In the first half of this year, the GDP of the Beijing-Tianjin-Hebei region totaled 3,819.86 billion yuan (about US$572.58 billion or $1.15 trillion annualized), accounting for 10 percent nationwide GDP, according to data released by Beijing municipal authority of statistics.
Beijing, Tianjin, and Hebei Province each achieved regional GDP of 1,240.68 billion yuan, 938.69 billion yuan, and 1,640.49 billion yuan respectively, increasing by 6.8 percent, 6.9 percent and 6.8 percent year-on-year respectively.
The per capita GDP of Beijing soared 40.2 percent from 82,000 yuan ($12,065) in 2011 to 115,000 yuan ($16,920) in 2016. In 2015, while Guangzhou’s per capita GDP was 134,000 yuan, Foshan’s was already 108,000 yuan. While Shanghai’s per capita GDP was 103,000 yuan in 2015, Hangzhou saw its number overtake Shanghai’s to reach 112,000 yuan.
The region’s overall growth was driven by the growth of its high-tech industries. The added value created by high-tech industries at or above the designated scale (annual turnover reaching 20 million yuan) in Beijing rose by 11.6 percent year-on-year and contributed to 48.5 percent of the industry’s growth.
The added value of strategic emerging industries above the designated scale in Tianjin grew by 8.2 percent on a yearly basis, and that of high-tech manufacturing industry increased by 12.9 percent, driving industrial growth by 1.6 percentage points.
In Hebei Province, the modern service industry has gained momentum and the value added in service industry accounted for 41.7 percent of regional GDP. Meanwhile, the year-on-year growth of added value created in equipment manufacturing industry stood at 15.6 percent, which contributed to 77 percent of the above-scale industrial growth.
At the same time, the Beijing-Tianjin-Hebei region has seen vigorous activities in innovation. Data shows that the gross revenue of high-tech enterprises above certain scale in Beijing’s Zhongguancun demonstration area jumped 16.7 percent in the first half of this year, of which the advanced manufacturing and environmental protection technology sector registered a revenue growth of over 20 percent.
The outlook for the Chinese economy typically dominates the outlook for Asian equities. This is for good reason: it is the largest economy in the region – the second largest globally. Historically, the plights of the nine other economies that make up the “Asian 10” have often closely mirrored that of China, save perhaps, India.
The outlook for the Chinese economy has improved noticeably over the past 18 months. Fears of a hard landing and significant devaluation have receded and there is greater investor faith that its economy has stabilised, with nominal GDP growth steadily picking up over the last year.
Leading indicators suggest the worst is indeed behind China. The Asian powerhouse’s GDP grew at an annual pace of 6.9% in the first quarter of 2017, a notch higher than analysts’ consensus expectations.
Singapore’s economy posted faster growth in the second quarter than previously estimated by the government as a recovery in global trade helped to buoy manufacturing. Gross domestic product rose a seasonally-adjusted and annualized 2.2 percent in the second quarter from the previous three months, the Ministry of Trade and Industry said on Friday, revising its earlier estimate of 0.4 percent. As one of Asia’s most trade-dependent countries, Singapore has benefited from a recovery in global trade since late last year, led by strong Chinese demand for electronics and other manufactured goods. The economy is likely to grow 2.5 percent in 2017.