Country Profile 2005
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Country Profile 2005 China This Country Profile is a reference work, analysing the country’s history, politics, infrastructure and economy. It is revised and updated annually. The Economist Intelligence Unit’s Country Reports analyse current trends and provide a two-year forecast. The full publishing schedule for Country Profiles is now available on our website at http://www.eiu.com/schedule The Economist Intelligence Unit 15 Regent St, London SW1Y 4LR United Kingdom The Economist Intelligence Unit The Economist Intelligence Unit is a specialist publisher serving companies establishing and managing operations across national borders. For over 50 years it has been a source of information on business developments, economic and political trends, government regulations and corporate practice worldwide. The Economist Intelligence Unit delivers its information in four ways: through its digital portfolio, where its latest analysis is updated daily; through printed subscription products ranging from newsletters to annual reference works; through research reports; and by organising seminars and presentations. The firm is a member of The Economist Group. London New York Hong Kong The Economist Intelligence Unit The Economist Intelligence Unit The Economist Intelligence Unit 15 Regent St The Economist Building 60/F, Central Plaza London 111 West 57th Street 18 Harbour Road SW1Y 4LR New York Wanchai United Kingdom NY 10019, US Hong Kong Tel: (44.20) 7830 1007 Tel: (1.212) 554 0600 Tel: (852) 2585 3888 Fax: (44.20) 7830 1023 Fax: (1.212) 586 0248 Fax: (852) 2802 7638 E-mail: [email protected] E-mail: [email protected] E-mail: [email protected] Website: www.eiu.com Electronic delivery This publication can be viewed by subscribing online at www.store.eiu.com Reports are also available in various other electronic formats, such as CD-ROM, Lotus Notes, on-line databases and as direct feeds to corporate intranets. For further information, please contact your nearest Economist Intelligence Unit office Copyright © 2005 The Economist Intelligence Unit Limited. All rights reserved. Neither this publication nor any part of it may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of The Economist Intelligence Unit Limited. All information in this report is verified to the best of the author’s and the publisher’s ability. However, the Economist Intelligence Unit does not accept responsibility for any loss arising from reliance on it. ISSN 1473-9143 Symbols for tables “n/a” means not available; “–” means not applicable Printed and distributed by Patersons Dartford, Questor Trade Park, 151 Avery Way, Dartford, Kent DA1 1JS, UK. RUSSIAN FEDERATION KAZAKHSTAN Manzhouli Hailar YYichunichun Jiamusi Qiqihar HEILHEILONGJIANGONGJIANG Jixi MONGOLIA Harbin Yining INNER MONGOLIA ChangcChangchunhun Jilin KYRGYZ REP. Urumqi YYanjianji XINJIANG Xilinhot TTongliaoongliao JILIN Asku TAJI KKorlaorla ChifChifengeng ShenShenyangyang FFushunushun KI KKashgarashgar NORTH ST LIALIAONINGONING A Hohhot ZhangjiakZhangjiakouou AnAnshanshan KOREA N Dandong Sea of Japan BaotBaotouou AN. BEIJINBEIJINGG TTangshanan GH DatDatongong F Tianjin Dalian A HEBEI N YYinchuaninchuan SHANXI TA Yantai SOUTH S TTaiyuanaiyuan ShiShijiazhuangjiazhuang Y I NINNINGXIAGXIA e Zibo Yellow Sea KOREA JAPAN l K l Jinan Golmud o A Xining YYanananan w SHANDONSHANDONGG Qingdao P R Lanzhou . QINGHAI Lianyungang GANSU LLuoyanguoyang Zhengzhou TTianshuiianshui Xian HENHENANAN JIANJIANGSUGS XIZANG SHAANXI Huainan (TIBET) CCHINAHINA NNanjinganjing WWuxiuxi XiangfXiangfanan XinyXinyangang WWuhuuhu Shanghai MianyMianyangang HUBEI ANHUI Main railway SICSICHUANHUAN Yangtze R. East China Chengdu WWanxiananxian WWuhanuhan Hangzhou Ningbo N Lhasa L Sea Main road a JiangJianglingling EP n c Leshan A a Chongqing ZHEJIANZHEJIANGG L n International boundary g Changde NNanchanganchang R Wenzhou . ( HUNHUNANAN Province boundary BHUTBHUTANAN M Changsha e k o NNanpinganpi International airport n JIANJIANGXIGXI g GUIZHOU HengyHengyangang INDIA R DukDukouou FUJIAN Fuzhou ) GuiyGuiyangang Capital . Liupanshui Ganzhou BBANGLADESHANGLADESH Dali Major town Kunming Shaoguan Xiamen Liuzhou TAIWAN Other town YUNNYUNNANAN GUGUANGDONGANGDONG GUGUANGXIANGXI Guangzhou January 2005 NNanninganning YYulinulin Hong Kong MYANMAR Macau PACIFIC 0 km 250 500 750 1,000 (BURMA) VIETNAM Zhanjiang OCEAN 0 miles 250 500 Bay of Bengal LAOS Gulf of Haikou South China Tonking HAINAN Sea ' The Economist Intelligence Unit Limited 2005 Comparative economic indicators, 2004 Gross domestic product Gross domestic product per head US$ bn US$ ’000 China 1,586.0 Singapore South Korea Hong Kong Taiwan Taiwan Indonesia South Korea Thailand Malaysia Hong Kong Thailand Malaysia China Singapore Indonesia Philippines Philippines Vietnam Vietnam 0 100 200 300 400 500 600 700 0 5 10 15 20 25 Sources: Economist Intelligence Unit estimates; national sources. Sources: Economist Intelligence Unit estimates; national sources. Gross domestic product Consumer prices % change, year on year % change, year on year China Vietnam Singapore Indonesia Malaysia Philippines Hong Kong China Vietnam South Korea Philippines Thailand Taiwan Singapore Thailand Taiwan South Korea Malaysia Indonesia Hong Kong 0246810 -1012345678 Sources: Economist Intelligence Unit estimates; national sources. Sources: Economist Intelligence Unit estimates; national sources. Country Profile 2005 www.eiu.com © The Economist Intelligence Unit Limited 2005 China 1 Contents China 3 Basic data 4 Politics 4 Political background 6 Recent political developments 9 Constitution, institutions and administration 11 Political forces 16 International relations and defence 22 Resources and infrastructure 22 Population 24 Education 26 Health 26 Natural resources and the environment 28 Transport, communications and the Internet 30 Energy provision 31 The economy 31 Economic structure 32 Economic policy 39 Economic performance 42 Regional trends 43 Economic sectors 43 Agriculture 46 Mining and semi-processing 47 Manufacturing 48 Construction 49 Financial services 52 Other services 52 The external sector 52 Tra d e i n go od s 55 Invisibles and the current account 56 Capital flows and foreign debt 57 Foreign reserves and the exchange rate 58 Regional overview 58 Membership of organisations 60 Appendices 60 Sources of information 61 Reference tables 61 Population 61 Labour force 62 Transport statistics 62 National energy statistics © The Economist Intelligence Unit Limited 2005 www.eiu.com Country Profile 2005 2 China 63 Government finances 63 Investment in assets by source and purpose 64 Money supply and credit 64 Gross domestic product 65 Gross domestic product by expenditure 65 Gross domestic product by sector 65 Price indices 66 Agricultural production 66 Gross agricultural output value by sector 67 Tota l s ow n a rea , by c rop 67 Miscellaneous agricultural statistics 68 Industrial production 68 Sources and uses of credit funds by state banks 69 Exports 69 Imports 70 Balance of payments, IMF series 71 External debt 71 Official development assistance 71 Position of China vis-à-vis BIS-reporting banks 72 Foreign reserves 72 Exchange rates Country Profile 2005 www.eiu.com © The Economist Intelligence Unit Limited 2005 China 3 China Basic data Land area 9,561,000 sq km Population 1.3bn (end-2004) Main towns Population (m) of main cities (end-2000, urban districts only) Shanghai 9.86 Shenyang 4.33 Beijing (Peking, capital) 7.61 Chengdu 3.46 Chongqing 6.61 Nanjing 3.10 Tianjin 5.33 Changchun 2.88 Wuhan 4.41 Xi’an 2.86 Guangzhou 4.36 Dalian 2.75 Harbin 4.35 Climate Continental, with extremes of temperature; subtropical in the south-east Weather in Shanghai (altitude Hottest months, July and August, 23-33°C (average daily minimum and 4 metres) maximum); coldest month, January, -1 to 9°C; driest month, September, less than 5 mm average rainfall; wettest month, June, 160-165 mm average rainfall Language Mainly putonghua, or Standard Chinese, based on northern Chinese (the Beijing dialect known as Mandarin); local dialects and languages are also used Measures The metric system is used alongside certain standard Chinese weights and measures, of which the most common are: 1 catty or jin=0.5 kg 2,000 catties=1 tonne 1 picul or dan=50 kg 20 piculs=1 tonne 1 mu=0.0667 ha 15 mu=1 shang=1 ha Currency Renminbi (Rmb), or yuan. 1 yuan=10 jiao=100 fen. Average exchange rate in 2004: Rmb8.3:US$1. Exchange rate on January 7th 2005: Rmb8.3:US$1 Fiscal year January-December Time Eight hours ahead of GMT Public holidays in 2005 General holidays: January 1st-3rd (New Year); February 9th-11th (Chinese New Year or Spring Festival); May 1st-3rd (Labour Day); October 1st-3rd (National Day). Holidays for particular groups: March 8th (International Women’s Day); May 4th (Youth Day); June 1st (Children’s Day); August 1st (Army Day). © The Economist Intelligence Unit Limited 2005 www.eiu.com Country Profile 2005 4 China Politics The People’s Republic of China (PRC) was founded in 1949, and the Chinese Communist Party (CCP) has been in power ever since. Free-market economic reforms since 1978 have transformed the structure of the economy and raised living standards, but politically China remains a Marxist-style party-state. National leaders are not elected but emerge from the CCP’s political- bureaucratic structure. The current fourth-generation leadership, headed by Hu Jintao, began to take on the most senior positions in the leadership