Transcript The Eight Economic Regions of China

THE EIGHT ECONOMIC REGIONS
OF CHINA
The Eight Economic Regions of China
A. National Economy – Misleading
A decade ago, to talk about China’s national economy was seriously misleading. It was really a series of provincial economies,
which traded little with each other, let alone the outside world. Everywhere had its own set of factories producing a similar set of
goods – hence the hundreds of car plants, steel mills, cement works and so on across the country. The biggest reason for this
was the lack of transport infrastructure, and even today, China has fewer miles of railway than the US had at the time of its civil
war in the 1860s. As such, the country is still basically a set of regional economies.
B. Regional Economies – Methodology
Fiducia has grouped China’s provinces into regions based on the following statistical and non-statistical criteria:
• administrative provinces
• trade value and per capita trade value
• population density
• FDI and per capita FDI
• GDP, per capita GDP and long-term GDP growth
• infrastructure
• per capita disposable income
• tradition, culture and dialect
For each statistical criterion, the provinces were given percentage rankings, and the rankings weighted according to the relative
importance of the criterion. Then for each province, the weighted rankings were summed across all statistical criteria, and the
results plotted in gray scale on a map of the Chinese provinces. The patterns which emerged were cross-referenced with the nonstatistical criteria, and the regional economies determined.
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The Eight Economic Regions of China
C. Regional Economies – Eight in Total
China has eight economic regions: Greater Beijing, Greater Shanghai, Greater Guangdong, Central, Northeast, Northwest,
West and Southwest.
Northeast
Northwest
• Heilongjiang
• Jilin
• Liaoning
• Xinjiang
• Gansu
• Ningxia
• Shaanxi
• Inner Mongolia
Greater Beijing
• Beijing
• Tianjin
• Hebei
• Shandong
West
•Tibet
• Qinghai
Central
• Hubei • Anhui
• Hunan • Jiangxi
• Henan • Shanxi
Southwest
• Sichuan
• Yunnan
• Guizhou
• Guangxi
• Chongqing
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Greater Shanghai
Greater Guangdong
• Guangdong
• Fujian
• Hainan
• (Hong Kong)
• (Taiwan)
• Shanghai
• Jiangsu
• Zhejiang
The Eight Economic Regions of China
D. Regional Economies - Strategy Development
‘The Eight Economic Regions of China’ displays the diversity between these regions in the series of thematic maps which follow.
Recognising and understanding the diversity between these regions, and thereby avoiding the pitfalls of generalisation, is
fundamental to developing a workable strategy in China:
• It is the first step in determining where to focus business activities, for example, investment locations or target markets.
As such, ‘The Eight Economic Regions of China’ indicates which regions should be further investigated, and which
regions should be ruled out for the time being.
• As the diversity between regions is not static, it is important to consider both the current levels of diversity, and the
growth rates of each region. As such, ‘The Eight Economic Regions of China’ also suggests which regions have the
greatest future potential, and which regions have reached more mature stages.
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1. Population
(10,000s) 1999
10,621
YoY Growth: 0.4%
10,240
YoY Growth: -4.7%
17,713
YoY Growth: 0.6%
766
YoY Growth: 1.5%
35,529
YoY Growth: 0.7%
13,162
YoY Growth: 0.5%
* Excluding Hong Kong and Taiwan:
Hong Kong’s population (in 10,000s) is 672
Taiwan’s population (in 10,000s) is 2,193
24,239
YoY Growth: 0.9%
11,348*
YoY Growth: 1.4%
Key: Regions are shaded according to yearon-year growth, the regions with the highest
growth are shaded most heavily, and the
regions with the lowest growth are shaded
most lightly.
Source: China Statistical Yearbook
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2. Population Density
(People Per Sq Mile) 1999
342
YoY Growth: 0.4%
76
YoY Growth: -4.7%
1,236
YoY Growth: 0.6%
10
YoY Growth: 1.5%
1,619
YoY Growth: 0.5%
897
YoY Growth: 0.7%
458
YoY Growth: 0.9%
885
YoY Growth: 1.4%*
* Excluding Hong Kong and Taiwan:
Hong Kong’s population density (in people per
sq mile) is 15,924
Taiwan’s population density (in people per sq
mile) is 1,579 (1998)
Key: Regions are shaded according to yearon-year growth, the regions with the highest
growth are shaded most heavily, and the
regions with the lowest growth are shaded
most lightly.
Source: China Statistical Yearbook
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3. GDP
(100 million RMB) 1999
8,739
YoY Growth: 6%
5,099
YoY Growth: 7%
15,855
YoY Growth: 7%
344
YoY Growth: 11%
18,140
YoY Growth: 4%
17,098
YoY Growth: 8%
9,913
YoY Growth: 4%
12,485*
YoY Growth: 7%
* Excluding Hong Kong and Taiwan:
Hong Kong’s GDP (in 100 millions) is 13,180 RMB
Taiwan’s GDP (in 100 millions) is 21,933 RMB (1998)
Regions are shaded according to year-on-year
growth, the regions with the highest growth are
shaded most heavily, and the regions with the
lowest growth are shaded most lightly.
Note: Gross Domestic Product refers to the final
products of all resident units in a country during
the given period of time.
Source: China Statistical Yearbook
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4. Per Capita GDP
(RMB) 1999
8,228
YoY Growth: 5%
4,979
YoY Growth: 12%
8,951
YoY Growth: 7%
* Excluding Hong Kong and Taiwan:
Hong Kong’s per capita GDP is 196,137 RMB
Taiwan’s per capita GDP is 100,014 RMB (1998)
4,491
YoY Growth: 9%
5,106
YoY Growth: 3%
12,990
YoY Growth: 7%
4,090
YoY Growth: 3%
11,002*
YoY Growth: 5%
Key: Regions are shaded according to yearon-year growth, the regions with the highest
growth are shaded most heavily, and the
regions with the lowest growth are shaded
most lightly.
Note: Gross Domestic Product refers to the
final products of all resident units in a country
during the given period of time.
Source: China Statistical Yearbook
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5. Total GDP Growth
(%) 1991 - 1999
377
352
479
* Excluding Hong Kong and Taiwan
** Excluding Tibet
340**
587
412
364
565*
Key: Regions are shaded according to
growth, the regions with the highest growth
are shaded most heavily, and the regions
with the lowest growth are shaded most
lightly.
Note: Gross Domestic Product refers to the
final products of all resident units in a country
during the given period of time.
Source: China Statistical Yearbook
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6. Per Capita Disposable Income of Urban Residents
(RMB) 1999
4,686
YoY Growth: 7%
4,696
YoY Growth: 9%
5,982
YoY Growth: 7%
* Excluding Hong Kong and Taiwan
7,673
YoY Growth: 11%
5,440
YoY Growth: 12%
4,981
YoY Growth: 8%
5,597
YoY Growth: 6%
8,209*
YoY Growth: 4%
Key: Regions are shaded according to yearon-year growth, the regions with the highest
growth are shaded most heavily, and the
regions with the lowest growth are shaded
most lightly.
Note: Disposable Income of Urban Residents
refers to the income of households which can
be used for daily expenses, i.e. total income
minus taxes and other current transfers.
Source: China Statistical Yearbook
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7. Actually Used FDI
(100 million RMB) 1999
140
YoY Growth: -46%
35
YoY Growth: -10%
584
YoY Growth: -11%
0.5**
YoY Growth: N/A
254
YoY Growth: -10%
* Excluding Hong Kong and Taiwan
** Excluding Tibet
Key: Regions are shaded according to year-onyear growth, the regions with the highest growth
are shaded most heavily, and the regions with the
lowest growth are shaded most lightly.
842
YoY Growth: -12%
117
YoY Growth: -25%
1,342*
YoY Growth: -5%
Note: Foreign Direct Investment refers to the
investments inside China made by foreign
enterprises,
economic
organisations
and
individuals (including overseas Chinese, Hong
Kong Chinese and Chinese enterprises registered
abroad) for the establishment of WFOE’s, JV’s
and COE’s.
Source: China Statistical Yearbook
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8. Per Capita Actually Used FDI
(RMB) 1999
131
YoY Growth: -47%
34
YoY Growth: -6%
330
YoY Growth: -12%
* Excluding Hong Kong and Taiwan
** Excluding Tibet
7**
YoY Growth: N/A
72
YoY Growth: -10%
640
YoY Growth: -13%
48
YoY Growth: -26%
1,182*
YoY Growth: -6%
Key: Regions are shaded according to year-on-year
growth, the regions with the highest growth are
shaded most heavily, and the regions with the
lowest growth are shaded most lightly.
Note: Foreign Direct Investment refers to the
investments inside China made by foreign
enterprises, economic organisations and individuals
(including overseas Chinese, Hong Kong Chinese
and Chinese enterprises registered abroad) for the
establishment of WFOE’s, JV’s and COE’s.
Source: China Statistical Yearbook
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9. Value of Import and Export
(100 million RMB) 1999
1,505
YoY Growth: 11%
481
YoY Growth: 11%
5,794
YoY Growth: 13%
* Excluding Hong Kong and Taiwan:
Hong Kong’s trade value (in 100 millions) is 29,554
Taiwan’s trade value (in 100 millions) is 17,928 (1998)
23
YoY Growth: 16%
965
YoY Growth: 6%
7,319
YoY Growth: 22%
634
YoY Growth: -2%
13,212*
YoY Growth: 7%
Key: Regions are shaded according to year-on-year
growth, the regions with the highest growth are
shaded most heavily, and the regions with the lowest
growth are shaded most lightly.
Note: Value of imports and exports is measured by
location of Foreign Trade Managing Units. This refers
to the actual value of imports and exports carried out
by corporations which have been registered by the
local custom house and are vested with the right to
run trade businesses.
Source: China Statistical Yearbook
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10. Per Capita Value of Import and Export
(RMB) 1999
1,417
YoY Growth: 10%
469
YoY Growth: 16%
3,271
YoY Growth: 12%
Key: Regions are shaded according to year-on-year
growth, the regions with the highest growth are
shaded most heavily, and the regions with the
lowest growth are shaded most lightly.
297
YoY Growth: 14%
272
YoY Growth: 5%
* Excluding Hong Kong and Taiwan:
Hong Kong’s per capita trade value is 439,785 RMB
Taiwan’s per capita trade value is 90,483 RMB (1998)
5,561
YoY Growth: 21%
262
YoY Growth: -3%
11,642*
YoY Growth: 6%
Note: Value of imports and exports is measured by
location of Foreign Trade Managing Units. This
refers to the actual value of imports and exports
carried out by corporations which have been
registered by the local custom house and are vested
with the right to run trade businesses.
Source: China Statistical Yearbook
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11. China Topographic Map (Including Provinces and Capitals)
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12. China Dialects Map (Including Dialect Groups)
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13. China Railways Map (Including Train Numbers)
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15. China Waterways Map (Including Navigable Rivers, Ports and Sea Routes)
Heilong Jiang
(Black Dragon River)
To Vladivostok
Dalian
Beijing
Huang He
(Yellow River)
Tianjin
Da Yunhe Yantai
(Grand Canal)
Qingdao
To Nagasaki
Shanghai
Hangzhou
Ningbo
Chang Jiang
(Yangtze River)
To Yokohama
Fuzhou
Zhu Jiang
(Pearl River)
Xiamen
Kaohsiung
Hong Kong
Yarlung Zangbo Jiang
(Brahmaputra River)
Zhanjiang
Lancang Jiang
(Mekong River)
To Singapore, Jakarta, Bangkok…
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To Manila, Sydney….
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