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2015 China Overview Economy Report

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2015 China Overview Economy Report presents the basic national data and profiles 2015 Chinese population trend as well as gender and age structures. In addition, it highlights 2015 national economy performance in GDP, CPI, foreign direct investment, service industry.

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2015 China Overview Economy Report

Summary

  • Having been the country with largest population, China’s population now has been exceeded to 1.3 billion. In 3-5 years, this number could climb to 1.4 billion. Economically, China is world’s second largest economic entity, and it could be expected to be the largest one in the future. However, several issues, such as urbanization and aging, may significantly affect China’s future development.
  • China’s GDP growth is now presenting downward trend instead of continuing soaring. In 2015, GDP could maintain or even fall below 7%. Moreover, the fact that China’s GDP per capita has been declining below country’s GDP growth demonstrates China’s inevitable economic downturn and domestic productivity shortage. Also the change and adjustment of China’s population structure will also influent China’s future economy.
  • In recent years, China’s PPI has been continuing negative growth, while its CPI is maintaining positive growth. It can be expected that China’s economic downturn pressure and inflation risk will still exist in the future. However, national confidence on economy recovery is growing with climbing consumption confidence and satisfaction indices.
  • The rise of domestic manufacturing industry cost, the lack of openness of services and the continuing adjustment of overseas corporation strategies have led less obvious growth in foreign investment. China, however, has increased capital out-flow in recent years. The fact that China has become a capital out-flow country attributes to the demand of overseas resource, technology and market by domestic corporations.
  • The employment rate in China’s services industry has been rising, and for the first time, service’s contribution to GDP has exceeded to half of industry’s China’s economy has turned to service-oriented from industry-oriented, which will significantly influence the country’s economic growth, employment and other aspects.
  • From the perspectives of international economy and the trend of de-globlization, China’s fast export growth is hard to achieve. The weakness in international trade has demonstrated the lack of demand from global economy.
  • Chinese market, is and will always be, the most important “foreign capital-friendly” market. Most of the foreign enterprises regard China as their manufacturing country. They not only reject to withdraw their investment, but believe that China is the world’s biggest market as well.
  • The anticipation that Chinese Yuan will keep appreciate against Euro and US dollar is strengthened, which will accelerate certain industry structural adjustment as well as the speed and quality of strategic adjustment in macro-economic.

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