City shows steady recovery despite global environment

Shanghai's economic performance showed resilience with GDP growth of 6 percent in the first three quarters of 2023.

According to the Shanghai Bureau of Statistics and the Shanghai Survey Organization of the National Bureau of Statistics, the city achieved a regional GDP of 3.302 trillion yuan (US$451.278 billion) for the period from January to September. This represented a year-on-year growth of 6 percent at comparable prices.

Despite the complex international environment, the city has demonstrated steady recovery and improvement in various sectors.

The focus on promoting high-quality development, technological innovation and industrial upgrading has driven growth and positioned Shanghai for achieving its annual economic and social development goals, according to the bureau.

Robust performance were seen across all sectors. The added value of the primary sector increased by 2.1 percent, amounting to 5.642 billion yuan, while the secondary sector experienced a growth of 4.2 percent, with total output reaching 795.357 billion yuan.

The tertiary industry sector outshone the rest, with a staggering 6.6 percent increase in added value to reach 2.501 trillion yuan.

As for industries, the city's industrial production has shown signs of recovery throughout the year, with the value-added industrial output of enterprises above the designated size rising 3 percent from a year earlier.

Notably, the production growth of new products such as semiconductor storage disks, new-energy vehicles, and 3D printing equipment recorded impressive figures of 120 percent, 42.7 percent and 29.4 percent, respectively.

The service industry has also made steady progress, with significant growth in various sectors.

The added value of the accommodation and catering industry surged by 28.7 percent year on year to top 30.88 billion yuan.

Additionally, transportation, warehousing and postal services posted an increase of 12 percent, while leasing and business services achieved 11.9 percent growth. Information transmission, software and information technology services also reached 303.516 billion yuan, up 11.7 percent.

Fixed asset investment has also played a vital role in Shanghai's economic growth, which soared by 25 percent in the first nine months. Among major areas, investment in industrial sectors grew 14 percent, real estate development investment surged 25.3 percent, while urban infrastructure investment up by 15.2 percent.

Looking at market consumption, the city's total retail sales of consumer goods added up to 1.378 trillion yuan, reflecting a significant year-on-year growth of 16.1 percent.

Specifically, sales in the accommodation and catering industry saw an impressive surge of 39.6 percent, signaling a strong recovery in the sector. Also of note, retail sales of clothing, footwear and textiles jumped by 24.9 percent compared to the same period last year.

Despite the challenges posed by the international environment, Shanghai's financial operations remained stable, with growing market trading volume, according to the bureau.

The average year-on-year growth of the monthly balance of deposits and loans in local and foreign financial institutions reached 7.3 percent and 7.8 percent respectively. The city's major financial market transactions in January-September amounted to 2.546 quadrillion yuan, up by 15 percent from a year earlier.

In terms of international trade, the city's goods imports and exports maintained steady growth, approximating 3.167 trillion yuan for the first three quarters, reflecting a year-on-year increase of 2.7 percent. Notably, the exports of electric passenger cars, lithium batteries and solar cells, rocketed by 91.8 percent, 66 percent and 21.7 percent, respectively, compared to the same period last year.

As for the labor market, meanwhile, it posted stable employment and a steady increase in residents' incomes.

The average surveyed urban unemployment rate for the first three quarters was 4.7 percent, 0.1 percentage points lower than the first half of the year. The per capita disposable income of residents in the city increased by 7.1 percent year on year, with urban residents posting a 7 percent growth and rural residents an 8.3 percent increase.