A man works at a factory in Shaoxing, Zhejiang province on Dec 1, 2018. [Photo/IC]

Despite challenging economic situations at home and abroad, the industrial economy of East China's Zhejiang province maintained steadily rising development in 2018, according to a provincial economic conference in the capital city Hangzhou on Jan 9. 

The figures announced at the meeting revealed that from January to November 2018, the value added of industrial enterprises above designated size – defined as State-owned and non-State-owned industrial companies with annual revenue of over 20 million yuan ($2.9 million) – has grown by 6.7 percent year-on-year, 0.6 percentage points higher than the province's goal for the year.

Behind the satisfactory result, there were increased innovative impetuses, an improved digital economy, a transformed traditional manufacturing industry, a stable private sector and the implementation of a raft of new policies.

In the first 11 months of 2018, expenditure on research and development on products at enterprises above designated size saw a year-on-year increase of 31 percent. The digital sector contributed 9.7 percent of the province's GDP in the first three quarters. Profits in the manufacturing sector grew robustly from January to November, up 15.8 percent year-on-year.

The private sector also enjoyed sustainable and healthy development with a year-on-year increase of 8.2 percent in the value added of private enterprises above designated size and an increase of 12.3 percent in profits in the first 11 months.

To better release industrial production capacity, Zhejiang shut down 1,733 backward companies and 382 "zombie companies" from January to November.

Policies to reduce costs and excessive administrative fees for companies were implemented successfully in 2018. It was revealed at the recent conference that about 150 billion yuan in such costs were cut last year.