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China 
Service Sector
Why Important ? 
Innovation 
Employment growth 
Sustained Growth 
Contribution to GDP 
Productivity
CHINA services sector defined 
The term ‘services’ covers a wide range of intangible and 
different products and activities such hotel and catering services, 
Financial services, transport and logistics s etc. 
But in China, the term ‘tertiary industry’ is used typically to 
represent the services sector 
- Transportation 
- Postal and telecommunications 
- Hotel 
- Etc.
Development stages 
1978-1982 : Steady 
1983-1992: Gradually Rising 
1993-1996: Slowly 
1997-2002: Rapidly 
2003-2005: Relatively slow 
2006-2010: Stable growth 
23.9% of GDP 
43 % of GDP 
12.2% in total employees 
34.1 % in total employees
Service Proportion of GDP
Sector Composition 
Services have become important since the 1980s 
In 2009 the secondary sector contributed just three percentage 
points more towards economic output than the tertiary sector 
(46% to 43%)
Development Situation 
1 
The financial industry development fastest. 
2 The Commerce and trade growth steadily. 
3 The Real estate industry get a shape increase. 
Modern services have a Strong momentum of development, 
The traditional services are still in the leading position. 
4 
12% 
16.3% 
12.9%
Structure
Five Year Plans
Tenth Plan (2001–2005) 
• 7 % annual economic growth 
• Achieve growth 
– Primary : 13% 
– Secondary : 51% 
– Tertiary : 36% 
• Improve the national economy and social IT levels 
• Improve medical and health services
Eleventh Guideline (2006–2010) 
• 7.5 % annual economic growth 
• Service industry's value added from 40.3 to 43.3 % 
• Employment in service from 31.3% to 35.3%
Future 
• Transformation to a service economy will still take time 
• Demographic situation is in favour
Twelth Plan (211–2015) 
• GDP Growth 7 % 
• Major boost to 
– health care 
– Energy 
– technology. 
• Service sector value-added to 47 % of GDP 
• Preference to Insurance
Thank You

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China's Growing Service Sector Drives Innovation & Employment

  • 2. Why Important ? Innovation Employment growth Sustained Growth Contribution to GDP Productivity
  • 3. CHINA services sector defined The term ‘services’ covers a wide range of intangible and different products and activities such hotel and catering services, Financial services, transport and logistics s etc. But in China, the term ‘tertiary industry’ is used typically to represent the services sector - Transportation - Postal and telecommunications - Hotel - Etc.
  • 4. Development stages 1978-1982 : Steady 1983-1992: Gradually Rising 1993-1996: Slowly 1997-2002: Rapidly 2003-2005: Relatively slow 2006-2010: Stable growth 23.9% of GDP 43 % of GDP 12.2% in total employees 34.1 % in total employees
  • 6. Sector Composition Services have become important since the 1980s In 2009 the secondary sector contributed just three percentage points more towards economic output than the tertiary sector (46% to 43%)
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  • 8. Development Situation 1 The financial industry development fastest. 2 The Commerce and trade growth steadily. 3 The Real estate industry get a shape increase. Modern services have a Strong momentum of development, The traditional services are still in the leading position. 4 12% 16.3% 12.9%
  • 11. Tenth Plan (2001–2005) • 7 % annual economic growth • Achieve growth – Primary : 13% – Secondary : 51% – Tertiary : 36% • Improve the national economy and social IT levels • Improve medical and health services
  • 12. Eleventh Guideline (2006–2010) • 7.5 % annual economic growth • Service industry's value added from 40.3 to 43.3 % • Employment in service from 31.3% to 35.3%
  • 13. Future • Transformation to a service economy will still take time • Demographic situation is in favour
  • 14. Twelth Plan (211–2015) • GDP Growth 7 % • Major boost to – health care – Energy – technology. • Service sector value-added to 47 % of GDP • Preference to Insurance