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Draft ISIC Rev.4 structure Part I

Draft ISIC Rev.4 structure Part I. Jürgen Schwärzler , UN Statistics Division, Classifications Section. Overview. Sector 2: Mining and quarrying Sector 3: Manufacturing Sector 4: Repair and Maintenance NEW! Sector 5: Utilities

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Draft ISIC Rev.4 structure Part I

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  1. Draft ISIC Rev.4 structurePart I Jürgen Schwärzler, UN Statistics Division, Classifications Section

  2. Overview • Sector 2: Mining and quarrying • Sector 3: Manufacturing • Sector 4: Repair and Maintenance NEW! • Sector 5: Utilities • Sector 16: Water supply; sewage; waste management (~Sanitation)

  3. High-level categories, ISIC 3.1 High-level categories, ISIC 4 1 A Agriculture, hunting, forestry and fishing Agriculture, hunting, forestry 2 B Mining and quarrying Fishing C 3 Manufacturing Mining and quarrying 4 D Manufacturing Repair and maintenance E 5 Utilities Electricity, Gas and Water Supply 6 F Construction Construction G 7 Wholesale and Retail Trade, … Trade 8 H Hotel and Restaurants Accommodation and food services I 9 Transport and storage and communication Transport and storage 10 J Information and communication Financial intermediation 11 K Real estate, rental and business activities Financial and insurance services L 12 Public administration and defence; compulsory social security Real estate, rental and leasing activities 13 Professional, scientific and technical services M Education 14 Administration and support services N Health and Social Work 15 Public administration, defence; social security O Other services P 16 Households Water supply; sewage, waste mgmt and remediation Q Extraterritorial organizations 17 Education 18 Health and social services 19 Arts, entertainment and recreation 20 Other services 21 Households 22 Extraterritorial organizations High-level structure

  4. Setup of ISIC-structure document • Content: General Description of the Division • Analysis of the impact on: • Relevance: Why introduce changes? • Continuity: Comparison to ISIC 3.1 (time-series continuity) • Comparability: Comparison to other classifications (especially NAICS) • Boundary questions: undecided or questionable issues, that have to be resolved during the revision process

  5. Mining and quarrying (ISIC 4) Mining and quarrying (ISIC 3.1) 2.1 10 Mining of coal and lignite; extraction of peat Mining of coal and lignite; extraction of peat 2.2 11 Extraction of crude petroleum and natural gas Extraction of crude petroleum and natural gas + incidental services 2.3 Mining of metal ores 12 Mining of uranium and thorium ores 2.4 Other mining and quarrying 13 Mining of metal ores 2.5 Mining support services 14 Other mining and quarrying 2 - Mining Aggregation of ALL specialized mining support services into 2.5 Problems: • overburden removal (construction) • test drilling (construction) • exploration services (professional services)

  6. Incidental services • Separate identification allows: • Separation of services from mining • Outsourcing is observeable • Classification with main activity allows: • Easier treatment of vertically integrated companies • “better” grouping by mining product • Identification of horizontally integrated mining service providers is problematic in either way

  7. 2 – Mining, other issues • The US would prefer peat being put under “2.4 Other mining” rather than 2.1 (Mining of coal and lignite) • Liquefaction and re-gasification of natural gas for transport purposes (transport vs. mining support service) • Table salt (mining in ISIC; food manufacturing in NAICS; chemical manufacturing in NACE)

  8. 3 Manufacturing, ISIC 4 Manufacturing, ISIC 3.1 3.1 … food products, beverages and tobacco products 15 … food products and beverages 3.2 … textiles, wearing apparel, fur, leather and related products 16 ... tobacco products 17 ... textiles 3.3 … wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials 18 ... wearing apparel; dressing and dyeing of fur 3.4 … paper and paper products (***) 19 Tanning and dressing of leather; ... luggage, handbags, saddlery, harness and footwear 3.5 Printing and reproduction of recorded media (***) 20 ... wood and of products of wood and cork, except furniture; ... articles of straw and plaiting materials 3.6 … coke, refined petroleum products and nuclear fuel 3.7 … chemicals and chemical products 21 ... paper and paper products 3.8 … rubber and plastics products 22 Publishing, printing and reproduction of recorded media 3.9 … other non-metallic mineral products 23 ... coke, refined petroleum products and nuclear fuel 3.10 … basic metals 24 ... chemicals and chemical products 3.11 … fabricated metal products, except machinery and equipment 25 ... rubber and plastics products 3.12 … machinery and equipment n.e.c. 26 ... other non-metallic mineral products 3.13 … computers, communications equipment, electronic components 27 ... basic metals 3.14 … electrical equipment 28 ... fabricated metal products, except machinery and equipment 3.15 … transport equipment 29 ... machinery and equipment n.e.c. 3.16 … furniture; manufacturing n.e.c. 30 ... office, accounting and computing machinery 31 ... electrical machinery and apparatus n.e.c. 32 ... radio, television and communication equipment and apparatus 33 ... medical, precision and optical instruments, watches and clocks 34 ... motor vehicles, trailers and semi-trailers 35 ... other transport equipment 36 ... furniture; manufacturing n.e.c. 37 Recycling 3-Manufacturing

  9. Manufacturing • Combine Divisions: • Food, beverages + tobacco • Textiles + wearing apparel + leather • Motor vehicles + other transportation equipment • Remove: • Recycling  Section 16 “Environment” • Publishing  Section 10 “Information” • REPAIR/MAINTENANCE • Re-structuring of office machinery, electric/electronic products (ISIC 3.1: 293+30+31+32+33)  ISIC 4: 3.13, 3.14, 3.16)

  10. High-Tech, 3.13 • 3.13 Computers, communications equipment, electronic components • + consumer electronics, electronic office machinery (photocopiers, cash registers) • + electronic testing, control, electro-medical, electro-optical equipment • Former divisions 30(*)+33(*)+3220+3230 • Move closer to NAICS

  11. High-Tech, 3.13, questions • Mass production of (blank) CD’s, etc. • Items with different technical complexity: parking meters, watches, clocks, laboratory equipment • Advanced electronic appliances; appliances with dual functions

  12. Low-Tech, 3.14 • Manufacture of electrical equipment • Manufacture of Household appliances from 293 to Division 3.14 (Electrical Equipment) • + Former Division 31 (electric motors, generators, transformers, electricity distribution, control apparatus, wire, accumulators, primary cells) • + Division 30(*), 33(*), 3210

  13. Other (general) questions • Outsourcing • Composite products • Material substitution

  14. Other problems • Fish/seafood processing • Table salt • Rubber apparel, diving suits • Paper with foils (alu, plastic, rubber), self-adhesive paper • Integrated printing and publishing • Mass reproduction of software, etc. • Radio-active waste treatment (waste management vs. chemical manufacturing)

  15. Other problems • Ink-jet cartridges • Matches • Plastic/rubber boats • Special purpose machinery (e.g. off-road dump trucks, agricultural machinery) – transportation • Vehicle parts, engine parts (transport equipment, by primary material, special purpose machinery, electrical equipment)

  16. Repair and Maintenance • 4.1 … of transport equipment • 4.2 … of personal and household goods • 4.3 … of machinery and equipment

  17. Repair and Maintenance • Differentiation: • i) Manufacturing • ii) Re-manufacturing, rebuilding • iii) Repair • iv) Maintenance • Under ISIC 3.1: • Spread over Manufacturing • + household appliances repair (526), + office machinery repair (725), +repair of motor vehicles (502)

  18. Boundary • Building structures, integral equipment of buildings (e.g. central heating system, escalators, elevators, air-condition) remain in construction!

  19. Boundary problems • General: boundary between household good and transportation equipment (4.1 <=> 4.2) or household good and machinery and equipment (4.2 <=> 4.3) • What should repair of transport equipment include? • Motor vehicles, motorcycles • Railway/tramway locomotives and rolling stock • Ships, ferries • Aircraft, spacecraft • Cable cars, chair lifts • Bicycles, wheelchairs • Motorboats, sailboats, canoes, rubber-boats, surfboards

  20. Sanitation, breakdown ISIC 4: 16 - Water supply; sewage; waste management • 16.1 Water collection and supply; sewage • 16.2 Waste treatment and disposal • 16.3 Remediation activities ISIC 3.1: • 37 – Recycling • 41 – Collection, Purification and Distribution of Water • 90 – Sewage and refuse disposal, sanitation and similar activities

  21. Sanitation Boundary problems: • 16.1: irrigation systems (in agriculture) • 16.2: wholesale of recyclable material combined with “manufacturing” (NAICS) • 16.3: Remediation involving construction (asbestos removal)

  22. Utilities, breakdown ISIC 4: • 5.1 Electric power generation, transmission, distribution • 5.2 Natural gas and other gas distribution • 5.3 Steam and air conditioning supply ISIC 3.1: • E – Electricity, Gas and Water Supply • 40 - Electricity, Gas, Steam and Hot Water Supply • 401 – Production, collection and distribution of Electricity • 402 – Manufacture of Gas; distribution of gaseous fuels through mains • 403 – Steam and Hot Water supply • 41 – Collection, Purification and Distribution of Water  Section 16

  23. Utilities Boundary issues: • High voltage electricity transmission (transport) • Brokerage of electricity/gas

  24. Questions SUMMARY

  25. Questions - Mining • How to handle incidental services to mining? • Merging of uranium/thorium and metal mining?

  26. Questions - Manufacturing • Manufacturing (14, 15): • Do you see a positive aspect in the aggregations in manufacturing (food, textiles, transportation equipment)? • Is the breakdown of computers, etc. and electrical equipment more useful than the old approach?

  27. Questions - Repair • Repair & Maintenance (16): • Is separation from Manufacturing desirable? • Alternative: identify Repair & Maintenance under Manufacturing • Can you support one or the other approach?

  28. Questions – Utilities • Utilities: • Do you agree on moving water to the Section 16, rather than keeping it under as Division 41 under E? • How would you like to see the electricity and gas infrastructure? • In the current form (~vertical integration?) • Or: clearly separated by activity (production, transmission, distribution)?

  29. Questions – Sanitation • Sanitation (27): • Should Section 16 move closer to other Manufacturing as treatment of water, waste, etc. resembles goods manufacturing?

  30. End Thank you for your attention!

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