China to cut social logistics costs by more than 400 billion by 2024 - Chinese report

On the 27th, the China Logistics Purchasing Federation released a report on China's total social logistics costs in 2024. Generally, internationally, the ratio of social logistics costs to GDP is used to calculate the logistics costs of the entire society.
The GDP growth rate is expected to reach 1.2% in the second half of 2020, and the GDP growth rate is expected to reach 1.2% in the third half of 2020.
According to the report, the ratio of total social logistics costs to China's GDP will continue to decline, reaching its lowest level in history by 2024, and the logistics
The cost savings amounted to more than 400 billion former (about 8.2 trillion yen). China's total social logistics costs as a percentage of GDP were 14.1%, down 0.3 percentage points from 2023.
This means that logistics costs per 100former of GDP (approximately 2,051 yen) will fall from 14.4former (approximately 295 yen) in 2023 to 14.1former (approximately 289 yen) in 2024.
Calculated based on the GDP scale in 2017, this means that logistics costs in that year have been reduced by more than 400 billion yen. Experts believe that the transformation and upgrading of the industrial structure will help to reduce the ratio of social logistics costs to GDP.
"As the proportion of high-tech products in manufacturing continues to increase, the value created in the actual distribution process of goods continues to increase.
"The industrial structure of the country is moving towards a high-end structure, which is increasing the production value of the cargo transported itself."