SCIO briefing on development of industry and information technology in the first quarter of 2025

CMG:

The spokesperson mentioned that the industrial economy had a stable start in the first quarter. How do you assess the current performance of the industrial economy? And what other highlights deserve attention? Thank you.

Xie Shaofeng:

Thank you for your questions. I'll answer these. Just now, I mentioned that the industrial economy achieved a good start overall in the first quarter, serving as a solid ballast for stabilizing the macroeconomy. Overall, three main characteristics can be observed: steady progress in major indicators, quality improvement in key industries, and steady progress in major provinces and cities.

First, major indicators have shown steady progress. In the first quarter, the added value of industrial enterprises above designated size increased by 6.5% year-on-year. The share of equipment manufacturing industry and high-tech manufacturing industry in industrial enterprises above designated size increased by 1.9 and 0.5 percentage points year on year, respectively, and the industrial structure continued to be optimized. Exports of industrial products remained resilient, rising by 6.9% year on year, with exports of electromechanical products up 8.7%. The transformation and development of enterprises accelerated, with investment in technological upgrades in industries such as food, chemicals and non-ferrous metals achieving double-digit growth. The number of business entities continued to grow. As of the end of February, the number of industrial enterprises above designated size increased by 7,000 compared with the end of last year.

Second, key industries have maintaining stability while improving quality. The equipment manufacturing industry was a key driver, with the added value increasing by 10.9% year on year in the first quarter, contributing 3.5 percentage points to overall industrial production growth. With the implementation of major national strategies and the enhancement of security capacity in key areas and the support policies on large-scale equipment upgrades and consumer goods trade-in programs, the added value of industries such as electronics, automobiles and electrical machinery and equipment achieved growth of more than 10%. The performance of the raw materials manufacturing industry significantly improved, with profits rising 15.3% year on year in the first two months, while profits in the non-ferrous metal industry increased by more than 20%. The added value of the consumer goods manufacturing industry grew steadily. Driven by the holiday season and strong market demand, production in the agricultural and sideline products, textiles and other industries accelerated, with the growth rate of the chemical fiber weaving, dyeing and finishing industries exceeding 10%.

Third, major provinces and cities have improved steadily. Regions took early action, with many holding their "First Meeting of the New Year" and stepping up efforts to strengthen policy support, promote project implementation, facilitate supply and demand connections, and enhance enterprise services. Key regions played a prominent role, fully assuming a leading position. The industrial added value above designated size in 31 provinces recorded positive growth, with many major industrial provinces such as Zhejiang, Fujian, Jiangsu and Shandong seeing growth rates above 8%. Profits of industrial enterprises above designated size in major industrial provinces such as Hubei and Henan achieved double-digit growth. Industrial growth in major industrial cities such as Yantai and Dalian also reached double digits.

At present, China's industrial economy maintains a positive development trend, and we have the capability, confidence, and determination to address various complex situations. Moving ahead, we will thoroughly implement the guiding principles of the Central Economic Work Conference, and fully execute the tasks outlined in the government work report. We will focus on expanding demand, cultivating momentum, stabilizing expectations, preventing risks, and stimulating vitality to continuously improve the quality and efficiency of industrial economic operations and consolidate the positive recovery trend. Thank you.