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Profile of China's electronics and information industry, Jan.-Nov..BEIJING, Jan 05, 2010 (Xinhua via COMTEX) -- China's electronics and information industry displayed clear signs of recovery in November. The following profiles China's electronics and information industry during the January to November period of 2009. -- Added value increases The added value of China's electronics and information manufacturing industry (only including enterprises with annual sales greater than 5 million yuan) increased by 3.8 percent on year in the first eleven months. In November alone it grew 14.4 percent, 7.2 percentage points above that in October but still 4.8 percentage points slower than the national average industrial added value. In January-November, the electronics and information manufacturing industry's sales value grew for the first time in 2009 by 0.9 percent year on year. That in November leapt 17.5 percent above the same period of 2008, and 12.2 percentage points beyond October. Following, Chart One displays the monthly growth of added value in electronics and information manufacturing, and total industrial added value growth in February-November, 2009. -- Electronic components and devices sectors show outstanding performance All of the electronics and information industry's sectors improved in October from the first eleven months of 2009. The electronic components and electronic devices sectors rebounded from falling 1.5 percent and 0.6 percent on year in October to rising 0 percent and 2.9 percent, respectively. Specifically, the integrated circuits sector's output soared 28.9 percent, with the growth rate up 27.2 percentage points from October. That of optoelectronics surged 50.9 percent on year, 21.3 percent higher than the previous month. Because of product price cuts and an unsteady parts market, the computer industry still faces heavy production and operation pressures. By November 30, the communications equipment and computer sectors slightly slowed their falls, respectively declining 2 percent and 2.8 percent on year. -- Economic efficiency grows quarter by quarter In the first eleven months of 2009, China's electronics and information industry realized sales revenue of 4.36 trillion yuan, fallen 1 percent from the same period of 2008, though it did register 3.8 percentage points higher than January-August. Meanwhile, the industry profited 154.65 billion yuan, down 3.4 percent year on year, achieving 3.55 percent profitability. By the end of November, the electronics and information industry housed 19,892 enterprises which achieved annual sales exceeding 5 million yuan. Meanwhile, 902 firms or 26 percent of the total managed to turn losses into profits, five percentage points fewer than January-August. In September-November, the industry's sales profitability rate increased about 1.1 percentage points from the same period of 2008 to 4.69 percent; 0.72 percentage points above that in June-August. Benefited from China's rural household electrical appliance subsidy program and the promotion of 3G services, the profit growth of the communications equipment, household audio and video appliances, and electronic components and devices sectors all exceeded 45 percent in September-November. Remarkably, that for the communications transmission equipment sector registered a 400 percent profit growth. The following Table One shows sales profits of China's electronics and information industry in each period of 2009. Table One: Sales profits of China's electronics & information industry from January to November in 2009 Jan.-Feb. March-May June-Aug. Sept.-Nov. Revenue (Billion Yuan) 552.46 1,132.89 1,276.42 1,395.3 - Growth y-o-y (%) -15.0 -4.9 0.6 8.1 Profit (Billion Yuan) 3.23 35.26 50.72 65.45 - Growth y-o-y (%) -85.7 -17.5 4.9 41.0 Sales profit rate (%)) 0.58 3.11 3.97 4.69 -- Output strongly rebounded Among products intensively monitored by the Ministry of Industry and Information Technology, most outputs increased over the first eleven months of 2009. The output of mobile phones and microcomputers respectively grew on year by 4.6 percent and 23.5 percent, up 3.5 and 1.9 percentage points from that in the first ten months. Fueled by the construction of the 3G communications sector, the number of mobile communications base stations increased 112.8 percent year over year. That of CPT and CRT TVs prolonged their on year fall respectively by 62.1 percent and 37.6 percent. Output of discrete semiconductor devices and integrated circuits receded 0.1 percent and 7 percent, respectively, narrowing the gap 3.2 and 5.4 percentage points, compared to that in the first ten months. -- Software revenues up In the first eleven months of 2009, the software sector attracted 870.16 billion yuan in revenue, up 21.4 percent year on year, and its growth rate 1.2 percentage points above the first ten months of 2009. In November, the software industry posted 101.0 billion yuan in revenue, rising 31.3 percent year on year. The software service sector's revenue proportion kept growing, and software technical services gained 184.98 billion yuan in revenue, up 30.3 percent on year, accounting for 21.3 percent of the sector's January-November total. The following Chart Two shows the software industry's revenue growth in 2009. -- Fixed asset investment growth slows Fixed asset investment in electronics and information projects exceeding 5 million yuan in capital rose 15.1 percent on year to 365.2 billion yuan in the first eleven months of 2009. The growth rate proved 17.3 percentage points lower than that in the same period of 2008. Investment in the household video and audio, electronic devices, integrated circuits, and discrete semiconductor device sectors declined 15.5 percent, 1.7 percent, 22.4 percent, and 12.7 percent, respectively, while that in the communications equipment sector advanced 30.2 percent. Investments made by foreign funded enterprises continued to drop since the second quarter of 2009, accumulating to an 18.1 percent on year fall by November's closing. -- Foreign-funded enterprises suffer shrinking sales value positions Foreign-funded manufacturing enterprises generated sales values totaling 3,301.36 billion yuan in January-November, down 3.5 percent on year. They accounted for 73.6 percent of the industry's total sales value, down from the comparable 76.9 percent of 2008. Meanwhile, domestic manufacturers recorded average revenue growth of 15.7 percent, two percentage points faster than the increase in the first ten months of 2009. Among them, privately owned and state-owned enterprises outperformed others, with the sales output growth rates reaching 22 percent and 21.4 percent on year in January-November. -- Fall in foreign trade begins to cede In the first eleven months of 2009, the total value of the electronics and information manufacturing industry's foreign trade retreated 16.7 percent on year to 686.88 billion US dollars, 0.8 percentage points below the national total. The industry posted import and export values of 280.04 billion dollars and 406.84 billion dollars, respectively, down 15.9 percent and 17.6 percent on year. -- Central and western regions' growth accelerates In November, eastern China's sales value rose by 16.4 percent year on year, with the growth rate 12.7 percentage points above October. Meanwhile, that in Beijing, Tianjin, and Zhejiang bottomed out from October's fall to rise 21.2 percent, 22.6 percent, and 26.3 percent on year, thereby driving eastern China's sales value upwards. Central China's sales value rose 35.5 percent on year in November, with growth rates in Anhui and Jiangxi provinces surpassing 35 percent. The sales value in western China reported an increase of 28.4 percent, with the growth 1.3 percentage points faster than October. The following Chart Three shows the sales value of electronics and information products achieved by different regions in China in January-November, 2009. (Source: Ministry of Industry and Information Technology) (Edited by Luo Jingjing, [email protected]) |