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SCIO press conference on the development of industry and information technology in 2023

China.org.cn | February 1, 2024

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CCTV:

As Mr. Xin just mentioned, in 2023, the industrial economy witnessed the momentum of recovery, and the information and communications sector achieved a smooth and rapid growth. Please give an overview of the development of the industrial sector and the information and communications sector in 2023. Thank you.

Xin Guobin:

Thank you. 2023 has been an extraordinary year for China. The MIIT earnestly implemented the spirit of the Central Economic Work Conference and the national meeting on pushing forward new industrialization. In accordance with the arrangements and requirements of the CPC Central Committee and the State Council, we advanced our work while maintaining stability. The industrial economy steadily recovered despite fluctuations, showing greater development resilience. The five most prominent aspects are as follows: 

First, industrial production was stabilized and accelerated. In 2023, the added value of industrial enterprises above designated size grew 4.6% year on year. Key sectors showed an overall improvement in production. Out of the 41 major industrial categories, 28 maintained growth. Ten key sectors stabilized fundamentals and realized an average growth of more than 5%, higher than the national average growth of added value of industrial enterprises above designated size, providing strong support for the overall improvement of the industrial economy. Industries, such as electrical machinery and equipment and automobiles, realized double-digit growth in production, all surpassing 10%. The added value of industrial enterprises above designated size in the auto sector rose 13%. Traditional industries, such as steel, nonferrous metals, and petrochemicals, picked up in terms of speed of recovery. The electronics industry bottomed out and realized a 3.4% annual growth, which wasn't easy. 

Second, the industrial economy steadily recovered in most provinces. All regions paid great attention to the development of manufacturing. Guangdong promoted manufacturing as the backbone of development. Shandong prioritized the industrial economy. Most provinces saw year-on-year growth in industrial added value, with the proportion of provinces seeing a growth nearly 20% higher than in 2022. Ten major industrial provinces played a stronger leading role, and all realized year-on-year growth in production. In eight of the 10 major industrial provinces, the growth rate of added value of industrial enterprises above designated size was higher than the national growth rate. Provinces such as Jiangsu, Shandong, and Anhui saw growth of more than 7%. 

Third, the performance of enterprises steadily recovered. As of the end of November 2023, the proportion of industrial enterprises above designated size suffering losses continued to fall for eight straight months starting April; the growth rate of operating revenue of industrial enterprises above designated size rose for five consecutive months; and the profits of industrial enterprises above designated size realized growth for four months in a row starting August. This provided a strong support for enterprises to expand investment in innovation and realize reproduction. 

Fourth, industrial investment was stabilized and progress was made. Industrial fixed assets investment maintained growth, up 9% year on year, while China's total investment in fixed assets grew by 3%. The growth of investment in manufacturing has accelerated since August 2023. Investment in industries such as automobile, electrical machinery and equipment, chemical, and nonferrous metals, saw two-digit growth, all surpassing 10%. These investments will boost future development – today's investment will yield benefits tomorrow. 

Fifth, market expectations were stabilized and improved. As of the end of November 2023, the number of industrial enterprises above designated size reached 483,000, 32,000 more than that at the end of 2022. Business entities continued to expand and thrive. The manufacturing PMI (an index tracking production and operating activities) rose for three straight months since October 2023 and has always remained higher than 50-point mark throughout the year, showing manufacturers' steadily recovered confidence in development. 

Meanwhile, the information and communications sector also developed rapidly. In 2023, the telecommunication sector saw revenue up 6.2% year on year and an increased business volume of 16.8%, offering major support to empower economic growth. 

Network infrastructure continued to improve. A total of 3.377 million 5G base stations have been built. The number of gigabit network ports reached 23.02 million. The foundation of the Internet of Things (IoT) has been increasingly solidified. The mobile IoT end users accounted for 57.5% of all mobile network terminal connections. Tech industries developed innovatively. Customized 5G base stations and lightweight 5G technologies have been commercialized. We launched the world's first smartphone with a satellite calling function and our capacity for scientific and technological innovation in 6G, quantum communication, and artificial intelligence has been built up rapidly. 

The empowering effect became increasingly prominent. 5G technology has been applied in 71 major categories of the national economy. More than 10,000 programs saw the integration of 5G and the industrial internet. The pilot application in key areas such as culture and tourism, medical care, and education helped revive and boost consumption. 

Inclusive services were deepened. More than 80% of administrative villages in China have gained 5G access. A total of 2,577 websites and applications frequented by the elderly and the people with disabilities were renovated and upgraded. We intercepted 54 billion harassment calls during the year and publicly disclosed 1,861 illegal applications to continue to protect users' rights and interests. 

The ability to ensure cyber and data security was further enhanced. We continued to improve the capability to prevent major risks threatening the basic telecommunications network. The protection of industries' key infrastructure was enhanced significantly.

In 2024, the MIIT will take Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era as the guideline, prioritize high-quality development, actively address internal and external risks and challenges, further enhance the momentum of recovery and improvement of the industrial economy, and further promote the high-quality development of the industrial sector and the communications sector. 

That's all I have to provide. Thank you.

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