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INVESTMENT IN FIXED ASSETS 
AND REAL ESTATE

Explanatory Notes on Main Statistical Indicators


Total Investment in Fixed Assets refers to the volume of activities in construction and purchases of fixed assets and related fees, expressed in monetary terms. Total investment in fixed assets in the whole country includes urban investment, rural investment and individual investment. Investment in fixed assets in Tianjin refers to total investment in fixed assets in the whole country deducting rural investment and individual investment.ª¥

Investment in Real Estate Development refers to the investment by the real estate development companies, commercial buildings construction companies and other real estate development units of various types of ownership in the construction of house buildings. It is finished work in monetary terms.ª¥

Commercial Houses refer to residential buildings and other commercial houses of commercial houses development companies that are qualified for sale, excluding non-commercial houses. (1) Investment commercial houses include: (a) making a requisition of land and pull down a houses in development area, (b) funds of residential buildings construction and installation, (c) municipal administration engineering system in red line of development area, (d) residential building complementary service facilities in development area.(2) Investment in construction of other commercial houses include funds of factory buildings, warehouses and other commercial houses.ª¥

Investment in Fixed Assets by Structure :ª¥

Construction Project refers to the construction of various houses and buildings, it also is called the work volume of construction, including construction of various houses, equipment foundations and industrial kilns and stoves, preparation works for project construction, and clearing up works post project construction, geological examination, land-leveling, water, electricity, gas road-cleaning, planting trees, drilling of mines, pavement of railways and roads, highway, bridge, construction of projects of water conservancy, construction of underground air-raid shelters and construction of other special projects.ª¥

Installation Project refers to the installation of various kinds of equipment and instruments (work volume of installation) . The value of equipment installed is excluded in the value of installation projects. Including various kinds of equipment, i.e. production, power-driven, lifting, transport, transmission, medical experiment etc. and working table, stepladder railing, putting up of pipes, keep warm, paint, rot-proofing, try operation (excluding put in material try operation).ª¥

Purchase of Equipment and Instruments refers to the total value of equipment,tools, and vessels purchased or self-produced which come up to standards for fixed assets.Equipment, tools and vessels purchased or self- produced for new workshops by newly established or expanded units are categorized as "purchase of equipment and instruments" no matter whether they come up to the standards for fixed assets or not.ª¥

Other Expenses refers to investment excluded in above items, which consist of construction and installation, purchase of equipment and instruments, purchase of commercial buildings, including purchase of animals by agricultural and forestry units, planting and operating of various economic forest, purchase of office and home furniture, purchase of instruments and vessels, compensation for the loss of land and young crops, subsidies for moving, administration expenses of construction units, and expenses on research and testing, geological prospecting and designing,joint trial running, and the other purchase introduction of technology and imports of equipment, expenses on training of staff and workers, transportation of construction machines, loss of discarded projects, powers upply station, mine harbor maintenance.ª¥

Investment in Fixed Assets by Type of Construction refers to reflect use direction of investment in fixed assets, researching various proportions and analyzing result of investment. It includes :ª¥

New Construction refers to newly constructed units. In the case, in which the value of the original fixed assets is quite small, and the value of newly added fixed assets exceeds the original ones by three times, the expansion construction is considered as new construction.ª¥

Expansion Construction refers to construction of new major production workshop or independent production line within a factory or in other locations, or construction of a branch factory so as to increase the production capacity of the original products. Newly constructed business houses in institutions and administrative organizations are also classified as expansion.ª¥

Reconstruction refers to technical innovation and transformation of the existing equipment and technical conditions undertaken by enterprises and institutions for the purposes of technological advancement, (including accessory facilities for production or for living and welfare purposes). The construction of new workshops for improving existing production capacity rather than increasing production capacity is also considered as reconstruction.ª¥

Newly Increased Fixed Assets refers to the newly increased value of fixed assets through investment, including the value of projects completed and put into production, the value of equipment, tools, and vessels considered as fixed assets, as well as the relevant expenses as investment in fixed assets and other construction expansion of increased the volume in fixed assets.ª¥

Rate of Projects of Fixed Assets Completed and Put into Operation refers to the ratio of the newly increased fixed assets to the total investment made in the same period. This is a comprehensive indicator, reflecting the speed of the employment of fixed assets and the investment efficiency.ª¥

Floor Space of Buildings under Construction refers to total floor space of all buildings under construction during the reference period, including floor space of newly started buildings during the reference period, floor space of construction extended from the previous year to the current period, and floor space of construction suspended during the previous period and resumed in the current period.ª¥

Floor Space of Buildings Completed refer to the floor space of all buildings completed in the reference period, which have been appraised and accepted(or come up to the designed standards) and have been transferred to the owners for use.


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