12.2008

Major Economic Indicators

Notes: ¹ In real terms ² For all state-owned enterprises and other forms with annual sales over RMB 5 million
Sources: Tibet Statistical Yearbook 2007, 2008

General Background

With an area of more than 1.2 million square kilometers, Tibet takes up 1/8 of China's total area, but only has a population at 2.84 million in 2007. It is located in the southwest frontier of China, serving as an important gateway to South Asia. Tibet is an ethic minority autonomous region with the largest share of Tibetan.

Thanks to the abundant resources, Tibet has formed an industry structure of the following characteristics: tourism, Tibetan medicine, plateau special biology, handicrafts and mining are the industries with comparative advantageous. After the opening of the Qinghai-Tibet railway and the reopening of Natula trade pass on China-India border, service industries such as trade and transportation are likely to enjoy further development.

In Tibet's 11th five-year programme, besides continuing to expand its special industries such as tourism, Tibetan medicine and handicrafts, it will also focus on the development of infrastructure and improvement of public services.

Industries

Over the last decade, Tibet's tertiary industry developed rapidly with its share in GDP increased to 55.2% in 2007. But primary industry still plays an important role.

The share of industry remains relatively small in GDP. However, industrial products such as mineral products, medicine, Qingke barley wine, carpets and building materials have good reputation.

Composition of GDP (%)

Source: Tibet Statistical Yearbook 2008

Value-added Share of Leading Industry Groups (2007)

Source: Tibet Statistical Yearbook 2008

Tourism

With a long history and glorious culture, Tibet is famous for its beautiful natural scenery and unique folk-customs. There are a lot of natural scenic spots such as Namtso Lake, Great Gorges of Yarlung Zangbo River, Mount Everest etc. Cultural sceneries are also abundant, including Potala Palace, Jokhang, Die Koenigsgraeber and many ancient temples.

Foreign Trade

Major exports included light industry products, output of livestock products, traditional Chinese medicine and carpets. Major imports were motor vehicles and machinery products.

Due to Tibet's geographic location, border trade plays an important role, especially for the exports. In 2007, 75.3% of Tibet's exports were border trade.

Foreign Investment

According to the guidance for foreign investment in Tibet, priorities will be given to the following areas: infrastructure (such as transportation and communications), education, agriculture (plateau agriculture, water-conservative agriculture, food processing) and Tibetan medicine.

Consumer Market

In 2007, retail sales rose by 24.9% to RMB11.2 billion, annual per capita disposal income of urban households was RMB11,131 (+24.5%). Major consumer markets are located in Lhasa and Shigatse. The combined retail sales of consumer goods of these two cities accounted for 68.3% of Tibet's total.

Composition of Per Capita Expenditure of Urban Household (%)

Source: Tibet Statistical Yearbook 2008

Barkhor Street is a famous market for buying small commodities in Lhasa, where one can find various local products such as carpets, ethnic costumes, jewellry etc. Traditional shopping districts are around Jokhang Square, Barkhor Street and Beijing Road.

Economic Indicators of Major Cities (2007)

Notes: # For all state-owned enterprises and other forms with annual sales over RMB 5 million
Source: Tibet Statistical Yearbook 2008