Report Maps Business Opportunity in China’s Growth Cities
12 November 2010
China is a hotspot for business opportunities as the population of the top 20 emerging cities in China will grow by approximately 30% to 85 million,
according to the latest report from the Economist Intelligence Unit’s(EIU) Access China service. The report sends a clear message to international businesses looking at expansion opportunities in China. The EIU has identified the top 20 fastest growing large cities in the world’s most dynamic economy, with Chongqing, Hefei, Anshan, Maanshan, Pingdingshan and Shenyang being the top six cities.
These six cities say the report highlight the breadth of business opportunities available, fuelled by the on-going construction boom, rising home and vehicle
ownership, and spending on personal appliances. The EIU’s China experts have also ranked all 20 cities by specific factors, other than growth. These cover the level of economic development, consumer markets, logistics,IT, connectivity, education, average wages, healthcare and pollution.
Despite the global recession, China has continued to achieve year-on-year double-digit economic growth, presenting enormous opportunities for
international businesses. However, the financial crisis has hit the income of the export centres, such as Beijing, Shanghai and Tianjin, based in the
east of the country. The rise of the new cities reflects growth moving away from the export-led east to China’s inland.
Gareth Leather, EIU analyst and one of the report’s authors, commented, “Our report shows that China’s urban population will continue to grow for
the next 30 years. That’s good news for economic growth. People in the fast-growing cities will have money to spend. The growth rate of disposable
income per head in Hefei will be nearly seven times faster than London’s in 2012. The cities themselves will have enormous economies with the city of
Zhengzhou having an economy bigger than Hong Kong, Sweden or Israel.”