11.2007

Major Economic Indicators

Notes: ¹ In real terms ² For all state-owned enterprises and other forms with annual sales over RMB 5 million ³ Jan-Jun 2007
Sources: Ningbo Statistical Yearbook 2007

Economic Highlights

Ningbo has the second largest GDP among all cities in Zhejiang.

Beilun Port in Ningbo is one of the leading international deep-water ports in China. In 2006, Ningbo's cargo throughput reached 310 million tons, an increase of 15.2%; while container throughput surged by 35.7% to 7.07 million TEUs, the fourth major container port of China.

Ningbo is the home of many famous brands in China, such as garment brands -- Youngor, Firs, Romon; stationery brand -- BinBin; and textile thread -- Dunhuang, etc.

Private enterprises are developing at a rapid pace. At the end of 2006, there were 83,236(+17.4%) private enterprises in Ningbo. Many of them are export-oriented, and are engaged in the manufacturing of garment, textile, lighter, stationery, etc.

Industries

Ningbo is an important industrial center in Zhejiang. Its production of garments, textiles, electronics, industrial machinery as well as industrial molds is among the highest in the league of mainland cities. By the end of 2006, there were 9,873 industrial enterprises (with annual sales over RMB 5 million) in Ningbo. Gross industrial output rose by 26.5% to RMB 619 billion in 2006, the second highest in Zhejiang.

While existing pillar industries are textile and garment, machinery, chemical and electronics, some new industries including building material and pharmaceutical have developed quickly in recent years.

Output Share of Leading Industry Groups 2006

Sources: Statistical yearbook of China & Ningbo, 2007

Tourism

In 2006, Ningbo received 26.9 million (+14.2%) domestic tourists with tourism receipts of RMB29.0 billion. Overseas tourists reached 543 thousand (+23.6%) with foreign exchange income of US$340 million (+35.6%).

Foreign Trade

Ningbo has a relatively externally oriented economy. Ningbo's total exports and imports increased by 26% in 2006 to US$42.2 billion, with exports accounting for 80% of GDP.

Major exports items included garment and clothing accessories, yarn and knitted goods, plastic product, lighting equipment, travel bag, shoe, toy, furniture, etc. Major exports markets were Japan, the US, Hong Kong, Germany, the UK and Korea.

Major imports included plastic material, paper pulp, scrap copper, steel product, styrene, accessories of TV, radio and wireless communication equipment, components for integrated circuit and microelectronics, etc. Major sources of imports included Japan, Korea, Taiwan, the US, France and Germany.

Foreign Investment

Foreign investment in Ningbo is mainly engaged in the manufacturing sector (about 82.3% of the utilized FDI in 2006), particularly in industries like chemical, electrical machinery and telecommunication equipment.

Major sources of foreign investment include Hong Kong, Taiwan, Japan, the UK and the US. World famous multinational corporations that have significant investment in Ningbo include Esso, Xerox, Metro, LG, Samsung, etc.

Foreign-invested enterprises (FIEs) are playing an important role in Ningbo's economy. FIEs now account for 36.2% of Ningbo's exports and 52.9% of imports.

Consumer Market

Ningbo is Zhejiang's second largest retail market. Retail sales of consumer goods increased by 16.1% to RMB88.3 billion in 2006.

The retail distribution landscape in Ningbo is also changing. Apart from traditional department stores, various forms of modern operation such as chain stores, supermarkets and specialized stores are developing.

The number of retail outlets

Source: Ningbo statistical yearbook 2007

Economic Cooperation between Ningbo and Hong Kong

Hong Kong is the third largest export market of Ningbo, with exports to Hong Kong amounted to US$1,181.5 million (+41.3%) in 2006. Imports from Hong Kong amounted to US$95 million in 2006, a decrease of 12.9%.

Hong Kong is the largest investor in Ningbo. From 1996 to November 2006, the total amount of utilized FDI from Hong Kong reached US$5.3 billion, accounting for 40% of Ningbo's total utilized FDI for the same period.

Hong Kong's investment was mostly engaged in manufacturing, real estate development and management, hotel and hotel management, entertainment, etc. Hutchison Whompoa formed a joint-venture with the Beilun Container Co. under the Ningbo Port Authority to participate in the development of Ningbo Beilungang container port. Other Hong Kong companies that have invested in Ningbo included Chen Hsong Group.