A view of the Lujiazui financial area in Shanghai from across the city's Huangpu River. [Photo/WeChat account: shanghaifabu]

Shanghai has showcased robust performance in the initial half of 2024, as revealed by official data released on July 19. The city's gross domestic product (GDP) rose to 2234.559 billion yuan ($307.25 billion) during this period, marking a substantial 4.8 percent year-on-year increase. In particular, the city's secondary and tertiary industries experienced notable growth rates of 1.2 and 5.8 percent, respectively.

An analysis conducted by the Shanghai Municipal Bureau of Statistics highlighted three key factors driving Shanghai's economic success in the first half of the year: the rapid expansion of the service sector, growth in leading industries, and increased investments.

The service industry emerged as a pivotal force propelling Shanghai's economic surge in the initial half of 2024. Significant growth was observed in sectors such as transportation, warehousing, postal services, information technology, scientific research, technical services, leasing, business services, and finance.

The flourishing service sector was underscored by the resurgence of the flow-based economy, with notable upticks in cargo turnover volume, airport passenger throughput, and the revenue from travel agencies, conferences, and exhibitions.

Shanghai's key industries, including integrated circuits, biomedicine, and artificial intelligence, maintained positive growth trajectories, contributing to a 6.1 percent year-on-year increase in manufacturing output. Noteworthy investments in high-tech manufacturing, particularly in integrated circuits and semiconductor devices, further bolstered this growth.

Investment in Shanghai remained robust in the first half of 2024, with fixed asset investment surging by 10.2 percent year-on-year. Industrial, real estate, and social development investments also experienced significant increases.

Of particular interest was the 19.3 percent year-on-year spike in high-tech manufacturing investments, which was driven by projects in electronic and communication equipment manufacturing, medical equipment, and instruments and apparatus manufacturing.

Source: Shanghai Observer, Shanghai Municipal Bureau of Statistics