China, long a bastion of growth, is a bit more on the sidelines these days.
The country, which for three decades boasted double-digit GDP growth, recorded 7.5% growth during the second quarter, continuing a string of quarters of slowing growth.
The Chinese government's plans to shift the nation's economy from manufacturing-reliant to service-based are being felt throughout China, where the unemployment rate is climbing and GDP growth is falling.
That change is no more evident than on the 2013 IW 1000, IndustryWeek's annual list of the world's top manufacturing companies ranked by revenue.
China-based companies generated the third-highest revenue on last year's list, making $1.404 trillion in 2011.
In 2012, companies with headquarters in China brought in $1.377 trillion in revenue. That nearly 2% drop plunged China to the No. 5 spot on the 2013 list of countries represented in the IW 1000.
To that end, China had 17% fewer companies on this year's list than the previous year. In fact, China dropped more companies from the IW 1000 list than the other top five countries combined, losing 12 companies.
To temper the country's dependence on exports and foreign investment, China's leaders have been promoting the development of the service sector, aiming to boost consumer spending among China's growing middle class.
That has meant a deliberate consolidation of select industries, including automotive, steel, concrete, shipbuilding, aluminum, rare earths, electronics, medicine and agricultural mechanization, according to World Industrial Reporter.
Yet, despite its slowdown, China-based companies still averaged 7% revenue growth in 2012, led by the petroleum and coal products industry, which generated $841 billion in revenue.
Petroleum and coal product companies represented only 14% of the number of China-based companies on the list, yet generated 61% of the country's total revenue.
China Petroleum & Chemical Corp. (IW 1000/3) led the pack with $447 billion in revenue -- 53% of the total revenue of the companies headquartered in China.
|Discover detailed information about the IW 1000 companies at www.iw.com/IW-1000.|
And even in light of government regulation, companies in the fabricated metal industry brought in $89 billion in revenue and realized an average revenue growth of 21%, positioning the industry as the second most lucrative in China on the 2013 IW 1000.