By this time we may compare between light industry and heavy industry in China. Nowadays, light, and heavy industry always being main ways think about to classify and define about industry. And also these two kinds of industries always are complementation, as state’s development, we barely depend either light industry or heavy industry. Only throughout and thoroughly implementing about development of two types of industries such as light industry and heavy industry together, then we may see the good perspective for a country. So in recent years, what is the situation of light industry and heavy industry in China? We may consider to analysis through two aspects respectively.
China Light Industry – Clothes
As light industry definition, it means the industrial department that mainly produce consumer goods, for example, foods, textile and clothes, furniture, paper-making, printing, stationery, sports goods and daily chemical industry. According to materials applied to classify two categories such as light industry based on agricultural products, light industry based on non agricultural products. Actually, since 1949 till now, China always have developed the country depending on agriculture and light industry, certainly, in recent year, China heavy industry also has been developed as well. Meanwhile, the light industry based on agricultural materials always is line with agricultural development. We take example of textile and clothes industry to know deeply by this time because of developed agriculture of China.
China is the biggest country about textile and clothes production, consumption and exportation across the world. In 2014, According to statistics from State Statistics Bureau of China, The clothes industry about wholesales and retails, total amount was around 11,510.7 billion yuan, meanwhile, the part of exportation was about 2,747.3 billion yuan. From sales domain, since 90s, last century till now, Clothes industry in China as one of light industries experience about three of phases of development,
- The first phase, 1990-2000, age of clothes wholesalers
90s, twentieth Century was only the initial stage about China clothes industry, its layout of competition was not yet formed, and shown supply more less than demand. However, the obvious feature of this stage was good quality for clothes, so good quality may satisfy demand of consumption.
- The second phase, 2000-2010, age of clothes retailers
This was the growing period for clothes industry in China from 2000 to 2010. The consumption of clothes slightly raised grade and many of famous brands have emerged in the domestic markets. However, whole industry owned enough capacity and potential, so clothes enterprises may depend on personality to extend its market without more consideration about market channel. Certainly, at that time competition way was about competition of resources of physical stores, and enterprise core was market channel’s extension. LiNing as famous sport brand was born at that time.
- The third phase, 2010 till now, age of brand of clothes
Since 2010, clothes industry has entered into mature period of development, and transformation pace has also sped up. Its industry tended to rise brand of high end clothes and service of difference slightly became core of future development in clothes industry.
China Heavy Industry – Steel
Contrary to light industry, Heavy industry is also playing important role in development of China and definition of heavy industry is about the department supplying materials of production. Its range includes Steel and Iron industry, metallurgy industry, machinery, energy (power, fossil oil, coal, natural gas and so on), chemistry, material and so on. In 2016, the total value of outputting in China for heavy industry and manufacturing industry reached to 21.62 trillion yuan, occupying 29 percents of GDP of China, comparing to 2012 raised up to 34%. In past five years, the total values of outputting of domestic manufacturing industry was grown rapidly with average annual complex growth rate of 6%.
By this time we try to analysis steel industry, one of heavy industries due to its basic and raw material production industry may effect a lot of other heavy industries. Actually, the yield of rough steel of China occupy half rate around world and China steel market’s development will take crucial impact to globe. In 2016, the yield of rough steel in China was about 49.6% of global outputting. Recently, according to analysis of global steel situation, we found many of countries out of China has shown their revival economy, but for increase of steel of consumption is not obvious. At the same time, China’s rough steel production is also slow down.