavator sales would remain at a high
is enjoying a robust period due to the growing level (Jing, Construction).
international competitiveness and the stable
growth of the Chinese manufacturing sector. Fixed Farm Equipment
asset investment growth has boosted the building
materials sector’s development. It will continue More efforts are being made to implement the
to be the primary driver of the building materials rural revitalization strategy aimed at modernizing
industry. The continued advancement of the agriculture. At the second session of the 13th
supply-side structural reform will help optimize the National People’s Congress, President Xi Jinping
industrial structure and provide new impetus for said there’s much room for development of
its development. The building material industry’s modern agriculture. Xi called for more efforts to
revenue grew by 15.3 percent year-on-year in the implement the rural revitalization strategy, with
first quarter of 2019, with overall profits rising the chief goal being to modernize agriculture and
13.6 percent on a yearly basis. During the period rural areas. “The top task for implementing the
China’s fixed asset investment stood at 10.19 rural revitalization strategy is to ensure supply of
trillion yuan, up 6.3 percent year-on-year and 0.2 important farm produce, grain in particular,” he
percentage point faster than the first two months said. Supply-side reform in the agricultural sector
this year. Infrastructure investment grew by 4.4 should be promoted to improve food security, as
percent in the first quarter, 0.1 percentage point the president indicated. Modern farming is still a
faster than the first two months. Infrastructure new concept for many of the local residents who
investment will continue to rise in the second have gone back to till the land. Many rural residents
in 2020 as China continues to see infrastructure who previously headed to cities for jobs had left
investment (Ouyang). scattered and untapped tracts of farmland. More of
the farm enterprises or cooperatives subsequently
Buoyed by the huge growth potential, adopted standardized practices that involved
construction machinery makers from China are mechanized planting and other modern methods.
making concerted efforts to cash in on market Land under the cooperatives enables farming by the
opportunities arising from the Belt and Road same standards under intensive management, the
Initiative (BRI). China proposed the BRI in 2013, same method of cultivating crops, the same seeds,
which consists of the Silk Road Economic Belt thus allowing for lower costs, making labor more
and the 21st Century Maritime Silk Road. There efficient, and boosting productivity. This also allows
is growing evidence, from companies and data, for more elderly people to get involved, including
that the initiative has started bearing fruit. In the earning income by working for the cooperatives
first two months of 2019, China’s nonfinancial during peak farming seasons. Many growers and
outbound direct investment in 48 economies producers are also adopting techniques to improve
participating in the BRI rose 7 percent year-on- food security, such as QR codes for tracking product
year to US$2.3 billion, data from the Ministry of dates and origins. Traceability and transparency are
Commerce showed. Buoyed by the initiative, the becoming central for consumer trust, with more
construction machinery sector delivered solid people having a huge interest in where and how
growth. A research report on China’s construction food is produced and growers building confidence
machinery industry showed that the nation had
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structural adjustments, improve people’s living exported about 19,000 excavators in 2018, almost
standards and guard against risks, the construction double that of the previous year. The report cited
machinery sector revenue grew by more than the BRI as a major driver for the momentum.
10 percent in 2019. The enhanced focus on Experts hold cautiously optimistic attitudes toward
research and development will help buoy profits. the industry development in 2020. Yang Shaohui,
The total revenue of key construction machinery an analyst with securities firm BOC International
companies reached US$14.53 billion during (China) Ltd, said the policy adjustment can
the first quarter of 2019, up 29.2 percent on a help underpin the demand of the construction
yearly basis. Profits of these companies rose 82.1 machinery industry, as the government aims
percent year-on-year to 8.75 billion yuan during to stabilize the infrastructure construction. He
the period. The construction machinery sector estimated excavator sales would remain at a high
is enjoying a robust period due to the growing level (Jing, Construction).
international competitiveness and the stable
growth of the Chinese manufacturing sector. Fixed Farm Equipment
asset investment growth has boosted the building
materials sector’s development. It will continue More efforts are being made to implement the
to be the primary driver of the building materials rural revitalization strategy aimed at modernizing
industry. The continued advancement of the agriculture. At the second session of the 13th
supply-side structural reform will help optimize the National People’s Congress, President Xi Jinping
industrial structure and provide new impetus for said there’s much room for development of
its development. The building material industry’s modern agriculture. Xi called for more efforts to
revenue grew by 15.3 percent year-on-year in the implement the rural revitalization strategy, with
first quarter of 2019, with overall profits rising the chief goal being to modernize agriculture and
13.6 percent on a yearly basis. During the period rural areas. “The top task for implementing the
China’s fixed asset investment stood at 10.19 rural revitalization strategy is to ensure supply of
trillion yuan, up 6.3 percent year-on-year and 0.2 important farm produce, grain in particular,” he
percentage point faster than the first two months said. Supply-side reform in the agricultural sector
this year. Infrastructure investment grew by 4.4 should be promoted to improve food security, as
percent in the first quarter, 0.1 percentage point the president indicated. Modern farming is still a
faster than the first two months. Infrastructure new concept for many of the local residents who
investment will continue to rise in the second have gone back to till the land. Many rural residents
in 2020 as China continues to see infrastructure who previously headed to cities for jobs had left
investment (Ouyang). scattered and untapped tracts of farmland. More of
the farm enterprises or cooperatives subsequently
Buoyed by the huge growth potential, adopted standardized practices that involved
construction machinery makers from China are mechanized planting and other modern methods.
making concerted efforts to cash in on market Land under the cooperatives enables farming by the
opportunities arising from the Belt and Road same standards under intensive management, the
Initiative (BRI). China proposed the BRI in 2013, same method of cultivating crops, the same seeds,
which consists of the Silk Road Economic Belt thus allowing for lower costs, making labor more
and the 21st Century Maritime Silk Road. There efficient, and boosting productivity. This also allows
is growing evidence, from companies and data, for more elderly people to get involved, including
that the initiative has started bearing fruit. In the earning income by working for the cooperatives
first two months of 2019, China’s nonfinancial during peak farming seasons. Many growers and
outbound direct investment in 48 economies producers are also adopting techniques to improve
participating in the BRI rose 7 percent year-on- food security, such as QR codes for tracking product
year to US$2.3 billion, data from the Ministry of dates and origins. Traceability and transparency are
Commerce showed. Buoyed by the initiative, the becoming central for consumer trust, with more
construction machinery sector delivered solid people having a huge interest in where and how
growth. A research report on China’s construction food is produced and growers building confidence
machinery industry showed that the nation had
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