BEIJING: With major economic indicators further improving from the low base caused by COVID-19 last year, China’s GDP expanded 12.7 percent year on year in the first half (H1) of this year to over 53 trillion yuan ($8.18 trillion). The economy continued to approach the pre-pandemic level and saw high-quality growth, according to the National Bureau of Statistics (NBS).
According to Liu Aihua, a spokesperson for the NBS, the economy saw steady recovery and restructuring in H1 as the government continued introducing supporting policies for small and micro enterprises. These policies lay a solid foundation for sound performance in the second half of the year (H2). While the recovery of some sectors still lags behind, improved market expectations, expanding domestic consumption and resuming external demand boosted by global economic recovery are expected to add to the growth momentum.
“In the January-March period of this year, China’s economic growth rose from a low base in Q1 last year and maintained a steady uptrend in Q2. The performance of investment, consumption and foreign trade all showed sound recovery,” Xu Hongcai, Deputy Director of the Economic Policy Commission under the China Association of Policy Science, told Beijing Review. “With economic activities back on track, the economic growth in H2 may slow down. The key is to ensure high-quality development through boosting domestic demand and exploring foreign markets.”
Major economic indicators saw further improvement in H1. The summer grain output reached a record high of 145.8 million tons, an increase of 2.97 million tons over last year. The industrial output rose 15.9 percent year on year, with the manufacturing industry registering notable growth. According to Liu, the gross value added (GVA) of the manufacturing industry accounted for 27.9 percent of GDP, up 1.3 percentage points compared with the corresponding period last year. The GVA of the service industry contributed 53 percent to GDP, edging up 2.1 percentage points from Q1. The performance of market players continued to turn for the better in H1. State-owned and private enterprises both registered over 10-percent GVA growth.
– The Daily Mail-Beijing Review News exchange item
