China’s digital economy surges in 2020 amid pandemic, making up nearly 40 per cent of country’s GDP

China’s digital economy accounted for 38.6 per cent of its GDP last year, up 2.4 percentage points from 2019

This segment of the country’s economy includes electronics manufacturing, telecommunications, internet and software services

Reading Time:2 minutes

China’s digital economy grew by 9.7 per cent last year. This segment of the economy includes electronics manufacturing, telecommunications, internet and software services, as well as the value-added from the application of digital technologies in traditional businesses. Photo: Xinhua

Published: 6:00pm, 27 Apr 2021Updated: 10:28am, 28 Apr 2021

China’s digital economy made up nearly 40 per cent of the country’s gross domestic product in 2020, as consumers and businesses moved many of their daily activities online amid the disruptions caused by the coronavirus pandemic.

That segment of China’s economy amounted to 39.2 trillion yuan (US$6 trillion) last year, an increase of 3.3 trillion yuan from 2019, according to the white paper Digital Economy Development in China (2021), published by the China Academy of Information and Communication Technology (CAICT), a think tank affiliated with the Ministry of Industry and Information Technology.

It accounted for 38.6 per cent of China’s GDP last year, up 2.4 percentage points from 2019, according to the white paper, which was presented on Sunday during the fourth Digital China Summit held in Fuzhou, capital of southeastern Fujian province.

The digital economy grew by 9.7 per cent last year, more than triple the growth rate of the country’s GDP in the same period, according to the white paper. CAICT said this segment of the economy includes electronics manufacturing, telecommunications, internet and software services, as well as the so-called value-added from the application of digital technologies in traditional businesses.

A robot from the Xiamen International Bank is seen at the digital achievements exhibition during the fourth Digital China Summit held in Fuzhou, capital of southeastern Fujian Province, on April 25, 2021. The two-day summit, which kicked off on Sunday, exhibited breakthroughs and innovations in China’s digital economy. Photo: Xinhua

The data reinforces the role played by China’s digital economy when the coronavirus outbreak started disrupting normal life in China early last year. The technology sector rushed to the fore on many fronts as a literal lifesaver: robots in hospitals, health code apps, online education and remote working all played crucial roles in keeping the country operational even as most of the population was trapped in self-isolation.

Select Voice

Choose your listening speed

Get through articles 2x faster

1.25x

250 WPM

Slow

Average

Fast

00:0000:00

1.25x