Hi everyone. I’m Stephanie LI.
Coming up on today’s program.
- China’s economic growth hit 114 trillion yuan last year, while CO2 emissions per unit of GDP fell by 34 percent over the past decade;
- State Council decided that fiscal and monetary policies should prioritise employment.
Here’s what you need to know about China in the past 24 hours
China’s economic development and the ecological environment have been greatly improved over the past decade, officials said at a press conference held by the Publicity Department of the Communist Party of China (CPC) Central Committee on Thursday, stressing that the country has seen a significant increase in green development, economic strength and high quality opening-up among other achievements.
China’s overall economic strength has continued growing, which has become the biggest engine in driving global economic growth in the past decade.
In 2021, China’s economic growth hit 114 trillion yuan, accounting for 18 percent of global economic output, up from 11.4 percent in 2012. Per capita GDP stood at $12,500, to the threshold for high-income countries. And in recent years, China has been contributed to 30 percent to world economic growth while becoming a mainstay of global economic development.
In the past 10 years, the input of China's research and development investment has increased from 1.91 percent of GDP to 2.44 percent. The country’s ranking in the Global Innovation Index (GII) rose from 34th to12th with major breakthroughs in manned spaceflight and Mars exploration.
Over the same period, China’s CO2 emissions per unit of GDP have fallen by 34 percent and the total installed capacity of wind and photovoltaic power generation, production and sales of new-energy vehicles have topped the world.
Foreign trade has also developed steadily and rapidly over the decade, tied with a high level of opening-up. China’s share of exports of merchandise to the world rose from 11 percent to 15 percent. A total of nine free trade agreements have been signed and 21 pilot free trade zones have been constructed, creating new areas and test grounds for all-round and high-level opening-up.
China will adopt fiscal and monetary policies prioritising job creation and maintain the overall stability of economic performance, according to a decision made at the State Council's Executive Meeting on Wednesday, as the greater-than-expected impacts from the new round of COVID resurgence and shifting dynamics in the international environment have added new downward pressure to the economy in April.
Tax refunds and breaks, deferred payment of social insurance premiums, reductions in financing costs and other measures should all focus on maintaining the stability of market entities, payrolls and employment, to ensure people's basic livelihoods, stabilise growth and drive consumption.
The meeting also decided to better mobilise existing assets, broaden the channels for private investment and expand effective investment.
Update on COVID-19
Beijing rolled out new measures to tighten up virus screening as the city races to contain a Covid-19 outbreak. Starting Thursday, people need to provide negative nucleic acid test results conducted within 48 hours to enter public venues across the city, officials said Wednesday at a press briefing. The latest wave of outbreak in Beijing has logged 892 infections as of 3 pm Wednesday.
Next on industry and company news
Shanghai Port completed container throughput of 3.085 million Twenty-foot equivalent units(TEUs) in April, rebounding to over 80 percent of last year’s level, data from China's Ministry of Transport showed on Wednesday.
After production resumed on April 19，the first batch of 10,000 electric vehicles from Tesla's Shanghai Gigafactory were shipped off on Wednesday. From January to April, Tesla delivered 183,686 vehicles, an increase of more than 1.7 times compared with the same period last year, and even surpassing the number of vehicles delivered in 2020. In addition, CEO Elon Musk said at an auto summit on Tuesday that the company will expand production at its Shanghai plant.
Tencent has reportedly abandoned the plan to buy Chinese gaming handset maker Black Shark, as the proposed acquisition has yet to be approved by relevant departments, media reported today citing Black Shark’s CEO Luo Yuzhou, who said the company will continue to seek financing opportunities. Tencent was said to have been considering an acquisition of Black Shark in January this year, with the latter being valued at $3 billion.
Shares in Guangdong Zhongsheng Pharmaceutical surged by the exchange-imposed daily limit today after the Chinese drugmaker said it has successfully filed an application to regulators for its orally-taken Covid-19 treatment to start clinical trials. The National Medical Products Administration has accepted the application for the RAY1216 tablet developed by its unit, to enter the clinical trial stage and tests will begin once the green light is given, the firm said yesterday.
Switching gears to financial news
Chen Yulu, deputy governor of the People's Bank of China, said Thursday that the country's financial risks accumulated over the years have converged and are generally under control. The central bank has successfully completed a campaign in regulating internet financing, as all financial businesses of online platforms have been brought under supervision. The problem of shadow banking has been effectively dealt with, nearly 5,000 P2P online lenders have been shut down, and 25,000 cases of illegal fund-raising have been investigated, Chen said.
Wrapping up with a quick look at the stock market
Chinese stocks closed lower on Thursday. The Shanghai Composite slipped 0.12 percent and the Shenzhen Component closed down 0.13 percent. Hong Kong stocks tumbled as the Hang Seng closed down 2.24 percent, following drops on the Wall Street on renewed fears of surging inflation and a selloff in the tech sector.
Biz Word of the Day
A TEU or Twenty-foot Equivalent Unit is an exact unit of measurement used to determine cargo capacity for container ships and terminals. This measurement is derived from the dimensions of a 20ft standardized shipping container.
Executive Editor: Sonia YU
Editor: LI Yanxia
Host: Stephanie LI
Writer: Stephanie LI, ZHANG Ran，XIE Kaishan.
Sound Editor: ZHANG Ran
Graphic Designer: ZHENG Wenjing, LIAO Yuanni
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