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By Li Shantong & He Jianwu, Research Department of Development Strategy and Regional Economy, DRC; Tang Zedi, School of Public Policy & Management, Tsinghua University; Zhang Yibing, School of Economy and Management, Beijing Information Science and Technology University

Research Report, No.195, 2019 (Total 5695)

2019-11-1

Abstract: Using the data of the UN Industrial Development Organization (UNIDO), this report mainly analyzes the features of the changes in the added-value rate of China’s manufacturing industry and the relationship between international and domestic manufacturing industries’ added-value rates and their respective development. The research has found that from a global perspective, the manufacturing industry’s added-value rate and the development level show a “U-shaped” pattern. Due to factors such as the manufacturing structure upgrading, China’s manufacturing industry’s added-value rate has generally declined. Because of the impact brought by the short-term changes in bulk commodity prices in 2017, the added-value rate experienced a periodic rise. The added-value rate of domestic provinces has a negative correlation with the overall development level. This report holds that a perspective that takes development stages, short- and long-term, micro- and macro-factors into account needs to be adopted when viewing the changes in manufacturing industry’s added-value rate, and added-value rate cannot be simply regarded as the sole indicator of the optimization and upgrading of the manufacturing structure and efficiency enhancement of a country or region.

Key words: manufacturing industry, added-value rate, structural upgrading, efficiency enhancement