This article is "Global Industrial Structure and China's Industrial Strength - A Special Research Report on China's Industrial Development Based on Global Listed Company Data" written by Professor He Zhiyi, chief expert of Tsinghua University's Global Industrial Research Institute, and others, in which the introduction has been deleted.
Through in-depth mining of global industries, this study has formed a series of maps of 15 topics, totaling 57,885 pieces of information, which intuitively expresses the content, logic and specific data of each topic in this study, mainly including three aspects: comparison of industries in countries around the world, especially China and the United States; national and industrial distribution of world leading companies, century-old leading companies, and high-market-value companies; China's industrial structure, industrial strength, regional distribution, leading companies, and analysis of the proportion of state-owned enterprises and non-state-owned enterprises. The main conclusions of this study are as follows: In terms of national industrial strength, the United States ranks first, China ranks second, Japan ranks third, and the United Kingdom ranks fourth. The study found that the gap in industrial strength between China and the United States is greater than the GDP gap, and the overall strength comparison coefficient of all listed companies in the Chinese and American industries in various industries is 0.44. The comparison coefficient of the world industry champions (champion enterprises) in China and the United States is 0.20, and the comparison coefficient of the world industry leading enterprises (leading enterprises) in China and the United States is 0.25. The comprehensive comparison coefficient of the two is 0.22, which is much lower than the comparison coefficient of China and the United States GDP of 0.65, and also lower than the comparison coefficient of the whole industry strength of 0.44. The comparison coefficient between the leading enterprises in China and the United States is lower than the comparison coefficient of each industry, which shows that China needs to vigorously strengthen the construction of world-class industry leading enterprises. Current industrial overview of countries around the world 1. Global market value and total revenue of listed companies: the United States leads, China ranks second, followed by Japan and Germany Listed companies play a key role in global economic development. As of December 2023, after excluding duplicate listings, investment funds, exchange-traded funds (ETFs), unit trusts and other entities whose main business purpose is to hold shares of other listed companies, the total number of actual listed companies in the world is 45,026, distributed in 192 stock exchanges in 130 countries and regions. The total market value of these listed companies reached 107.4 trillion US dollars, with total revenue of 73.2 trillion US dollars and total profit of 5.3 trillion US dollars, accounting for 102.6%, 69.9% and 5.1% of the global GDP of 104.8 trillion US dollars in 2023 respectively. 30,151 listed companies made profits, with a total profit of 652.73 billion US dollars; 14,875 listed companies suffered annual losses, with a total loss of 119.43 billion US dollars, and the profit margin of the entire industry was 0.67. The global price-earnings ratio of the entire industry was 20 times, the price-to-book ratio was 2 times, the revenue-profit margin of the entire industry was 0.07, and the return on net assets was 0.10. In terms of quantity, there are 6,837 listed companies in mainland China (accounting for 15% of the world), 4,453 in the United States (10%), 4,067 in Japan (9%), 3,561 in India (8%), 2,525 in South Korea (6%), 2,084 in Taiwan (5%), 2,062 in Canada (5%), 1,787 in Australia (4%), 1,388 in the United Kingdom (3%), 1,258 in Hong Kong (3%), and 1,027 in Malaysia (2%). The contributions of listed companies in different countries in terms of market value, revenue, and profit vary significantly (see Table 1). In these three dimensions, the United States leads the world, followed by China. The national industrial strength calculated by weighting the proportion of each country's market value, revenue, and profit to the global total according to 50%, 25%, and 25% shows that China's national industrial strength coefficient is 47% of the United States, which ranks first, and three times that of Japan, which ranks third. Specific data shows that the total market value of US listed companies is 44.7 trillion US dollars (accounting for 42% of the world), the total revenue is 21.4 trillion US dollars (accounting for 29% of the world), the total profit is 1.7 trillion US dollars (accounting for 31% of the world), and the national industrial strength coefficient is 0.36; while the total market value of Chinese listed companies is 15.8 trillion US dollars (accounting for 15% of the world), the total revenue is 13.3 trillion US dollars (accounting for 18% of the world), the total profit is 0.86 trillion US dollars (accounting for 16% of the world), and the national industrial strength coefficient is 0.16; the total market value of Japanese listed companies is 5.9 trillion US dollars (accounting for 5% of the world), the total revenue is 7.2 trillion US dollars (accounting for 10% of the world), the total profit is 0.4 trillion US dollars (accounting for 7% of the world), and the national industrial strength coefficient is 0.07; listed companies in the United Kingdom, India, Germany, France, Saudi Arabia, South Korea, Canada and other countries also show significant global influence, following closely behind the aforementioned countries. Asian countries such as China, Japan, South Korea, and India occupy an important position in market value, revenue, and profit share, reflecting the region's strong vitality as a new engine of the global economy. Although European countries such as the United Kingdom, France, and Germany rank relatively low in market value and revenue share, they still maintain competitiveness in profit share, showing their economic resilience. Saudi Arabia, a resource-based country, has outstanding performance in market value and profit share due to the absolute position of the energy industry. Canada and Switzerland have maintained a certain degree of competitiveness in market value, revenue, and profit share, mainly reflected in finance, manufacturing, and high-end services. In 2023, the average market value of listed companies worldwide will be US$2.38 billion, the average revenue will be US$1.63 billion, and the average profit will be US$120 million. Among the top ten countries in terms of industrial strength, the average market value, revenue, and profit of the United States, the United Kingdom, Germany, France, and Saudi Arabia are all higher than the global average, showing their strong comprehensive strength. The average revenue of China and Japan is higher than the global average, but the average market value is lower than the global average, indicating that the valuation level of their listed companies still has room for improvement. The three indicators of India, South Korea, and Canada are all lower than the global average, showing a trend of a large number of listed companies but relatively low quality. Table 1: Overview of listed companies in various countries around the world in 2023 2. Global industrial structure: finance, industry and information technology rank in the top three in terms of comprehensive share Table 2: Overview of global primary industries in 2023 Among the 11 primary industries classified by GICS industry, industry has the largest number of listed companies (8,348), showing its extensive participation and important position in the global economy; consumer industry (5,950 non-daily consumption and 2,915 daily consumption) and raw materials (5,914) follow closely behind industry, reflecting the importance of consumer demand and production supply chain; information technology and finance, as key drivers of the modern economy, also have a considerable number of listed companies. The relatively small number of listed companies in healthcare, real estate, communications, energy, and utilities may reflect their high technical barriers and resource concentration. From the perspective of total industry data, the three industries of finance, industry, and information technology have shown strong strength and influence in multiple dimensions, making their comprehensive industry share rank in the top three. Information technology and finance occupy the top two positions in total market value with absolute advantages, indicating that these two industries have extremely high value and influence in the global capital market; industry ranks first in total revenue with a large number of listed companies and a wide range of business scope, followed by the consumer industry. In addition, although the energy industry has a small number of listed companies, it has performed well in terms of revenue, profit and other aspects, showing its unique economic status. Communications business, public utilities, and real estate are relatively low in comprehensive proportion. 3. The United States occupies most of the leading positions in the global industrial structure, followed by China. The national industrial strength coefficient calculated based on 11 primary industries shows that the United States ranks first in 10 of them and ranks second only in the raw materials industry. This data reveals the significant improvement of China's comprehensive industrial strength, indicating that my country's industrial structure is becoming more mature, and its global leadership in the field of raw materials highlights the remarkable results of my country's investment and development in basic industries. In the five primary industries of energy, daily consumption, communications business, information technology and healthcare, the comparison coefficient between China and the United States is less than 40%, indicating that my country still has a lot of room for improvement in these industries. Calculating the industrial strength coefficient of each country from the perspective of the primary industry (see Table 3), a total of 12 countries and regions in the world entered the top four countries in the primary industry. Meanwhile, only the United States and China have champion industries, and they are among the top four in all 11 primary industries. The United States ranks first in 10 primary industries except raw materials. China ranks first in the raw materials industry, second in the other 8 industries, and third in the real estate and energy industries. Japan ranks third in 5 industries, fourth in 3 industries, and a total of 9 industries are among the top four. The industrial strength of the United States is 2.7 times that of China on average, with the largest gap being in healthcare (5.2 times) and the smallest being 0.7 times in raw materials. Other countries that are among the top four in the primary industry include the United Kingdom (4 industries), Germany (2), and one each in Hong Kong, China, Taiwan, China, France, Spain, India, Saudi Arabia, and Switzerland. Table 3: Global ranking of national strengths in primary advantageous industries 4. Comparison of primary industrial structures of major countries: Finance occupies a dominant position From the perspective of the comprehensive industrial strength of primary industries in various countries, among the top ten countries in the national comprehensive industrial strength coefficient, finance ranks in the top 3 in 9 countries. Information technology ranks first in both the United States and South Korea, reflecting their leading position in information technology. Raw materials and energy industries play an important role in resource-based countries such as Saudi Arabia, Australia, Canada and India. The healthcare industry has a high comprehensive ratio in the United States and Switzerland, showing its strong competitiveness and development potential in this field. Specific data shows that information technology (0.19), finance (0.15) and healthcare (0.12) ranked the top three in the United States; China's finance (0.21) ranked first, followed by industry (0.17) and information technology (0.12); Japan's top two industries were industry (0.25) and non-daily consumption (0.20); the UK's energy industry (0.18) and daily consumption (0.16) occupied an important position; India's top two industries were finance (0.26) and energy (0.14); Germany's non-daily consumption (0.22) and industry (0.21) accounted for a high proportion; France's non-daily consumption (0.30) and industry (0.18) accounted for nearly half of the country's total industry; South Korea's information technology (0.29) and industry (0.21) accounted for half of the country's total industry, and Canada's finance (0.30) and energy (0.22) occupied an important position in the industry. In terms of the number of listed companies, the top two industries in China are industry (1632) and information technology (1179), and the least is energy (114); the most in the United States are healthcare (1020) and finance (871), and the least is utilities (77); the most in Japan are industry (1050) and non-daily consumption (787), and the least is energy (26); the most in the United Kingdom are finance (376) and industry (190), and the least is utilities (17); the most in India are industry (714) and non-daily consumption (692), and the least is energy (41). Table 4: The primary industry structure of the top ten countries in terms of national industrial strength coefficients Industry leaders and national industrial strength 1. The number of industry leaders highlights the gap between China and the United States. The key to industrial strength and innovation lies in the leading enterprises. Leading enterprises lead technological innovation, market standards and new business models through their scale, resources and market influence, thus playing a key role in promoting industrial development. Data shows that 158 industry champions (i.e., companies ranked first in each industry, accounting for 0.4% of the total number of listed companies in the world) in the four-level industries in the world contributed 24.0% of the total market value of listed companies in the world, 14.1% of the total revenue, and 21.6% of the total profit; 632 global industry leaders (i.e., companies ranked in the top four in the industry, accounting for 1.4% of the total number of listed companies in the world) contributed 45.9% of the total market value of listed companies in the world, 35.8% of the total revenue, and 49.9% of the total profit. In 2023, 24 countries and regions in the world have industry champions, and 35 countries and regions have industry leaders, while China and the United States have 62% of the world's industry champions and 56% of the world's industry leaders. The United States leads with 82 industry champions and 285 leaders, accounting for 52% and 45% of the global total. China has 16 industry champions and 70 leaders, accounting for 10% and 11% respectively, showing a significant gap between it and the United States. Japan has 14 industry champions and 48 leading companies, which is a small gap with China. In addition, other countries with 10 or more industry leaders include France (23), the United Kingdom (23), Canada (21), Germany (19), Switzerland (14), India (13), the Netherlands (10), and Ireland (10). Although the industrial strength coefficient based on the total volume shows that the gap between China and the United States and Japan is similar (the ratio is 2.3:1:0.4 for the United States: China: Japan), the gap between China and the United States is still large in terms of the number of industry champions and leading companies, while the advantage over Japan is relatively small (the ratio of the number of champion companies is 5.1:1:0.9 for the United States: China: Japan, and the ratio of the number of leading companies is 4.1:1:0.7). This difference reflects that although China has a large enterprise base in terms of quantity, it still lags significantly behind the United States in the number of companies at the top of the industry, especially in the number of global leaders. 2. The industrial distribution of China and the United States' industry leaders highlights their respective advantageous industries. Among China's 70 global industry leaders, there are 16 champions, 17 runner-ups, 17 third runner-ups, and 20 fourth runner-ups. From the perspective of primary industry distribution, China has global leaders in all 11 primary industries, with the largest number of primary industries being industry (12), non-daily consumption (11), and finance (8), accounting for 45% of the total 69 companies. The 16 champions are distributed in 10 primary industries, and there is no champion in the healthcare industry. From the perspective of the proportion of China's global leaders to the total number of global industry leaders in the world, the industries with the highest proportion of China's leaders are energy (6/28=21.4%), utilities (5/24=20.8%), and communications (5/40=12.5%), reflecting the relative advantages of Chinese companies in areas such as energy and infrastructure. From the perspective of the industrial distribution of industry leaders, the United States has a significant leadership position in a wider range of industries. China's 70 industry leaders are distributed in 47 industries (accounting for 29%), including 1 industry with 4 leaders (real estate development), 4 industries with 3 leaders (home appliances, construction and engineering, coal and consumer fuels, and new energy power generation), 12 industries with 2 leaders, and 30 industries with 1 leader. In contrast, the United States' 285 world leaders are widely distributed in 124 industries (accounting for 78%), including 15 industries with 4 leaders, 38 industries with 3 leaders, 40 industries with 2 leaders, and 31 industries with 1 leader. Combining the national industrial strength coefficient that measures the total amount of industries with the number of leaders that measures the status of industries, the United States has 7 of the 92 industries with the highest national industrial strength coefficients. Five industries have champion enterprises (82%), 15 industries have all four leading enterprises, and only one industry has no leading enterprise. Among the 34 industries with the highest industrial strength coefficient in China, 12 industries have champion enterprises (44%), only one industry has all four leading enterprises, and there are no leading enterprises in 7 industries. It can be seen that the United States has more leading enterprises in its advantageous industries and can form a stronger monopoly to dominate its advantageous industries. Although China has surpassed the United States in the total industrial volume in some industries through a large number of enterprises, and has champion enterprises in nearly half of the industries, there are still many advantageous industries that have not yet cultivated their own leading enterprises. From the perspective of industrial advancement, the United States' advantageous industries are widely distributed in high-tech and high-value-added fields such as biotechnology, aerospace, and semiconductors, highlighting its technological and market dominance in the global economy. China's advantageous industries are concentrated in traditional industries, such as real estate development, coal-based consumer fuel industries, construction engineering, and port services. At the same time, China has begun to emerge in some emerging technology industries, such as home appliances, new energy power generation, and electronic components. Table 5: List of industries with at least two industry leaders in China and the United States 3. The scale and strength of China's industry leaders continue to increase, but the quality and efficiency need to be further improved. From the perspective of the market value, revenue and profit indicators of industry leaders, China's industry leaders have higher average revenue (489 vs. 45.2 billion US dollars) and average profit (53 vs. 4.4 billion US dollars) than the United States, but the average market value (572 vs. 106 billion US dollars) and return on net assets (13% vs. 19%) are significantly lower than those of the United States, indicating that my country's industry leaders have achieved a larger scale, but there is still much room for improvement in enterprise quality and efficiency. From the perspective of the concentration of leading enterprises, the leading enterprises in the United States are significantly higher than those in China. China's 16 global champions (accounting for 0.2% of the number of listed companies in China) contributed 9% of the total market value of listed companies in China, 8% of revenue, and 11% of profits. China's 70 world leaders (accounting for 1% of the number of listed companies in China) contributed 25% of the total market value of listed companies in China, 26% of revenue, and 44% of profits. The 82 global champions in the United States (accounting for 2% of the number of listed companies in the United States) contribute 39% of the total market value of listed companies in the United States, 29% of revenue, and 37% of profits; the 285 world leaders in the United States (accounting for 6% of the number of listed companies in the United States) contribute 68% of the market value of listed companies in the United States, 60% of revenue, and 74% of profits. Among the top 500 companies in the world ranked by revenue, there are 133 Chinese companies and 139 American companies. The overall efficiency of the top 500 companies is significantly lower than that of the world's leading companies, and even lower than the average of all listed companies in the world, showing the gap between the efficiency of the top 500 companies and their revenue scale. Among the 125 mainland Chinese companies, 6 are loss-making companies, 32 companies have a sales profit margin of less than 1%, and 28 companies have a sales profit margin between 1% and 2%, which is a large gap from the market average. Table 6: Comparison of basic data of leading enterprises in China and the United States The strength and global status of my country's 11 industries This chapter focuses on the 11 primary industries in the global industry classification standards, deeply analyzes the overall scale, structural characteristics, leading enterprises and enterprise quality and efficiency of each industry, and examines my country's position and influence in related fields from multiple dimensions. Through horizontal comparison with major developed economies, it reveals my country's advantages and disadvantages within each industry. A systematic review of these 11 primary industries not only helps to more comprehensively demonstrate my country's core competitiveness and potential shortcomings in the global industrial landscape, but also provides an important data empirical basis for achieving high-quality development and cultivating world-class enterprises. Table 7: General overview of listed companies in China and the United States in 11 primary industries 1. Raw materials: The industry scale is the world's leading, and the market leader and enterprise efficiency need to be optimized. The raw materials industry includes 5 third-level industries, namely chemicals, building materials, containers and packaging, metals and mining, and paper and forestry products, and a total of 17 fourth-level industries. In terms of national industrial strength coefficient, China ranks first in the primary industry and five of the four-level industries, the United States ranks second in the primary industry and first in four of the four-level industries, and Japan and the United Kingdom rank third and fourth respectively. At the primary industry level, China's total market value, total revenue and total profit are 40%, 114% and 21% higher than the United States, thanks to China's vast market and rich resources in the industry, which has produced 974 listed companies, 5.7 times the 171 in the United States. From the perspective of the tertiary industry, except for containers and packaging, China's industrial strength coefficients in the other four tertiary industries are significantly higher than that of the United States, and it has 4 leading companies in metals and mining (2 aluminum, 1 copper, and 1 gold (a champion company), 2 leading companies in chemicals (multiple chemicals, special chemicals), and 1 leading company in the building materials industry. However, China's market value, revenue and profit concentration (8%, 12%, 14%) are all lower than those of the United States (23%, 19%, 28%), and the number of industry leaders is also significantly lower than that of the United States (leading companies: 7 vs. 18). This shows that China's advantage in the number of raw material companies has not been transformed into a corresponding economic benefit advantage. The proportion of small and medium-sized enterprises is high, the market share is relatively dispersed, and the leading effect is insufficient. In certain specific tertiary industries, there is still a large gap in the operating efficiency and profitability of Chinese companies. For example, in the tertiary industry of containers and packaging, the average revenue and average profit of Chinese companies are far behind those of American and global companies (revenue: 4.1 vs. 80.2 vs. 810 million US dollars, profit: 0.2 vs. 3.8 vs. 0.4 billion US dollars). In the tertiary industry of paper and forestry products, China's sales profit margin and return on net assets are far behind those of American and global companies (sales profit margin: 2% vs. 10% vs. 9%, return on net assets: 3% vs. 35% vs. 13%). Table 8: Comparison of data on the primary raw material industry between China and the United States 2. Industry: market share is leading across the board, but profitability gap is large The industrial industry includes three secondary industries: capital goods, commercial and professional services, and transportation, 14 tertiary industries, and 27 quaternary industries. In terms of the national industrial strength coefficient, China ranks second in this primary industry (0.19), lower than the United States (0.26), which ranks first, but higher than Japan (0.13), which ranks third. The total number of listed companies in China's industrial industry (1,632, including 12 leading companies) ranks first in the world, nearly three times that of the United States (571, including 39 leading companies), and the total revenue is 29% higher than that of the United States, reflecting China's influence and market share in the global industrial field. Japan ranks second in the world in the number of industrial listed companies (1,050), with a total profit comparable to that of China (US$1,155 vs. US$114.5 billion), and the number of leading companies (13) exceeds that of China, showing its strength as a traditional industrial power and the shortcomings of Chinese industrial enterprises in profitability. From the perspective of the secondary industry, China's national industrial strength coefficient in capital goods is the smallest gap with the United States (the ratio between China and the United States is 0.93). In particular, the two tertiary industries of construction and engineering and electrical equipment have outstanding performance, with industrial strength coefficients 4.7 and 2.9 times that of the United States, and they have three industry leaders (including China Construction in construction and engineering and Ningde Times in electrical components and equipment); in the three tertiary industries of aerospace and defense, building products, and industrial group enterprises, the gap is large (the ratio between China and the United States is 0.15, 0.22, and 0.39 respectively). In the secondary industry of business and professional services, China has the largest gap with the United States (the ratio between China and the United States is 0.17). Although the number of enterprises is 40% higher than that of the United States, the total market value, total revenue, and total profit are 18%, 22%, and 10% of the United States respectively. The United States has 13 leading companies in the eight quaternary industries in this secondary industry, Japan has 6, and China has only 1 (M&G Holdings, the champion of office services and supplies). Among the five third-level industries in the secondary transportation industry, China has a significant advantage over the United States in the two industries of maritime transportation and transportation infrastructure (the number of listed companies in China and the United States: 21 vs. 5 in maritime transportation, 63 vs. 1 in transportation infrastructure), and has one industry leader in the fourth-level industry of maritime transportation, and four industry leaders in the three fourth-level industries of transportation infrastructure (of which Shanghai International Port Group is the champion in the fourth-level industry of seaports and services); however, the disadvantages in the three third-level industries of air cargo and logistics, passenger airlines and ground transportation are also relatively obvious, with a large gap in market value, revenue and total profit, and there is no leading enterprise. At the corporate indicator level, China's industrial industry's sales profit margin and return on net assets are lower than the US and global averages. In addition, while the revenue concentration and profit concentration are higher than the US and global levels (China-US global revenue concentration: 23% vs. 13% vs. 6%, profit concentration: 37% vs. 22% vs. 10%), the market concentration is lower than that of the United States (10% vs. 13% vs. 5%), reflecting that China's industrial leading enterprises with higher market share have not obtained a valuation level that matches them in the capital market. This may be related to their profitability and corporate efficiency that need to be improved. Table 9: Data comparison of China-US industrial primary industries
3. Finance: Banks and insurance are strong, and the industry profitability is outstanding. The financial industry covers three secondary industries: banking, financial services, and insurance, including 6 third-level and 18 fourth-level industries. In 2023, there will be 4,801 listed companies in the global financial industry (accounting for 10.7% of global listed companies), contributing 16% of the total market value of global listed companies, 13% of total revenue, and 22.5% of total profits. It is the primary industry with the highest profit contribution ratio in the world. The top five countries and regions in terms of the total number of listed companies are the United States (871), India (410), the United Kingdom (376), mainland China (250), and Japan (205). In terms of the national industrial strength coefficient, China ranks second, and there is still a certain gap between China and the United States (the ratio between China and the United States is 0.58), but China's total industrial profit reached US$359.5 billion, exceeding the US$331 billion of the United States. The sales profit margin, return on net assets, revenue concentration, and profit concentration of China's financial industry are all higher than the US and global average levels, reflecting that Chinese financial enterprises are not only in the forefront in terms of scale and strength, but also have relatively mature corporate profitability and the concentration of leading enterprises. From the perspective of secondary industries, China has 61 listed banking companies, far less than the 330 in the United States, but its total revenue and total profit are 55% and 93% higher than those of the United States respectively. In addition, China has 4 industry-leading companies in the two fourth-level industries, which is the same as the number of industry-leading companies in the United States, reflecting the comprehensive industrial strength and head enterprise advantages of China's banking industry. There is a large gap between China and the United States in the secondary industry of financial services (number of listed companies: 172 vs. 453, China-US ratio: 0.13). The market value, revenue and total profit are all less than 15% of that in the United States. China only has 1 industry-leading company in the investment banking and brokerage industry, while the United States has a total of 26 industry-leading companies in the 11 fourth-level industries under this secondary industry. The insurance industry performed relatively well. Although it has only 17 listed companies, less than the 88 in the United States, it has 3 industry-leading companies, and its total revenue (US$623.1 billion) and total profit (US$30.5 billion) are comparable to those of the United States (total revenue of US$648.9 billion and total profit of US$37.1 billion). Table 10: Comparison of data on the primary financial industry between China and the United States 4. Public utilities: The total number of listed companies ranks first, and new energy power generation leads the world. The public utility industry includes five third-level industries, namely electric utilities, gas utilities, composite utilities, water utilities, and independent power producers and energy traders, including six fourth-level industries. In terms of the national industrial strength coefficient, China ranks second in this primary industry, second only to the United States, and significantly higher than Spain, which ranks third. China's total market value (4888 vs. 1118.5 billion US dollars), total revenue (4176 vs. 515.9 billion US dollars) and total profit (227 vs. 466 billion US dollars) are all lower than the United States, but the number of listed companies (166 vs. 77) is significantly more than that of the United States and ranks first in the world, reflecting that China has a large number of public utility companies, but the market influence and profitability of individual companies are relatively low. From the perspective of the average level of individual enterprises, China's market capitalization (US$2.94 vs. US$14.53 billion), revenue (US$2.51 vs. US$6.7 billion), profit (US$1.4 vs. US$6.1 billion), sales profit margin (5% vs. 9%) and return on equity (6% vs. 8%) are all lower than those of the United States, while its price-earnings ratio is comparable to that of the United States (22 vs. 24). Although the profitability of China's utility companies (84% vs. 88%) is slightly lower than that of the United States, its market concentration (27% vs. 22%), market capitalization concentration (27% vs. 30%) and profit concentration (30.4% vs. 29.7%) are all higher or close to those of the United States, indicating that the leading companies in China's utility industry have a certain degree of concentration and competitiveness in the market. Among the three-level industries, China's performance in the three third-level industries of gas utilities, water utilities and independent power producers and energy traders is relatively outstanding. In terms of independent power producers and energy traders, China ranks first in the world in terms of industrial strength coefficient, with a total of 73 listed companies, and its market value, revenue and total profit are significantly higher than those of the United States (market value 3646 vs. 47.5 billion US dollars, revenue 2652 vs. 34.1 billion US dollars, profit 152 vs. 700 million US dollars). China has three world-leading companies in the fourth-level industry of new energy power generation (China Yangtze Power, Three Gorges Energy, Longyuan Power), reflecting China's strong international competitiveness in the field of new energy. In the two third-level industries of gas utilities and water utilities, China has 34 and 36 listed companies respectively, significantly higher than the 13 and 11 in the United States. Although the total market value is slightly lower than that of the United States, the total revenue and total profit are significantly higher than that of the United States, making China's industrial strength coefficients in these two industries 1.75 and 1.23 times that of the United States respectively. In the two third-level industries of power utilities and complex utilities, the market position of Chinese companies is relatively weak, and the industrial strength coefficient is only 3% and 1% of that of the United States. Table 11: Comparison of data on the primary industry of public utilities in China and the United States 5. Non-daily consumption: Automobiles and durable consumer goods are at the forefront of the world, but the head enterprise effect has not yet formed. The non-daily consumption industry includes four secondary industries: automobiles and auto parts, durable consumer goods and clothing, consumer services, and non-essential consumer goods distribution and retail, covering 10 tertiary industries and 27 quaternary industries. According to the national industrial strength coefficient, China ranks second in this primary industry (0.14), second only to the United States (0.35), and is relatively close to Japan (0.13), which ranks third. Although China ranks first in the world in terms of the total number of listed companies (893), it ranks second in terms of total market value (US$1895 billion).
