City's digital economy takes lead in China

Writer: Han Ximin  |  Editor: Stephanie Yang  |  From: Shenzhen Daily  |  Updated: 2021-08-26

Shenzhen's digital economy ranked first among Chinese cities in terms of both added value and its proportion to the city’s total GDP, the city’s industry and information technology bureau said at a news conference in Guangzhou on Tuesday.

According to the bureau, Shenzhen’s core digital industries’ added value hit 844.6 billion yuan (US$130 billion) in 2020, accounting for 30.5 percent of the city’s GDP.

The output value of electronic information manufacturing reached 2.2 trillion yuan, making up 20 percent of the country’s total.

Shenzhen is home to 21 of China’s top 100 electronic information enterprises. The revenue of its software businesses is 10 percent of the country’s total, ranking second among Chinese major cities. The city boasts 11 software enterprises that are among the country’s top 100.

Shenzhen has expedited the digital transformation of manufacturing.

In 2020, Bao’an District became a national demonstration base for new type industries and Longhua District was approved to be a provincial demonstration base for industrial internet.

Huawei, Foxconn and Tencent made it onto the 15 enterprises in China’s cross-industry and cross-sector industrial internet platform list.

The city has also sped up construction of its digital infrastructure.

By the end of 2020, Shenzhen had completed installations of 47,600 5G stations, becoming the world’s first city with full 5G network coverage.

The city’s free WiFi covers 90 percent of public areas. Shenzhen is also the country’s first to start laying out multifunctional smart poles.

Also at the news conference, Guangdong’s top legislature announced the regulation on promoting digital economy development will take effect in September.

Last year saw Guangdong’s digital economy generate added value of 5.5 trillion yuan, or 46.8 percent of the provincial total, topping the country, the provincial government said at the conference.

China’s digital economy increased 9.6 percent year on year in 2020, the fastest growth rate globally, according to an industry white paper released earlier this month by the China Academy of Information.

The U.S. continued to lead the world in terms of digital economy scale, which hit US$13.6 trillion in 2020, followed by China (US$5.4 trillion), Germany (US$2.54 trillion), Japan (US$2.48 trillion) and the U.K. (US$1.79 trillion).