11.2008

Major Economic Indicators

Notes: ¹ In Renminbi real terms   ² For all state-owned and other forms of enterprises with annual sales over RMB 5 million
³ Jan-Aug 2008
Sources: Guangxi Statistical Yearbook 2008, China's Customs Statistics 8.2008

General Background

Guangxi Zhuang Autonomous Region - abbreviated as Gui - is situated on the coast of the Beibu Gulf.  It assumes an important role in the Western Region Development Program, especially as a hub of sea transportation.

Guangxi's total population stood at 50 million in 2007. Ethnic minorities account for 38.9% of Guangxi's total population.

Guangxi is rich in natural resources.  Among the 96 kinds of mineral deposits found in the Region, the deposits of tin, manganese, antimony and lime are the largest in China. Besides, Guangxi is also rich in timber and forestry resources.

Guangxi produces a large number of cash crops, including sugarcane, palm-oil seeds, bananas, pineapple and rosin. Among them, output of sugarcane and fruits is the largest in the country.

Industries

The primary sector accounted for over 20% of the GDP.  While the coast of the Beibu Gulf is a leading fishery and fish farming area, sugarcane plantation is also an important industry in Guangxi.

Composition of GDP (%)

Source: Guangxi Statistical Yearbook 2008

A marked share of Guangxi's industrial production is related to the Region's rich mineral deposits and agri- and aquacultural outputs, such as sugarcane and food processing, nonferrous metal, etc.  Machinery industry is another major sector including automobiles, heavy mining machinery, electrical & electronics, instruments & apparatus, standard parts and component. Given its coastal location, the Region has also developed a strong chemical and oil refinary sector in recent years.

Value-added Share of Leading Industry Groups (2007)

Source: Guangxi Statistical Yearbook 2008

For services industry, the top 3 sectors in terms of added value were : wholesale & retail trade (contributing 22.3% to the total value-added of services industry), transportation storage & postal services, and real estate. Guangxi is planning to capitalise on its location advantage to develop into a trade and logistic centre for the free trade region of ASEAN and China.

Tourism

The beautiful landscapes and colorful ethnic culture make Guangxi one of China's well-known tourist spots. There are more than 3 state-level scenic spots and 7 state-level historical & cultural protection units in Guangxi.   Among which,  the "Lijiang Scenes" in Guilin and the Beihai Silver Beach are the most famous attractions.

In 2007, Guangxi received 85.5 million (+15.5%) domestic tourists with tourism receipts of RMB40.2 billion (+20.4%).  The region also received 2.1 million (+23.5%) overseas tourists with foreign exchange income of RMB4.2 billion (+33.4%). Visitors from Hong Kong, Macao & Taiwan increased by 24.5% to 805 thousand in 2007.

Foreign Trade

Major exports were mechanical & electrical products, garments and clothing, porcelain and pottery wares, rolled steel and spin yarn, fabrics & the products.  Hong Kong was the 3rd largest export market in 2007 after Vietnam and the US.  Guangxi's export to Hong Kong hit US$418 million in 2007(+10.4%).

Major import goods included soybean, iron ores, petroleum products refined etc.  Imports mainly come from Vietnam, Australia, the US and India. Guangxi's import from Hong Kong reached US$52 million in 2007 (+29.2%).

The China-ASEAN Expo is a major annual event and Guangxi is aiming to leverage on its geographic location in bridging trade and investment flows between China and ASEAN.

Foreign Investment

Foreign direct investments mainly involved in manufacturing and construction sectors.  Besides, FDI are also encouraged in the sectors of primary industries, hi-tech industries, building materials, agriculture development projects and technology upgrade of existing manufacturing enterprises.

FDI in Guangxi

Source: Guangxi Statistical Yearbook 2008

In 2007, utilized foreign capital from Hong Kong amounted to US$160 million, up by 2.6% from 2006. Hong Kong was still the largest source of foreign investment in Guangxi. Major investors include China Light and Power and New World Infrastructure. Other major sources of investment included Singapore, Taiwan British Virgin Islands and the US. 

Consumer Market

Retail sales of consumer goods rose by 18.6% to RMB189.8 billion in 2007.  Major consumer centres are located at Nanning, Liuzhou and Guilin, accounting for 27.2%, 14.4% and 11.9% of the region's total retail sales respectively. Annual per capita disposal income of urban households reached RMB12,200 (+23.2%).
 
With continued rises in income and economic reforms, Guangxi's consumer expenditure pattern is also undergoing structural change.  With the share of food declined, the expenditures on services, in particular transportation and communications has gained in relative share.

Composition of Per Capita Consumption of Urban Household (%)

Source: Guangxi Statistical Yearbook 2008

The retail landscape is also changing. Besides traditional department stores, various forms of operations such as chain stores, supermarkets and hypermarkets and convenience stores are gaining popularity in Guangxi, both from domestic and foreign investors. Major department stores and shopping centres in Guangxi include Nanning Department Store, Guilin Department Store Shareholding Corp. Ltd., and Liuzhou Industrial & Commerce Building Shareholding Corp. Ltd. Investors from outside Guangxi include Beijing Hualin, Wal-mart and Wangfujing Department Store.

Economic Indicators of Major Cities (2007)