China’s economy remained generally stable in August, showcasing steady progress towards high-quality development, according to the National Bureau of Statistics (NBS) on Saturday. The release of August economic data highlighted positive trends across key sectors.
Consumer Market Shows Stable Recovery
Retail sales increased by 2.1 percent year on year in August, reflecting a sustained recovery in the consumer market. Sales of communications equipment surged by 14.8 percent, while sales of cereals, oil, and food grew by 10.1 percent. Medicine sales rose by 4.3 percent, and home appliances and audio and video products saw a 3.4 percent increase.
Online sales continued to be a bright spot, with an 8.9 percent year-on-year rise in the January-August period. Specifically, sales of physical goods increased by 8.1 percent, accounting for a quarter of total retail sales.
NBS spokesperson Liu Aihua emphasized the recovery trend in the consumer market, particularly in services, new types of consumption, and online sales. The vibrant summer travel season and strong demand for cultural products and tourism underscored the great potential of service consumption. Digital and green consumption also emerged as new favorites among consumers.
China has implemented various measures to boost consumption this year, including programs promoting large-scale equipment upgrades and trade-ins of consumer goods. Recently, the government intensified efforts to encourage the purchase of automobiles, home appliances, and more.
Bruce Pang, chief economist and head of research at JLL Greater China, noted that growth in commodity sales, restaurant revenue, and online retail sales remained relatively solid, partly benefiting from policy support. He added that the focus should be on promoting the development of highly dynamic consumer sectors.
Industrial Output Sustains Growth
The value-added industrial output, a key economic indicator, expanded by 4.5 percent year on year in August. On a monthly basis, industrial output edged up 0.32 percent from the previous month.
Liu highlighted that nearly 80 percent of industries and over 50 percent of products registered year-on-year increases. The equipment manufacturing sector contributed 47.9 percent to the entire industrial output growth, indicating that new growth drivers for the manufacturing sector are being strengthened.
Fixed-Asset Investment Expands Steadily
China’s fixed-asset investment rose 3.4 percent year on year in the first eight months of 2024, totaling 32.94 trillion yuan ($4.64 trillion) during the period. Investment in infrastructure construction increased by 4.4 percent, while manufacturing investment grew by 9.1 percent.
Excluding the property sector, which is still undergoing adjustments, fixed-asset investment increased by 7.7 percent year on year in the first eight months of 2024. Meanwhile, investment in property development fell by 10.2 percent.
Liu stated that the vibrant demand unleashed by China’s new round of large-scale equipment upgrades and trade-ins of consumer goods has boosted fixed-asset investment. NBS data revealed that investment in purchasing equipment, tools, and instruments jumped 16.8 percent year on year in the first eight months.
She emphasized the role of investment in providing solid support for fostering new momentum, as more capital flowed into burgeoning high-tech sectors.
(With input from Xinhua)
Reference(s):
cgtn.com
