As the world navigates a complex and ever-changing international landscape, China's economy continues to demonstrate resilience and steady growth. In the first three quarters of 2024, the Chinese mainland has maintained its trajectory of high-quality development, marking significant progress towards the goals outlined in the 14th Five-Year Plan.
Industrial Growth Driven by High-Tech Manufacturing
On the production front, profits of industrial enterprises have seen a consistent increase since the beginning of the year. High-tech manufacturing sectors, especially those involving computers, communications, and electronic equipment, have shown impressive performance, acting as new growth drivers for the economy.
According to the latest data from the National Bureau of Statistics (NBS), industrial enterprises above the designated size achieved operating revenue of 87.1 trillion yuan (approximately $12.3 trillion) from January to August, reflecting a year-on-year growth of 2.4 percent. Notably, profits in the computer, communications, and other electronic equipment manufacturing sector soared by 22.1 percent, underscoring the ongoing optimization of China's industrial structure.
The manufacturing Purchasing Managers' Index (PMI) for September rose to 51.2, surpassing the critical threshold of 50 that separates growth from contraction. High-tech manufacturing PMI and equipment manufacturing PMI stood at 53.0 and 52.0, respectively, indicating continued positive momentum in these sectors.
Consumer Confidence and Domestic Demand on the Rise
Domestic consumption has been steadily recovering, bolstered by policies aimed at boosting demand, such as equipment upgrades and trade-in programs for consumer goods. Certain consumer sectors have entered a period of seasonal prosperity, contributing to the overall growth.
From January to August, the consumer goods manufacturing sector saw profits increase by 8.4 percent year-on-year, outpacing the average growth in manufacturing. The consumer confidence index improved slightly, rising from 90.1 in June to 91.3 in September, according to NBS data. The expectation index, reflecting consumers' outlook on economic prospects, also climbed from 88.7 to 90.1 during the same period, highlighting the pivotal role of domestic demand in supporting economic growth.
Price Levels Show Signs of Rebound
Overall domestic price levels have shown signs of rebounding. The Consumer Price Index (CPI) rose by 0.4 percent year-on-year in September and remained stable month-on-month. Improved expectations for industrial goods demand and seasonal consumption patterns for agricultural products have clarified price trends.
Meanwhile, influenced by declining international commodity prices, the Producer Price Index (PPI) experienced decreases both month-on-month and year-on-year. These trends reflect the complex interplay between domestic and global economic factors.
Resilience Amid Global Challenges
Other key economic indicators, including fixed asset investment, foreign trade, and the urban unemployment rate, have also shown improvement, underscoring the resilience of China's economy. Despite external complexities and uncertainties, the Chinese mainland remains committed to its path of recovery and long-term improvement.
Looking Ahead: Strategies for Sustained Growth
In light of an increasingly challenging external environment, it is crucial to intensify efforts to maintain economic growth. Moving forward, focus areas include actively expanding effective domestic demand, accelerating the cultivation of new economic drivers, and enhancing household income levels.
Strengthening monetary policy regulation and enhancing coordination between monetary and fiscal policies are imperative. Implementing various reform measures will further solidify the foundation for sustained economic recovery and improvement, ensuring that China continues on its trajectory of high-quality development.
Reference(s):
cgtn.com
