The Value of Service Outsourcing Contract Signed by China’s Enterprises Increases 4.9% in the First Half of 2015
Source: http://www.chinanews.com/ View: 240 Date: 2015-07-21

According to news from website of Ministry of Commerce, the Ministry of Commerce held routine conference today and publishes business situation in the first half of 2015. The date on the conference shows that the value of service outsourcing contract undertaken by China’s enterprises was 57.79 billion USD in the first half of 2015, which increased 4.9% year-on-year.

Danyang Shen, the spokesman of the Ministry of Commerce introduced that in the first half of 2015, the value of service outsourcing contract signed by China’s enterprises was 54.79 billion USD, which increased 4.9% year-on-year; the implementation value was 40.8 billion USD, which increased 9.7% year-on-year. Among them, the value of offshore service outsourcing contract was 34.27 billion USD, which declined 2% y-o-y; the implementation value was 26.96 billion USD, which increased 6.4% y-o-y.

The first one is service outsourcing industry in the Midwest shows rapid development trend. Because of rapid growth of operation cost from enterprises and talent inverse flowing to the second/third-tier cities, service outsourcing industry has began to rapid transfer from the eastern coastal areas to the Midwest areas. In the first half of 2015, the value of service outsourcing contracts undertaken by the Midwest of China was 6.51 billion USD, which increased 53.2% year-on-year. Among them, the value of offshore service outsourcing contract is 2.69 billion USD, which increased 24% year-on-year.

The second one is the employment scale of service outsourcing industry steadily expanding. In the first half of 2015, the employees of service outsourcing industry in China has newly increased 482,000 people; among them, there were 329,000 people with college and university degree, which accounted for 68.2% of newly increased number of employees. Up to the end of June of 2015, there were 6.556 million people working in service outsourcing industry in China; among them, 4.376 million people have college and university degree, which accounted for 66.8% of total number of employees.

The third one is the structure of service outsourcing industry is further to be optimized. In the first half of 2015, the implementation amounts of offshore service businesses such as information technology outsourcing, business processing outsourcing and knowledge processing outsourcing undertaken in China were 13.11 billion USD, 3.8 billion USD and 10.05 billion USD representatively, which accounted for 48.6%, 14.1% and 37.3% representatively. Although the whole offshore service outsourcing in China has slow growth, the knowledge processing outsourcing businesses including industrial design, engineering design, medical and biological technology R & D outsourcing still keep rapid growth to promote service outsourcing industrial structure to be gradually optimized.

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