Hangzhou reports robust growth in digital economy in 2018

Hangzhou, the capital of Zhejiang province, a city with a strong emerging digital economy, recorded more than 1 trillion yuan ($145.4 billion) through the main business revenue of its core industries in the digital economy in 2018, the first time the figure has broken this key threshold.

The added value generated by its core industries of the digital economy reached 335.6 billion yuan, a year-on-year increase of 15 percent and accounting for 24.8 percent of the city's GDP, the report says.

Last year, the city unveiled its ambitious plan to become the nation's foremost city for the digital economy, with a focus on three major paths including the industrialization of digital resources, digitalization of industries, urban digitalization, and their integration, according to a local official.

The software and information service industry is a major highlight, generating over 700 billion yuan in its main business income, up 21.5 percent compared with the previous year. Local internet juggernauts including Alibaba and NetEase continue to expand their presence in the field of digital industrialization and ranked among the 2018 top 100 internet companies in China.

Meanwhile, the emergence of more and more digital technologies have also propelled the upgrading and transformation of traditional industries. Last year, the city completed over 400 key projects on robotics, promoted the application of 2,209 industrial robots, and carried out 236 projects on the application of internet of things in factories.

In 2018, the main business revenues in the city's robotics and electronic information products manufacturing industries grew by 17.4 percent and 14.2 percent respectively, maintaining double-digit growth. The internet of things and big data industries recorded a 22.5 percent and 19.4 percent increase in its revenues.

This year, Hangzhou is aiming for more high-quality development in its digital economy, focusing on cultivating emerging industries, digitalizing manufacturing industries and enterprises, promoting innovation, and advancing the commercial use of 5G technologies.