China at a glance 2011

Transcription

1 China at a glance 2011 GDP PPP Growth rate Per capita Value US$11.29 trillion 9.2% US$8,400 Ranking Labor force Imports Exports Value million US$1.74 trillion US$1.90 trillion Ranking Source: CIA World Factbook.

2 GDP (PPP) share of world total China vs. U.S., Percent U.S. China Source: IMF World Economic Outlook. Note: Shaded area are estimates.

3 China s GDP growth less-export driven Percent Final consumption Gross capital formation Net exports of goods and services E Source: CEIC, CLSA Asia-Pacific Markets.

4 FDI inflows: China vs. BRI countries Share of world total, Percent China Source: United Nations Conference on Trade and Development. Brazil, Russia and India combined

5 Ease of doing business in China Rankings of 30 Chinese cities, 2008 Lanzhou Starting a business: 29 Registering property: 29 Enforcing contracts: 30 Shanghai Starting a business: 5 Registering property: 1 Enforcing contracts: 4 Chongqing Starting a business: 17 Registering property: 9 Enforcing contracts: 8 Guangzhou Starting a business: 3 Registering property: 2 Enforcing contracts: 1 Source: World Bank.

6 Major concerns of U.S. companies in China USCBC member company survey, 2011 Rank Issue 1 Human resource: Talent recruitment and retention 2 Administrative licensing, business and product approvals 3 Cost increases 4 Competition with state-owned enterprises 5 Intellectual property rights enforcement 6 Standards and conformity assessment 7 Restriction on inbound foreign investment 8 Transparency 9 Equal treatment with Chinese enterprises 10 Market access in services Source: The U.S.-China Business Council.

7 Earnings grow fast over past decade Per capita annual disposable income in China, RMB 25,000 20,000 Urban Rural 15,000 10,000 5, Source: National Bureau of Statistics of China.

8 Composition of household consumption Urban households in China, 2010 Residence 9.9% Health care and personal articles 6.5% Clothing 10.7% Recreation, education and cultural pursuits 12.1% Other 10.4% Food 29.4% Transportation and communications 14.7% Source: National Bureau of Statistics of China.

9 Share of consumption expenditures by income percentile Urban families in China, 2010 Percent Household income percentile Source: National Bureau of Statistics of China. Food Transportation and communication

10 Wage grows fast in state-owned enterprises Average wage in urban units, China, RMB 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 0 State- owned Units Units with Funds from Hong Kong, Macao & Taiwan Foreign Funded Units Source: National Bureau of Statistics of China.

11 Services are gaining momentum Contribution to Chinese GDP growth by sector Percent 120 Agriculture Industry Services Sources: National Bureau of Statistics of China, CIA World Factbook.

12 Small enterprises in China are underserved by corporate banks Percent ~5.1 million 770 million RMB33.5 trillion RMB34.4 trillion Large enterprises Midsize enterprises Small enterprises 0 Number of enterprises Number employed GDP Bank loans Source: McKinsey Quarterly March 2011.

13 Banking sector dominated by domestic names Top consumer brands in China Rank Bank Country of origin 1 ICBC China 2 China Construction Bank China 3 Bank of China China 4 Agricultural Bank of China China 5 China Merchants Bank China Source: Credit Lyonnais Securities Asia.

14 Many consumer products are dominated by U.S. brands Top consumer brands in China: beauty and PC products Beauty PC Rank Brand Country of origin Rank Brand Country of origin 1 Head & Shoulders US 1 Lenovo China 2 Rejoice US 2 IBM US 3 Olay US 3 HP US 4 Maybelline US 4 Dell US 5 Pantene US 5 Apple US Source: Credit Lyonnais Securities Asia.

15 Majority of China s foreign investors are Asia-based Newly approved foreign investment projects by investor region* E.U. 6.5% Other 14.8% U.S. 5.8% E.U. 6.2% Other 7.6% U.S. 8.5% Total: 44,001 Asia 70.2% Total: 27,406 Asia 80.5% * Investment made through free ports was counted by origin region in 2010 but was considered as from other regions in Source: Ministry of Commerce of the People s Republic of China.

16 Cultural and linguistic proximities matter Realized FDI by investor region* Other 38.6% Hong Kong 29.8% Japan 4.0% USA 3.8% South Korea 2.5% Other 14.1% Taiwan 3.6% Singapore 5.4% South Korea 8.6% USA 5.1% Total: US$60 billion Japan 10.8% Singapore 3.7% Taiwan 6.3% Total: US$106 billion Hong Kong 63.8% * Investment made through free ports was counted by origin region in 2010 but was considered as from other regions in Source: Ministry of Commerce of the People s Republic of China.

17 Soaring investment in FDI projects While the actual number of projects went down in China Thousands Approved FDI projects (L) Realized FDI (R) US$ billions Source: Ministry of Commerce of People s Republic of China.

18 Share of total FDI by investment type China Percent 100% 80% Realized FDI FDI Projects % 40% 20% 0% Equity joint venture Contractual joint venture Wholly foreignowned enterprise Share company with foreign investment Equity joint venture Contractual joint venture Wholly foreignowned enterprise Share company with foreign investment Source: Ministry of Commerce of People s Republic of China.

19 Nearly half of FDI went into manufacturing Realized FDI in China, 2010 Wholesale and retail trades 6% Leasing and business services 7% Other 17% Manufacturing 47% Real estate 23% Source: National Bureau of Statistics of China.

20 Purchasing price index for raw materials, fuels and power China Index Source: National Bureau of Statistics of China.

21 Taxes paid by FIEs grew faster than realized FDI China Index (1994 = 100) 4100 Income tax collected from foreign investment enterprises Cumulative realized FDI Sources: Ministry of Commerce, State Administration of Taxation of the People s Republic of China.

22 Business concerns regarding intellectual property in China USCBC member company survey, 2010 Percent * 40% 35% 30% 25% 20% 15% 10% 5% 0% Patents Trademarks Trade secrets Product Counterfeit technology products Brands Copyrights Software * Percentage of respondents expressing concerns over each type of IPR. Source: The U.S.-China Business Council.

23 Patent applications granted in China By type, 2010 Inventions 11% Utility Models 46% Designs 43% Source: National Bureau of Statistics of China.

24 Labor disputes at outsourced firms make big news In 2010, serial suicides at Apple s supplier Foxconn caused damage to the American company s global reputation.

25 Ethnic conflicts may be a risk factor Chinese Tai Turkic Burmic Manchu-Tungus Tibetan Mongolian Hmong-Mien Korean Mon-Khmer Tajik Bai Tujia Sparsely populated Uninhabited Source: Encyclopedia Britannica, Inc.

26 Rural population in China has been shrinking over the past 15 years Year on year change of population by residence, Millions Rural -10 Urban Source: National Bureau of Statistics of China.

27 Urbanization accelerates in China Urban population as percent of total population, Percent Source: World Development Indicators. High-income countries World China 78% 51% 45%