The manufacturing sector served as a strong engine of growth last year.
China’s economy is expected to grow at an annual rate of 5% through 2024, slower than last year, but in line with Beijing’s target of about 5% growth on the back of strong exports and recent stimulus measures. The government said on Friday that the economy grew 5.4% quarter-on-quarter in October-December. According to PTI news, the increase in exports was due to efforts made by companies and consumers to avoid possible tariff increases imposed on Chinese goods.
Manufacturing sector played a big role
The national economy remained generally stable, with steady progress, the National Bureau of Statistics reported Friday. New achievements were made in high-quality development. According to the news, it has been said that in particular, the timely implementation of the package of incremental policies effectively boosted social confidence and significantly improved the economy. The manufacturing sector served as a strong engine of growth last year, with industrial output expanding 5.8% from a year earlier. Total retail sales of consumer goods increased at an annual rate of 3.5%.
China will grow at 5.2% annual rate in 2023
On an annual basis, exports increased by 7.1%, while imports increased by 2.3%. The world’s second-largest economy is grappling with weak consumer spending and resulting deflationary pressures as its recovery following the Covid 19 pandemic faltered and the property sector, once the main driver of business activity, slipped into recession. The Chinese economy grew at a 5.2% annual rate through 2023, and economists predict it will slow further in the coming years. China’s population is also aging and declining, putting pressure on growth.
The impact of birth control policies is increasing
The rising cost of living is causing young people to postpone or refuse marriage and childbearing in favor of higher education and careers, increasing the impact of birth control policies that limit most families to one child at a time. Used to limit. Some economists say the economy is growing slower than indicated in official estimates. Trump, who will be sworn in next week, has pledged to raise US import tariffs on Chinese goods. This week, the Biden administration imposed further restrictions on exports of advanced semiconductors and technology as it seeks to maintain US leadership on advanced technologies and block China’s access.
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