Consumption remains a key driver of China’s economic growth, guest speakers said during the latest episode of China Economic Roundtable, an all-media talk show hosted by Xinhua News Agency.
In the first half of the year, the consumer market stayed generally stable, service consumption expanded fairly fast, the consumption structure continued to upgrade, and new drivers in this sector gathered pace, said Huang Hanquan, head of the Chinese Academy of Macroeconomic Research under the National Development and Reform Commission.
Resilient mega market
During the period, final consumption expenditure contributed more to economic growth than capital formation and net exports, underscoring the resilience of the country’s mega market.
The shift towards services in household spending has become more pronounced, with the share of service consumption expenditure rising steadily, said Wang Guanhua, an official with the National Bureau of Statistics.
Retail sales of services grew 5.3% year on year in the first half, outpacing retail sales of goods by 4.2 percentage points, Wang said, noting that service segments including tourism, consulting and leasing, as well as cultural, sports and leisure activities, all maintained double-digit growth.
“Emotional consumption and experience-based consumption continue to gain traction. Travel and tourism remain popular, while tickets for major concerts, live shows and sporting events are often snapped up. These are vivid examples of the sustained release of Chinese households’ service consumption potential,” Wang said.
- Consumption remained a key driver of China's economic growth in the first half of the year.
- Final consumption expenditure contributed more to economic growth than capital formation and net exports.
- Service consumption increased significantly, with a rising share of household spending shifting towards services.
- Retail sales of services grew 5.3% year on year, outpacing retail sales of goods by 4.2 percentage points.
- Popular service sectors included tourism, consulting, leasing, cultural, sports, and leisure activities, driven by emotional and experience-based consumption.
