People's Daily Commentary! Feel the economic momentum from the "Excavator Index".

On August 29, the 5th edition of the People's Daily launched a series of commentaries on "China's Vitality in Data", the first of which was titled "Feeling the Economic Momentum from the "Excavator Index", showing the strong resilience and vitality of China's economic development through the Sany "Excavator Index".

Sany "Excavator Index" is built by Sany Heavy Industry based on the root interconnection cloud platform, through data analysis of the working conditions of more than 70 million massive equipment, the daily operation volume and operating rate of construction machinery can be classified and calculated, and the dynamic trend of the index can help analyze the changes in the heat of infrastructure investment in various provinces and cities across the country, and has become a vane reflecting economic changes such as infrastructure construction and observation of fixed asset investment.

Here's what the report says:

smallSmall diggingBehind the excavator is the rapid advancement of infrastructure construction, but also the continuous improvement of investment efficiency and confidence.

The "excavator index", which integrates big data and depicts the progress of infrastructure investment and construction, is the best indicator for observing the physical workload of investment. The "excavator index" released not long ago shows that the average monthly operating rate of construction machinery in July was 65.4%, higher than 60.37% from January to June; In the first half of the year, the total working time of excavators increased by 6.86% year-on-year...... The rising index shows that since the beginning of this year, China's infrastructure construction activity has continued to rebound, and new projects have been intensively landed, which has become a vivid footnote to stable investment and growth.

The trend reflected in the "Excavator Index" can be corroborated with relevant statistics. According to data released by the National Bureau of Statistics, from January to July, infrastructure investment increased by 7.4% year-on-year, 0.3 percentage points faster than that from January to June. In the first half of the year, there were 134,000 new projects, an increase of 26,000 over the same period last year, and the total planned investment in new projects increased by 22.9% year-on-year. The funds in place for investment projects (excluding real estate development investment) increased by 18.8%. This fully shows that the efforts of macroeconomic policies to move forward and to carry out infrastructure investment in a moderately advanced manner have achieved remarkable results. In fact, it takes a certain period for engineering projects to form physical workloads from investment, and it is believed that with the acceleration of the implementation of a package of policy measures to stabilize the economy, the scale of effective investment will be further expanded.

Infrastructure is an important support for economic and social development, and major infrastructure projects absorb a large amount of investment, have a long industrial chain, and create many employment opportunities, which is an important starting point for stabilizing the macroeconomic market. On April 29, General Secretary Xi Jinping presided over a meeting of the Political Bureau of the CPC Central Committee. The meeting called for giving full play to the key role of effective investment, strengthening the guarantee of land, energy use, environmental impact assessment, etc., and comprehensively strengthening infrastructure construction. From the central to the local level, specific arrangements have been intensively implemented to accelerate the construction of new infrastructure while improving the level of traditional infrastructure. On the one hand, focusing on the strengths and weaknesses of the shortcomings, the construction of 102 major projects in the "14th Five-Year Plan" is being accelerated, and more than 2,600 projects have been implemented in a steady and orderly manner; On the one hand, we will focus on adjusting the structure to increase stamina, and comprehensively launch the "Eastern Data and Western Computing" project, with more than 3,100 "5G + Industrial Internet" projects under construction across the country, and a total of 1.854 million 5G base stations have been completed and opened...... This not only provides strong support for stabilizing the overall economic market, but also contributes to the construction of a modern infrastructure system.

At present, China's economy is in a critical window of stabilization and recovery. We should seize the important time node, consolidate the foundation for economic recovery, focus on stabilizing the macroeconomic market, and continue to play the key role of effective investment in economic recovery and development. Under the circumstance that insufficient effective demand restricts the current economic recovery, to improve the effectiveness of investment, it is necessary to make timely and decisive decisions and implement them, and not to delay the opportunity. It is necessary to continue to promote the implementation of policies and the appearance of effects, promote the efficient operation of the coordination mechanism for effective investment in important projects, and form more physical workload as soon as possible under the premise of ensuring the quality of the project. At the same time, we should not engage in flood irrigation and not "wash the mud when the radish is fast". The supported projects should benefit both the present and the long-term, mainly in transportation, energy, logistics, agriculture and rural areas and other infrastructure and new infrastructure, so as to enhance the stamina for the continuous expansion of effective investment. In addition, it is necessary to make good use of effective investment in a market-oriented manner. For example, we should actively play the leading role of special bond funds. In the first half of this year, special bonds played an important supporting role in stabilizing growth. Gross capital formation drove economic growth by 0.8 percentage points.

Those who observe the situation are clear, and those who are trending are wise. Although there are still some outstanding contradictions and problems in economic operation, the fundamentals of China's economic stability and long-term improvement have not changed. Behind the small excavator is the rapid advancement of infrastructure construction, and the continuous improvement of investment efficiency and confidence. Such positive changes contain new momentum for China's economy to continue to move forward. We believe that as long as we rise to the occasion, work hard, and do our own things well, we will certainly be able to consolidate the upward trend of the economy and keep the economy operating within a reasonable range.

Content source: People's Daily