This key data has rebounded for the first time in recent years!
In 2021, the added value of China's manufacturing industry accounted for 27.4% of GDP, an increase of 1.1 percentage points year-on-year. This is the first time in recent years that the proportion of manufacturing industry in China has rebounded, which is partly related to the incomplete recovery of the service industry affected by the epidemic, and also closely related to China's active promotion of high-quality development of manufacturing industry in the past two years.
In a workshop of an automobile manufacturing enterprise in Qingzhou City, Shandong Province,Workers arePerform welding operations. Photo by Wang Jilin (Zhongjing Vision)
The scale of China's manufacturing industry has been the first in the world for many years, and it plays an irreplaceable role in driving economic development and participating in international competition. It is worth noting that the proportion of China's manufacturing value added in GDP has dropped from 28.07 percent in 2016 to 26.29 percent in 2020. Although the decline in the proportion of manufacturing industry is a global phenomenon, compared with developed countries, the proportion of manufacturing industry in China shows the characteristics of premature and rapid decline, and in recent years in a state of trend decline, which should be highly vigilant.
To correctly analyze the reasons behind this phenomenon.
On the one hand, with the continuous improvement of industrial division of labor, non manufacturing links in traditional manufacturing will continue to separate and be divided into service industries, leading to a structural decline in the proportion of manufacturing.
On the other hand, in recent years, China's service industry has developed rapidly, especially the emerging industries driven by digital technology have become a strong driving force for the growth of the service industry. After experiencing a complete industrialization process, many developed countries may also experience a decline in the proportion of manufacturing industry. However, China is still a developing country, and the industrialization process has not yet ended. The industrial and supply chains are still at the mid to low end level. In this situation, the proportion of manufacturing industry is declining too quickly, and an important reason is the tendency to shift from reality to virtuality, that is, the development imbalance between manufacturing industry and virtual economy.
Maintaining a stable proportion of manufacturing industry has become an important issue at present. The 14th Five Year Plan and the 2035 Long Range Objectives emphasize the need to maintain a basic stability in the proportion of manufacturing industry; In the 2022 local government work reports, the proportion of manufacturing industry has also been frequently mentioned. The reason why we should attach great importance to maintaining the stability of the proportion of manufacturing industry is because manufacturing industry is the most important and fundamental part of the real economy, the lifeline of the national economy, and the foundation of building a country and a strong nation. Only when the manufacturing industry is stable can the real economy be stable.
In the production workshop of Jiangsu Lianyungang Zhongyuan Shipping Special Equipment Manufacturing Co., Ltd., workers are welding the reinforcing rings of LNG tank containers. Photo by Wang Jianmin (Zhongjing Vision)
The key to maintaining a stable proportion of manufacturing industry lies in continuously enhancing the resilience of the industrial and supply chains.In recent years, global economic development has faced downward pressure, and countries around the world have regained awareness of the important role of manufacturing in driving economic growth, creating employment opportunities, and other aspects. Many developed Western countries have proposed to revitalize their manufacturing industries, and China's manufacturing industry is facing dual pressure from developed and developing economies. Therefore, efforts should be made to maintain a stable proportion of the manufacturing industry and enhance the stability and competitiveness of the industrial and supply chains. We must vigorously forge long plates and consolidate and enhance the leading position of advantageous industries. Efforts should be made to fill in the gaps, deeply implement the industrial foundation reconstruction project, establish an independent, controllable, safe and reliable domestic production and supply system in areas related to national security, and ensure that the chain does not fall off at critical moments.
Maintain a stable proportion of manufacturing industry, with a focus on enhancing the core competitiveness of the manufacturing industry.China has the most sound industrial system in the world, with its manufacturing added value ranking first in the world for 11 consecutive years. Currently, China has embarked on a new journey to achieve the second centenary goal, and the comprehensive construction of a socialist modernized country has put forward new and higher requirements for the development of the manufacturing industry. In the new stage of development, maintaining a stable proportion of manufacturing industry should not solely pursue the growth of manufacturing scale, but should pay more attention to improving quality and efficiency. The digital transformation of manufacturing industry is a good lever to enhance competitiveness. We need to carry out pilot demonstrations of the integration of new generation information technology and manufacturing industry, cultivate the digital technology application capabilities of enterprises, promote the deep integration of advanced manufacturing industry and modern service industry, and develop service-oriented manufacturing. Strengthen the research and development of key core technologies, accelerate the construction of innovation ecosystems for key technologies and products, and promote the high-end, intelligent, and green development of the manufacturing industry.
Information source: Economic Daily
