According to data released by the National Bureau of Statistics on June 15, China's economic operation maintained a recovery trend in May. As the effects of the policies to stabilize growth, employment and prices continued to show, production demand gradually recovered, employment and consumer prices remained generally stable, and the quality of development continued to improve.

"From the perspective of the whole year, there are many strong supports for the economy to achieve the annual development target." At the press conference of the State Office for New Affairs held on June 15, Fu Linghui, spokesman for the National Bureau of Statistics and director of the Department of Comprehensive Statistics of the National Economy, said.

Production, consumption and investment continued to recover

In May, the added value of industrial enterprises above designated size grew by 3.5% year-on-year, excluding the impact of the higher base in the same period of last year, the two-year average growth rate was faster than that of the previous month. The total retail sales of consumer goods increased by 12.7% year on year, of which catering revenue increased by 35.1%; The scale of investment continues to expand... The latest data show that production, consumption and investment continue to recover.

The role of consumption in driving growth has gradually increased. Since the beginning of this year, China's consumption potential has been gradually released, and its pulling effect on economic growth has been strengthened. In the first quarter, the contribution of final consumption expenditure to economic growth reached 66.6%. With the expansion of the consumption scene, the increase of residents going out to shop, the market sales continue to expand, and the rapid growth of service consumption. From January to May, the total retail sales of consumer goods reached 18,763.6 trillion yuan, an increase of 9.3% over the same period last year and 0.8 percentage points higher than that in the period from January to April. National film box office revenue rose more than 40 percent year on year, and restaurant revenue rose 22.6 percent. During the "May Day" holiday, residents' travel increased significantly, which led to the expansion of related consumption.

The consumption and investment structure will be improved. The pace of consumption upgrading was steady, and the formation of a high-level supply capacity was accelerated. From January to May, the retail sales of gold, silver and jewelry, sports and entertainment goods and other upgraded goods of units above designated size increased by 19.5% and 11% respectively; Investment in high-tech industries grew by 12.8 percent year on year, of which investment in high-tech manufacturing and high-tech services grew by 12.8 percent and 13.0 percent, respectively, significantly outpacing overall investment growth.

"At present, the overall improvement of the employment situation is conducive to increasing residents' income and improving their consumption power. Various departments have actively introduced policies to promote consumption, which will increase people's willingness to consume. The deep integration of online and offline consumption and the accelerated development of new forms and models of consumption will also help expand consumption. The stronger role of consumption will strongly promote the recovery of the economy." Fu Linghui said.

The economic operation has recovered, the demand for job recruitment has increased, the labor participation rate has increased, and the employment situation has remained stable on the whole. In May, the surveyed urban unemployment rate was 5.2%, unchanged from the previous month. Consumer prices rose slightly, consumer demand recovered steadily, market supply continued to increase, the relationship between supply and demand was basically stable, and consumer prices remained generally stable.

New drivers of development have grown stronger

From January to May, the output of new energy vehicles and charging pile products increased by 37% and 57.7% respectively, which is conducive to the improvement of the ecological environment and gradually forming a new economic growth point; The value added of the equipment manufacturing industry above designated size grew by 6.8% year-on-year, faster than that of the industrial industry above designated size. Online retail sales of physical goods increased by 11.8%, maintaining relatively fast growth... A series of data shows that China's high-quality development is advancing steadily.

"The leading role of innovation has been strengthened, and new industries and new forms of business have developed rapidly. Since the beginning of this year, China has implemented the strategy of innovation-driven development, actively promoted self-reliance in science and technology, developed high-end, intelligent and green production, and gained momentum in new growth drivers." Fu Linghui told reporters that from January to May, the production index of information transmission, software and information technology services increased by 11.3%, all maintaining rapid growth; The output of industrial control computers and systems and polysilicon increased by 33.4% and 84.2%, respectively. The pace of green and low-carbon transformation has accelerated, new energy products have grown rapidly, and the output of solar cells has increased by 53.6% year-on-year.

Green transformation has continued to deepen, green and low-carbon production and life styles have accelerated, and the output of related products has increased rapidly. The enhanced driving force of innovation and development will strongly promote industrial upgrading and development, accelerate the formation of a modern industrial system, promote the transformation of economic growth drivers, and lay a solid foundation for the steady and healthy development of China's economy.

Foreign trade continued to show resilience. The international environment is complex and severe, the overall growth of the world economy is weak, and in the face of the difficult situation of shrinking external demand, China has actively explored trade with countries along the "Belt and Road", stabilized the foreign trade market of traditional trading partners, and promoted foreign trade to promote stability and improve quality, and the effect has continued to show. In May, China's total import and export volume increased by 0.5 percent year-on-year, in sharp contrast to the decline in foreign trade of some emerging economies.

We have the confidence to promote economic recovery

"Overall, in May, the national economy continued to recover, and the transformation and upgrading continued to advance. But we must also see that the international environment is complex and grim, the domestic structural adjustment pressure is relatively large, and the foundation for economic recovery is not yet solid." Fu Linghui pointed out.

From the next stage, industrial production is still facing certain pressure. The main problems are the sluggish world economy, hindered industrial exports, insufficient domestic demand, falling prices of industrial products, sluggish production in some industrial sectors, more difficulties in business operations, and greater pressure on small and micro enterprises. Domestic market demand is insufficient, prices are low, business entities have many difficulties, and the foundation for economic recovery is not solid. "Despite the pressure and challenges, the fundamentals of China's long-term economic growth have not changed, and the characteristics of strong resilience, large potential and wide space are obvious. Since the economy and society have fully resumed normal operation, the macro policies have exerted concerted efforts, the economic operation has recovered, and high-quality development has steadily advanced." Fu Linghui stressed.

Since the beginning of this year, China has deepened reforms in key areas and key links, actively promoted the construction of a high-standard market system, accelerated the construction of a unified national large market, steadily expanded institutional opening, accelerated the creation of a market-oriented and law-based international business environment, vigorously stabilized trade with traditional trading partners, and actively expanded economic and trade cooperation with RCEP and countries along the Belt and Road. From the utilization of foreign capital, from January to April, the actual utilization of foreign capital in China's high-tech industry increased by 12.8% year-on-year. Going forward, steady progress in comprehensively deepening reform and expanding high-level opening up will inject strong impetus into economic development, and the dividends of reform and opening up will continue to show. "There will be difficulties and risks on the road ahead, but with the solid material and technological foundation accumulated for long-term development, broad market space and enhanced innovation capacity, China has the conditions, ability and confidence to overcome difficulties and promote a sound economic recovery." Fu Linghui said.

Source: Ministry of Finance, People's Republic of China