Economic indicators good for Shanghai's growth

Shanghai's GDP extended its stable recovery in the first three quarters, in line with national economic growth, with almost all major indicators on the upswing.

The city's gross domestic product approximated 3.0867 trillion yuan (US$483.5 billion) in the first three quarters, an increase of 9.8 percent from the same period last year (calculated at comparable prices), according to the city's statistics bureau.

Compared with January-September 2019 before the shock of COVID-19, the figure this year still posted a rise. The two-year average growth in the period reached 4.6 percent.

Added value of the tertiary sector in January-September advanced 8.7 percent year on year, accounting for over 74 percent of the city's total value-added output. The secondary industry rose 13.1 percent, while the primary industry fell 4.7 percent.

Industrial production grew strongly in the first three quarters, lifted by the robust strategic emerging industries, the bureau said.

In the first nine months, value-added industrial production in the city swelled 15.2 percent from a year earlier, and was up 6.3 percent on average over the past two years.

Of the 35 major industrial sectors, production in 29 sectors achieved expansion.

Among them, special equipment manufacturing, the automobile manufacturing industry, and electrical machinery and equipment manufacturing led the growth, with output value soaring by 27.1 percent, 24.6 percent and 22 percent year on year respectively.

The strategic emerging industrial sectors, as highlighted, contributed production of nearly 1.12 trillion yuan in the nine-month period, surging 15.9 percent year on year and posted an average increase of 11.8 percent over the previous two years.

The bureau also noted the steady recovery in the service sector, especially led by robust growth in information services – a ballooning modern industry greatly driven by the city's progress in digital transformation in recent years.

Information transmission, software and information technology services, the wholesale and retail sector, the financial industry, and real estate were among the fastest-growing sectors.

The bureau also noted that market vitality remained at a high level in the first three quarters, with around 374,000 businesses newly set up in the city, among which leasing and commercial services, sci-tech services, and the wholesale and retail sector posted the largest number of new companies.

Meanwhile, private sector investment in Shanghai surged more than 15 percent year on year, 5.5 percentage points faster than the national level and 5.9 percentage points faster than the city's fixed asset investment – also a proof of a vigorous market.

Foreign investment also perked up in the period, which can be attributed to the city's unceasing efforts to optimize the business and investment environment.

Statistics from Customs showed that the city's total imports and exports of goods totaled 2.92 trillion yuan in January-September, jumping 15.4 percent year on year. Of this total, imports soared 19.1 percent to 1.81 trillion yuan, while exports grew 9.9 percent to 1.11 trillion yuan.

Foreign direct investment in the city actually attained US$17.85 billion, rocketing 15 percent from the same period last year and an average increase of 10.5 percent over two years.

Of this total, the paid-in value of FDI in the tertiary sector went up 17 percent, accounting for 96.1 percent of the city's total.

Shanghai's financial market kept flourishing in the nine months, the bureau said. Turnover in the city's financial market added up to nearly1.84 quadrillion yuan, up 6.4 percent from a year earlier.

Household income growth picked up as well, which to some extent also drove the consumer market and taxation. The employment situation was generally stable with 570,000 new jobs created, which has already over-fulfilled the full-year target.