In 2021, under the strong leadership of the Municipal Party Committee and the Municipal Government, the whole city, guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, adhered to the underlying principle of pursuing progress while ensuring stability. The whole city focused on the “one start” ( i.e. ensuing a good start for the “14th Five-Year Plan”), the “two major events” (i.e. delivering quality services for the centenary celebration of the CPC and making good preparations for the Beijing 2022 Winter Olympic and Paralympic Games), and the “three tasks” (i.e. keeping the systematic control measures in place against the COVID-19 without abating; rectification of problems contained in the probe briefings of the disciplinary inspection work and the central environmental inspection protection work; new leadership elections at the three levels that include districts, townships and villages) based on scientific coordination of COVID-19 prevention and control and economic and social development. The unstoppably steady economic recovery, well-guaranteed living standards for the people as well as new progresses and feats of high-quality development all indicate excellent achievement of the expected development goals and represent a good start for the “14th Five-Year Plan”.

According to the unified calculation results on GDP, Beijing’s GDP in 2021 totaled RMB 4.02696 trillion, up by 8.5% over the previous year based on constant price. Compared with 2019, the two-year average growth rate was 4.7%. By industries, the value added of the Primary Industry was RMB 11.13 billion, up by 2.7% over the previous year; the value added of the Secondary Industry was RMB 726.86 billion, up by 23.2%; the value added of the Tertiary Industry was RMB 3.28896 trillion, up by 5.7%.

I. Agriculture restructured for optimization, urban agriculture on the way to recovery

In 2021, the realized gross output value of agriculture, forestry, animal production and hunting, fishing in Beijing reached RMB 26.91 billion, up by 2.8% over the previous year based on comparable price with the output value of agriculture and animal production and hunting growing rapidly. The realized output value of agriculture (planting industry) reached RMB 12.30 billion, up by 11.9%, the production of vegetables and edible mushrooms hit 1.656 million tons, up by 20.1%; the realized output value of animal production and hunting reached RMB 4.58 billion, up by 11.2%, the number of slaughtered pigs in 2021 and the pig stock by the end of the year was 309,000 and 590,000, increasing by 75.8% and 83.5% respectively with urban agriculture was well on the way to recovery. The sown area and output value of facility agriculture increased by 7.5% and 15.7% respectively over the previous year. The number of tourists received in leisure agriculture and rural tourism registered 25.202 million person-times, increasing by 34.2%, and the realized income totaled RMB 3.26 billion, up by 30.4%.

II. Industrial production growth at high speed, high-end industries in good growth momentum

In 2021, the value added of industrial enterprises above designated size in Beijing rose by 31.0% over the previous year based on comparable price, with the two-year average growth rate of 15.8%. In key sectors, driven by the vaccine production, the value added of pharmaceutical manufacturing industry increased by 2.5 times over the previous year; that of other sectors i.e. computer, communication equipment and other electronic equipment manufacturing increased by 19.6%%; that of the sector of electric and heat power production and supply increased by 6.7%; and that of auto industry decreased by 12.0%. High-end industries presented good momentum of growth. The value added of hi-tech manufacturing and strategic emerging industries respectively increased by 1.1 times and 89.2% over the previous year, with the two-year average growth rate of 52.5% and 43.7% respectively. The output of industrial output, integrated circuit and smartphone respectively increased by 56.0%, 21.7% and 17.1% over the previous year.

III. Service sector in stable operation, with high contributions from the subsectors like information finance, wholesale and retailing

In 2021, the value added of the Tertiary Industry in Beijing increased by 5.7% over the previous year on constant price, with the two-year average growth rate of 3.2%. Specifically, the sector of information transmission, software and information technology services realized value added of RMB 653.53 billion, increasing by 11.0% over the previous year; the finance sector realized value added of RMB 760.37 billion, increasing by 4.5%; the wholesale and retail trade realized value added of RMB 315.06 billion, increasing by 8.4%; the three sectors contributed nearly 70% to the growth of the Tertiary Industry, being its main support. The value added of the accommodation and restaurants, transport, storage and post, renting and leasing activities and business services respectively increased by 13.7%, 5.9% and 3.4%, all maintaining a momentum of recovery growth.

IV. Investment in fixed assets expanded steadily, with investment in manufacturing sector playing a leading role

In 2021, the total investment in fixed assets of Beijing (excluding peasant households) increased by 4.9% over the previous year, with the two-year average growth rate of 3.5%. By industries, the investment in the Primary Industry fell by 59.5% over the previous year; the investment in the Secondary Industry grew by 38.2%; the investment in the Tertiary Industry grew by 3.0%. By sectors, the investment in manufacturing sector grew by 68.3%; of which, the investment in hi-tech manufacturing sector grew by 99.6%; the investment in the finance sector grew by 68.2%; the investment in health care and social work grew by 22.8%. By investment fields, the investment in infrastructures fell by 8.9%; the investment in real estate development grew by 5.1%; while private investment grew by 6.4%.

By the end of 2021, the area of constructed commercial housing of Beijing reached 140.553 million square meters, increasing by 1.0% over the end of the previous year; of which, the area of constructed residential buildings amounted to 68.956 million square meters, increasing by 2.7%. The area of sold commercial housing in 2021 amounted to 11.071 million square meters, increasing by 14.0%; of which, the area of sold residential buildings amounted to 8.771 million square meters, increasing by 19.6%.

V. Market consumption scale expanded with on-line consumption growing rapidly

In 2021, the total market consumption in Beijing grew by 11.0% over the previous year, with the two-year average growth rate of 1.7%. Specifically, service consumption grew by 13.4%, with the two-year average growth rate of 3.8%; total retail sales of consumer goods summed up to RMB 1.48677 trillion, up by 8.4%, with the two-year average decline rate of 0.7%. Among the total retail sales of consumer goods, by consumption patterns, the commodity retail sales were RMB 1.37331 trillion, up by 7.1% over the previous year; and the income from catering was RMB 113.46 billion, up by 27.5%. By commodity category, among the wholesale and retail enterprises above designated size, the retail sales of beverages, and clothing, shoes, hats and textiles relating to modest living consumption grew by 36.4% and 16.9% over the previous year respectively; and the retail sales of stationery and office supplies and communication equipment relating to upgraded consumption grew by 21.4% and 16.7% respectively. The on-line retail sales of wholesale and retail enterprises and accommodation and restaurants enterprises above designated size reached RMB 539.27 billion, up by 19.0% over the previous year, with the two-year average growth rate of 24.5%.

VI. The Consumer Price Index (CPI) on mild rise, the Producer Price Index (PPI) rising continuously

In 2021, Beijing’s CPI increased by 1.1% over the previous year. In specific, the price of consumer goods rose by 1.0% and that of services went up by 1.2%. In 8 categories of commodities and service items, “the prices of 4 categories increased while the prices of the other 4 categories dropped”: the price grew by 5.1% for transportation & communication, 1.1% for housing, 0.9% for education, culture & entertainment, and 0.5% for food, tobacco & alcohol; the price fell by 0.5% for other supplies & services, 0.3% for household goods & services, 0.2% for healthcare, and 0.2% for closing. In December, CPI increased by 1.8% year on year, with the growth rate being 0.6 percentage points lower than that of the preceding month and fell by 0.3% month on month.

In 2021, Beijing’s PPI rose by 1.1% over the previous year and Industrial Production Index (IPI) was up by 3.7% over the preceding year. In December, PPI rose by 2.2% year on year and 0.6% month on month; IPI rose by 7.5% year on year and 1.4% month on month.

VII. Resident income in a progressive rising trend, household consumption recovery under way

In 2021, the per capita disposable income of residents in Beijing was RMB 75,002, up by 8.0% over the previous year. All the four income categories increased: wage income increased by 10.2%, operating net income increased by 15.8%, property net income increased by 5.7 %, and transfer net income increased by 3.5%.

In 2021, the per capita consumption expenditure of residents in Beijing hit RMB 43,640, up by 12.2% over the previous year. All the eight categories of consumption expenditure increased; of which, the consumption growth rate of the healthcare, education, culture & entertainment, and other supplies & services was higher, being respectively 22.0%, 21.0% and 20.3%.

In summary, Beijing has continuously done the job well by ensuring stability on the six fronts (i.e. employment, financial operations, foreign trade, foreign investment, domestic investment and expectations)，ensuring security in the six areas (i.e. job, basic living needs, operations of market entities, food and energy security, stable industrial and supply chains, and the standard functioning of primary-level governments), and advancing the work on the five aspects in tandem (i.e. turning Beijing into an international science and technology innovation center, vigorously developing the Integrated National Demonstration Zone for Opening up the Services Sector and the China (Beijing) Pilot Free Trade Zone, building Beijing into a digital benchmarking city, driving forward new demands for the development of supply-side structural reforms, and Beijing-Tianjin-Hebei coordinated development) in 2021. The stable overall economic recovery and the further heightened development quality are both hard won. However, it is also worth noting that the international environment is becoming increasingly capricious and adverse, while the domestic economy faces the triple challenges of demand contraction, supply shock and weakening expectations. Moving forward, we will continue to uphold Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, keeping stability as the top priority while pursuing progress; we will fully, accurately and comprehensively implement the new development philosophies for building a new development landscape at an accelerating pace based on the well-coordinated efforts in containing and fighting the COVID-19 virus while ensuring economic and social development; we will spare no effort in promoting the unflagging high-quality development of Beijing and welcome the CPC’s 20th National Congress with our substantive endeavors.

Note:

1. According to the regulations of China’s GDP unified calculation and data release system, the calculation of GDP consists of two steps: preliminary calculation and final verification. After final verification, the current price of Beijing’s GDP in 2020 summed up to RMB 3.59433 trillion, up by 1.1% over the previous year based on constant price

2. The two-year average growth rate refers to the growth rate calculated with the geometric average method based on the figures of the corresponding same period in 2019.