Milken Institute’s Post

Our latest Best-Performing Cities China 2023-2024 report examines the rapid rise of third-tier cities as key economic drivers, highlighting their vital roles in China's broader economic growth. No.1 Danzhou from #Hainan Province has broadened its economic scope with projects like the Yangpu Port - an up and coming #logistics hub poised for overseas distribution by 2025. No. 2 Huanggang from #Hubei Province has impressively jumped 147 positions. Being close to the No.2 on our tier-one and two cities list, Wuhan, has significantly contributed to its growth, as the city rebrands itself to attract more residents. No. 3 Ya’an from #Sichuan Province benefits from its location near Chengdu and within the Diamond Economic Zone. The city’s economy is supported by tourism and the energy industry. Check the complete city rankings here: https://lnkd.in/edZfyyts #China #Cities #Ranking #Economy #Growth #Market #Investments 

Exploring the Future of Urban Centers in China Capital Markets 🌆💼 This National Day, while tourism experiences a resurgence, it's noteworthy that our capital markets are equally dynamic. Have you ever considered which cities are poised to redefine their futures within these market trends? Here's an intriguing perspective: Historically, bull markets have been driven by flourishing industries. Reflecting on the period post-2000, industries such as automotive, real estate, and technology surged by capitalizing on economic shifts. In the present day, the A-share market presents a compelling narrative. Let us examine two provinces: - **Zhejiang**: Witnessing a significant increase to 700 A-share companies, with 70% concentrated in technology innovation sectors. - **Anhui**: Experiencing growth through strategic IPOs in emerging industries. Moreover, central cities are undergoing a transformative reshuffling: - **Changsha** has surpassed Wuhan to become a new leader in A-share listings. - **Hefei** is rapidly advancing, with a strong emphasis on technological innovation and rising rapidly in the rankings. The question then arises: where should we direct our attention for future growth? High-tech industries remain the focal point in this evolving landscape. 🌟 #CapitalMarkets #UrbanDevelopment #TechInnovation #EmergingIndustries #Zhejiang #Anhui #Changsha #Hefei #EconomicGrowth #NationalDay

When learning about the China market it's easy to gravitate to its most popular first tier cities such as Shanghai, Beijing and Guangzhou. However, understanding lower tier cities is of increasing importance. Consider one like Zhengzhou - an industrial city undergoing rapid modernisation - with a population two thirds the size of London! Here's a look at Zhengzhou and Xi'An which formed part of our recent China exploration. Stay tuned for our snapshot of Sichuan province next week, but as ever let me know if you'd like the full report in advance. #chinamarketing #cityguide #zhengzhou #xian

In the rapidly evolving urban landscape of China, it's fascinating to see which cities are emerging as future hotspots. Surprisingly, 𝗚𝘂𝗮𝗻𝗴𝘇𝗵𝗼𝘂 and Shenzhen find themselves at the lower end of the spectrum, while Shanghai doesn't even break into the top three. So, which city is leading the pack as the most coveted in China's future? At No. #7, 𝗦𝗵𝗲𝗻𝘇𝗵𝗲𝗻 shines as the nation's first Special Economic Zone, not just an economic center but also a global metropolis rich in innovation and entrepreneurship. 𝗡𝗮𝗻𝗷𝗶𝗻𝗴 claims No. #6 spot, leveraging its strategic position along the Yangtze River to foster advanced manufacturing and a deep cultural heritage, home to renowned universities like Nanjing University. No. #5 place goes to 𝗚𝘂𝗮𝗻𝗴𝘇𝗵𝗼𝘂, historically a major trading port, which continues to be among China's fastest-developing cities with its unique geographical advantages and governmental support. 𝗦𝗵𝗮𝗻𝗴𝗵𝗮𝗶, despite facing challenges, secures No. #4 spot with its robust economy, proving its resilience and economic dominance with a remarkable GDP. No.#3 𝗛𝗮𝗻𝗴𝘇𝗵𝗼𝘂 emerges as a pivotal tech hub, with its thriving high-tech industries and unique tourism resources, playing a central role in the Yangtze River Delta. 𝗖𝗵𝗼𝗻𝗴𝗾𝗶𝗻𝗴, with its charm and financial clout, takes the #2 spot, becoming a favorite among locals and foreigners alike, known for its significant contribution to the country's economy and tourism sector. And the city that tops the list? It's a global cultural exchange center with over 3000 years of history, asserting itself as a world-class city. The anticipation of which city holds the crown reflects the dynamic changes and developments within China. As professionals, witnessing these shifts and understanding the underlying factors driving these cities' growth is crucial. How do you see these urban transformations impacting your industry? Could the rise of these cities offer new opportunities for your career or business? #UrbanDevelopment #EconomicGrowth #InnovationHub #china #CulturalHeritage #ChinaTrends #ProfessionalGrowth #graceselected

This South China Morning Post SCMP report shows an interesting trend: while #consumption in #China’s 1st-tier cities (like #Beijing and #Shanghai) may seem sluggish, 2nd and 3rd-tier cities are doing much better. For example, from January to July, restaurant sales in Beijing dropped by 8.2% year-on-year, but surged 11.9% in Chongqing, 10.8% in Fuzhou, and 10.7% in Wuhan. Similarly, while car sales fell by 13% in Beijing and 8.3% in Guangzhou, it grew 18.6% in Sichuan and 11.7% in Hubei. This contrasting data highlights that judging China only by its biggest cities is misleading. The rest of China, especially smaller cities, is thriving. Focusing solely on Beijing or Shanghai doesn’t give you the full picture of China’s economy. Link to #SCMP article in the comments. #ChinaMacro #ChinaConsumption #ChinaEconomics #ChinaEconomy Image: China Daily

2024 begins with some optimism for key economies such as China, with services sector activity expanding at the fastest pace in 5 months in December. This paints a mixed economic recovery as exports, property sector and consumer demand remains muted. I was in Shanghai 2 months ago and witnessed the city’s vibrancy, trendy culture and infrastructure advancement. Domestic tourists, international visitors and business people are eager to experience the city’s energy. Imagine such vigour is replicated in other cities in China - large population base, entrepreneurial grit and dose of fiscal support can help to support domestic growth collectively and promotion of China externally. With these factors and the zeal to drive growth post-Covid, I believe China’s economic momentum can gather pace this year and bring back domestic and external demand for various sectors. #travelthoughts

An interesting map showing cities in China according to their hierarchy. Although this hierarchy is not official, it is widely used both inside and outside China, at least in terms of the highest and lowest levels. A city's score is based on its political and economic importance, size, and wealth of its inhabitants. According to this, the most important cities in China are Beijing, Shanghai, and Shenzhen, and right next to it, Guangzhou.

Business Insights from Linyi: A New Chapter in China Following my enriching experience in Shanghai, I'm excited to share my journey to Linyi City, another remarkable destination in China that holds immense potential for business growth and collaboration. Industrial Hub: Linyi is renowned for its robust industrial sector, particularly in logistics, manufacturing, and wholesale trade. The city is often referred to as the "Logistics Capital of China," serving as a crucial distribution center that connects various parts of the country. Strategic Location: Situated in Shandong Province, Linyi boasts a strategic geographical position that enhances trade opportunities. Its well-developed infrastructure and transportation networks make it an ideal location for businesses looking to expand their reach in China. Engaging with Local Enterprises: During my visit, I've had the privilege of engaging with local business leaders and entrepreneurs. The discussions have been insightful, highlighting the city's commitment to fostering innovation and supporting new ventures. Economic Growth: Linyi's rapid economic development is evident in its expanding urban landscape and thriving commercial activities. The city's focus on sustainability and technological advancement is shaping it into a future-ready business environment. As my journey through China continues, I'm eager to leverage the insights gained from Linyi to drive strategic initiatives for my company. This visit reaffirms the importance of understanding diverse markets and building strong international connections. Looking forward to sharing more experiences and insights with all of you! #inovi #LinyiBusiness #IndustrialGrowth #StrategicOpportunities #CulturalHeritage #ChinaJourney #inovi #solar #solarpanels #solarinverters

Key economic facts about Guangxi that highlight its potential and vitality: Strategic Gateway: 🚍 Guangxi serves as a crucial gateway between China and the ASEAN countries, facilitated by its geographical proximity and extensive land and sea routes, enhancing its role in international trade. 😉 Robust Economic Growth: Guangxi has consistently shown strong economic growth, with a GDP that continues to rise annually, reflecting its expanding industrial base and increased investment. 🚂 Diverse Industrial Sector: The region boasts a diversified industrial sector, with strengths in automotive manufacturing, machinery, electronics, and food processing industries. 📗 Agricultural Richness: Guangxi is one of China's major agricultural provinces, known particularly for its sugarcane production, which is among the largest in the country. It is also a significant producer of fruits such as mangoes and lychee. ⛱ Tourism Hub: The region's stunning landscapes, including the famous Guilin karst scenery, make it a popular tourist destination, contributing significantly to its economy through tourism revenue. 💹 Investment in Infrastructure: Recent years have seen substantial investment in infrastructure development in Guangxi, including improvements in transportation networks like highways, railways, and ports, particularly the Beibu Gulf Port, which is a critical component of regional logistics. ⚡ Energy Production: Guangxi is an important energy base in Southern China, with significant hydroelectric resources from the Hongshui River and other sources, complementing its growing renewable energy sector. High-Tech Development: Efforts to modernize the economy have led to the establishment of high-tech zones and innovation parks, aimed at fostering growth in high-tech industries and increasing research and development activities. 📱 Cross-Border Economic Zones: The region benefits from cross-border economic cooperation zones, which facilitate trade, investment, and economic integration with neighboring Vietnam, enhancing its economic diversity and stability. 🥁 Economic Diversity: The economic landscape of Guangxi is also enriched by its cultural diversity, with a large population of ethnic minorities, including the Zhuang people, who contribute unique products and services to the local and national economy. Guangxi stands out not only for its economic achievements but also for its strategic initiatives that tap into both local and international markets. It presents a compelling mix of tradition and modernity, making it an attractive destination for investors and businesses looking to expand in China and Southeast Asia. Read more about China market on our Blog https://lnkd.in/e3BcfDeJ #China #seoagencychina #businessinchina

Interesting read.