An Overview of China's Industrial Statistical Methodology

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					An Overview of China’s Industrial Statistical Methodology
Xiaohui WANG Department of Industrial and Transport Statistics National Bureau of Statistics, China

Introduction of myself
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Name: Xiaohui Wang Organization: Division of Industrial Statistics Coordination, Department of Industry and Transport statistics, National Bureau of Statistics of China E-mail: wangxh@stats.gov.cn

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The duty of my Department is: Responsible for organizational work in the implementation of surveys and First National Economic Census for industrial and energy statistics of China, that includes questionnaire’s designing, data collecting, checking, processing, analyzing and statistical report writing, training to regional statistician.

topics
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Ⅰ.Units of Industrial Survey Ⅱ.Scope of Industrial Survey Ⅲ. Industrial survey Methodology Ⅳ.The outline of Complete Enumeration Methodology Used in Industrial Enterprises Designated above Size

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Ⅴ.Outline of Sample Survey Used in Industrial Enterprises Designated Below Size and Selfemployed Individuals Ⅵ.On Line Direct Reporting Ⅶ. Publication

Ⅰ.Units of Industrial Survey
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The Units of Industrial survey are grouped into three categories: 1. Corporate industrial enterprises with independent accounting system, which provide monthly, quarterly and annual report regularly.

Definition of corporate enterprise
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1)They are established legally, with their own names, organizations, location, and are able to take civil liability; 2)They possess and use their assets independently, assume liabilities, and are entitled to sign contracts with other units; 3)They are financially independent and compile their own balance sheets.

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2. establishments. They appear in the annual survey with basic information in the relevant NBS directory

Definition of establishment
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1)They have each one location and are engaged in one kind of industrial activity each; 2)They operate and manage their industrial production activities separately; 3)They have accounts of income and expenditures separately.

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3. Enterprise Groups. They are included in the annual survey of Service Industry Survey Center of NBS.

Ⅱ.Scope of Industrial Survey
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Based on The “Chinese Standard Industrial Classification”, there are three major categories of industrial activities: Mining and Quarrying, Manufacturing, production and distribution of Electricity、Gas and Water.

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The industrial sector covers 39 2-digit level, 191 3-digit level, and 525 4-digit level industries. Area covered: China-wide, don’t include Hong Kong, Macao, and Taiwan

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Ⅲ. Industrial survey Methodology
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Based on the size of industrial enterprises, NBS adopts three different approaches:

1. complete enumeration
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For industrial enterprises above designated size used.
This category includes: all state owned enterprises (SOEs)and those not-stateowned enterprises with an annual revenue of and above 5 million RMB.

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2. sample survey
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For industrial enterprises below designated size and self-employed individuals used. This category includes: all not-stateowned industrial enterprises with annual revenue below 5 million RMB and all self-employed individuals.

3. on line direct reporting
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For large and medium enterprises used.

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The three criterions of Large and
Medium Size Industrial enterprises are:

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Large size enterprises: with minimum 2000 employees, 300 million (RMB) annual sales, and 400 million (RMB)

assets.

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Medium size enterprises: with the size of employees equals or above 300 and below 2000, sale equal or above 30 million (RMB) but less than 300 million (RMB), asset equals or above 40 million (RMB) but less than 400 million (RMB).

Ⅳ.The outline of Complete Enumeration Methodology Used in Industrial Enterprises Designated above Size
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From 1998, the complete enumeration has

been used in industrial enterprises
designated above size. It covered about 160,000 enterprises in 1998, 280,000

enterprises in 2005, 80% of all industrial
value-added activities

1.Survey frequency
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annual、quarterly and monthly.

2.Survey content
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1) Annual survey includes: --Basic information of corporate enterprise: name, code, location and administrative code, telephone number, registration code, industry code, number of establishments etc.

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--Basic information of each establishment. --Output indicators: gross output value, of which new products, gross sales of products, of which value of exports delivery

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--Financial indicators: 69 variables, including asset, liability, revenue of major activities, costs and expenses (operating, administrative and financing), profits, value-added-taxes, intermediate industrial input, cash flow from operating、investing and financing, etc.

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--number of employees, wages and salaries. --Production capacity of major products: about 30 such products

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2)Quarterly survey --The table of financial situations: 17 major financial indicators of each enterprise; --The table on major products’ sale, inventory and order: more than 100 products

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--Energy consumption at the enterprise level: purchase, consumption, inventory and processing of 19 kinds of energy products. --Energy consumption per unit of product: for 19 major energy consumption industries --Consumption of water

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3)Monthly survey The table of production: 4 indicators in terms of RMB (gross output value, of which of new products, gross sales industrial products, of which value of exports delivery) and output over 400 major products.

3.Survey Procedure
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The general procedure is enterprises reporting system:

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For each enterprise, the statistician who belongs to enterprise fill out the survey questionnaires and report it to County (or city) Level Statistical Offices, County (or city) Offices submitted database of enterprise’s data to Provincial Level Offices, and Provincial Offices submitted them to NBS.

4.Reporting time
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Generally, the latest time that enterprise’s data reported to NBS is: --Annual survey: the end of March after current year --Quarterly survey: 15th after current quarter. --Monthly survey: 12 o’clock 6th after current month.

Ⅴ.Outline of Sample Survey Used in Industrial Enterprises Designated Below Size and Self-employed Individuals
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1. Method: two sampling methods --Stratified random sampling: It is for industrial enterprises designated below size. That is using a 2.1%(23000 enterprises) stratified random sample from the 1.1 million industrial enterprises to estimate situations of the overall population.

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--Stratified cluster sampling: It is for self-employed individuals. That is using a 1.5% (10,000 village) stratified cluster sample from 750,000 village to estimate situations of the overall population.

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--Sampling precision: the probability is kept below 95% and the maximum relative variance of gross output value is kept within 10% .

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2.Frequency of survey: Quarterly survey 3.Content of survey --Industrial enterprises designated below size: basic information, 4 quantitative indicators (number of employees at period end, gross output value, revenue of major activities, expected changes of the number of employees next quarter );

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--Self-employed individuals: basic information, 2 quantitative indicators (number of employees at period end, revenue);

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4、The general procedure of collecting units data: Enterprises and individuals => NBS city level offices => NBS provincial offices=>NBS headquarter

Ⅵ.On Line Direct Reporting
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This method was first established in 1999 when the online direct submission system was first setup for 5000 key enterprises. In 2004, this project was expanded to include about 25,000 large and medium size enterprises as well. In 3 to 5 years, this project will cover all industrial enterprises designated above size. this means that on line survey will cover 280,000 enterprises.

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Survey content: besides regular surveys, this system is also used for one-time surveys on hot issues for the Communist Party of China (CPC)’s Central Committee and State Council.

Ⅶ. Publication
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We publish the results of industrial statistics on News, newspaper, magazines, publications and Website:

http://www.stats.gov.cn.

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The main publications are: "China Monthly Economic Indicators", NBS (Chinese and English). "Industrial Statistics Yearbook", NBS "China Statistical Yearbook", NBS (Chinese and English).

Thank you very much!