In 2024, Jiangsu Province solidified its role as a key contributor to China’s economic growth. The province’s GDP increased by 5.8% year-over-year, outpacing the national growth rate by 0.8 percentage points.
Similar to Jiangsu, China’s major provincial economies are becoming more significant in driving national growth. In 2024, ten provinces—Guangdong, Jiangsu, Shandong, Zhejiang, Sichuan, Henan, Hubei, Fujian, Shanghai, and Hunan—accounted for over 60% of the country’s total GDP.
On Wednesday, President Xi Jinping emphasized the need for economically powerful provinces to play a central role in achieving national development goals outlined in the 14th Five-Year Plan (2021-2025).
Speaking with lawmakers from Jiangsu during the third session of the 14th National People’s Congress, Xi urged the province to lead in integrating technological and industrial innovation.
He also highlighted the importance of pursuing deep reforms, embracing high-standard openness, and advancing key national strategies while promoting shared prosperity.
Focus on Technology and Innovation
President Xi underscored that technological and industrial innovation are essential for developing new, high-quality productive forces. Since introducing this concept in September 2023, Xi has repeatedly stressed its importance in fostering new industries and driving sustainable growth.
These productive forces, guided by innovation, emerge from advancements in science and technology, creating opportunities in strategic and emerging sectors. Industries powered by these breakthroughs are expected to shape the future through intelligent technologies and disruptive innovations.
Jiangsu has been at the forefront of this trend. In 2024, the province led the country in newly approved unicorn and potential unicorn enterprises, showcasing its commitment to innovation.
Strengthening China’s Private Sector
Xi also called for stronger support for private enterprises. During a high-level symposium on private businesses held shortly before the annual legislative sessions, he highlighted the government’s efforts to boost confidence in the sector and support its growth.
Private companies now represent over 90% of all businesses in China, with their numbers more than quintupling between 2012 and 2024. Their global influence has grown as well, with around 30 private Chinese firms now listed in the Fortune Global 500.
Xi stressed the importance of fair treatment for all businesses, regardless of ownership type, and highlighted the need to continuously improve the business environment.
Leading National Strategies
Xi encouraged key provincial economies to take on greater responsibilities in implementing national strategies. He urged Jiangsu to actively contribute to projects such as the integrated development of the Yangtze River Delta and the Yangtze River Economic Belt while supporting other strategic initiatives.
He also called for alignment with efforts like the coordinated development of the Beijing-Tianjin-Hebei region, the expansion of the Guangdong-Hong Kong-Macao Greater Bay Area, and deeper participation in high-quality Belt and Road cooperation.
In its annual work report, Jiangsu set a GDP growth target of over 5% for 2025. The province pledged to prioritize stable economic expansion while strengthening its position as a driver of national growth.
