The concept of Xinhua News Agency points out that the excavator index reveals the "cool heat" of China's economic operation from another dimension: a U-shaped curve of decline, bottoming out, rebound, and rebound, reflecting the cooling, stabilization, shifting, and improvement of infrastructure construction over the past five years.
Over the past five years, the construction time of excavators has formed a clear U-shaped curve: in June 2014, the average operating time of large excavators was 76.03 hours, in June 2015 it was 72.9 hours, in June 2016 it was 88.7 hours, and in June 2017 it reached 113.35 hours, a year-on-year increase of 28%.
This data is based on over 20% of excavator data in China. The "Prophet" of Chunjiang Water Heating, over the past five years, from a sluggish decline in production, to a bottoming out rebound, and then to a "leap" of rebirth from the ashes, has presented a transcript of China's economic performance under the new normal in a speechless manner. Reflecting the remarkable reform achievements of China's economy since the 18th National Congress of the Communist Party of China.
Since the 18th National Congress of the Communist Party of China, China's economic growth has not slowed down and has always operated within a reasonable range. Jia Kang, Vice President and Secretary General of the China Finance Association, stated that based on comprehensive observations from various aspects such as the excavator index, manufacturing purchasing managers index, and import and export, the highlights of China's economic operation are becoming increasingly apparent, and the new and old driving forces are orderly transitioning. At the same time, international institutions such as the World Bank have also raised their expectations for China's economic growth rate.
On October 4th, the World Bank raised its expectations for China's economic growth in its latest semi annual report on East Asia and the Pacific. The World Bank predicts that China's economic growth rates will reach 6.7% and 6.4% in 2017 and 2018, respectively, which is higher than the Bank's previous estimates of 6.5% and 6.3%.
The semi annual report believes that China's growth rate has exceeded expectations, and China's economic growth is expected to moderate from 2018 to 2019. These changes stem from the rebalancing of the Chinese economy, reducing reliance on investment and external demand, and shifting towards relying on domestic consumption to drive growth.
On September 12th, Chinese Premier Li Keqiang held a "1+6" roundtable dialogue with World Bank President Kim Yong, International Monetary Fund (IMF) President Lagarde, World Trade Organization Director General Azevedo, International Labour Organization Director General Laide, Secretary General of the Organization for Economic Cooperation and Development Guria, and Financial Stability Council President Carney at the Diaoyutai State Guesthouse.
The heads of international economic and financial institutions attending the meeting praised China's efforts to build an open world economy, stating that China's economic growth and transformation and upgrading momentum are strong, and the prospects are more promising. This is due to effective macroeconomic policies and structural reform measures, as well as the vigorous development of entrepreneurship and innovation and the continuous improvement of the business environment. It provides strong support for the world economy to maintain recovery and growth momentum, and also provides valuable development experience for other countries to learn from.
In addition to the World Bank, other international institutions have also raised their growth expectations for the Chinese economy this year and next. On October 10th, the IMF raised its global GDP growth forecast for 2017 in its latest World Economic Outlook. Among them, China's GDP growth forecast for 2017 was raised to 6.8%, compared to the previous forecast of 6.7%. This is the fourth time this year that the IMF has raised its growth forecast for China. It is worth noting that the IMF is not optimistic about the economic growth of many economies. The organization believes that the global economic recovery may not be sustainable as not all countries have experienced economic recovery, such as some eurozone countries whose medium-term economic prospects remain disappointing. The IMF, which has a favorable impression of the Chinese economy, can find many resonance in the world. International institutions such as the World Bank, Asian Development Bank, Citibank, ASEAN and China Japan South Korea (10+3) Macroeconomic Research Laboratory have recently raised their expectations for the growth rate of the Chinese economy in 2017. Many foreign media outlets such as The Economist and The Financial Times have also praised the continuous innovation and rapid development of the Chinese economy.
