By hannover-web.com On October 17th, we’ll see the release of China’s third-quarter macroeconomic data, and recent leading indicators are showing an encouraging upward trend. Particularly in September, there’s been a noticeable acceleration in the recovery of certain indicators, highlighting the underlying strength and stability of China’s economic growth. The construction sector is bustling, with record high numbers of project bids linked to engineering projects in September, reflecting a marked increase in companies expanding their production capacity.
The national operating rate for construction machinery stood at 50.76% in September, up 0.75% from August. This indicates that projects across the country are ramping up smoothly. The most active machinery in this construction surge includes cranes and excavators, which are vital from the very beginning of projects—from ground-up construction to expansion.
In terms of performance by province, Zhejiang, Anhui, and Hainan topped the list with comprehensive operating rates exceeding 60%, showcasing high enthusiasm for engineering development. Regionally, the Northeast leads the nation with the highest average operating rate. In Harbin, the construction site of a new materials industrial park is abuzz with activity.
By the end of September, Heilongjiang Province saw nearly 96.5% of its 1,500 key provincial projects start construction, with an investment completion rate surpassing 79.5%. These figures represent increases of 4.5 and 5.6 percentage points compared to the same period last year and include important infrastructure projects like water conservancy, road upgrades, and smart underground pipeline networks aimed at improving citizens’ livelihoods.
Not only is construction accelerating, but the number of successful bids for projects—the first step in project execution—is also on the rise. Data from the National Information Center indicates that the number of bid-winning projects related to corporate expansions grew by 5.8% year-on-year in the third quarter, with September alone seeing an impressive 28.4% increase, the highest rate recorded this year.
As market demand picks up, the energy and innovation in enterprises are stabilizing and improving. Construction sites are lively, and factories are running at full speed again. Various leading indicators point to a gradual recovery in market demand and a persistent improvement in supply and demand conditions, which has consequently boosted the performance levels of high-tech manufacturing, equipment manufacturing, and consumer goods manufacturing. Small and medium-sized enterprises are also experiencing a revival in innovation.
In September, the PMIs for China’s high-tech, equipment, and consumer goods manufacturing sectors were reported at 53.0%, 52.0%, and 51.1%, respectively, each reflecting an increase from the beginning of the year. These industries are experiencing growth and their performance levels are on the rise.
At a high-tech manufacturing company in Zhuhai that produces circuit boards, a new production line has just started operating. The company’s leader shared with reporters that the advent of new technologies such as artificial intelligence and big data contributed to a significant increase in orders during the first half of the year.
Meanwhile, the operational vitality of small and medium enterprises continues to show positive trends. Data from the China Small and Medium Enterprises Association reveals that in September, indices for sectors such as industry, information transmission, and wholesale and retail rose, indicating ongoing improvements in performance.
The market indices overall climbed by 0.1 points compared to the previous month. Notably, market indices for industries like manufacturing and wholesale have shown significant increases, signaling a rebound in market demand.
Liu Fang, the director of the Market and Price Research Institute at the National Development and Reform Commission, noted that these trends suggest an ongoing improvement in the supply and demand situation for small and medium enterprises. As macroeconomic policies continue to evolve, the confidence among businesses is expected to strengthen, further solidifying the foundation for positive growth.
