Emerging industry gives Shanghai economic boost

The increasing share of the services sector in gross domestic product and the continued decline in the industrial sector show that the city's transition lies in services and is consumption-driven, according to newfigures released by the Shanghai Municipal Bureau of Statistics.

The city's GDP grew 6.7 percent year-on-year in the first half of the year, the same as the country's GDP growth for the second quarter.

"We've received steady growth, better than expected in the first half year, contributed by the booming up of services sector and the positive effects of the ongoing supply-side reform," said Tang Huihao, the bureau's chief economist.

The services sector expanded 11.6 percent in the first half of the year, compared to the same period last year.

On the other hand, primary industry fell 15.3 percent yearly, while the second industry also decreased 3.3 percent in the first half.

The added value of the tertiary sector accounted for 70.8 percent of the city's GDP in the first half, which was 3.7 percentage points higher on a yearly basis.

Over the same period, the emerging manufacturing sector experienced a positive growth of 0.7 percent, despite the overall performance of the industrial sector continuing to decline, with 4.4 percent on total value of output among large-scale enterprises.

"The city will continue to focus on the development of new emerging industry to adjust the industrial structure and speed up the innovation-driven system," Tang said.