Latest news with #ZhengShanjie
Kuwait Times
10-07-2025
- Business
- Kuwait Times
China's economy will exceed $19.5tn in 2025: State planner
Consumer prices edge up but factory price deflation deepens BEIJING: The size of China's economy will exceed 140 trillion yuan ($19.5 trillion) this year, the head of the state planner said as policymakers look to steer the country beyond the current five-year policy plan, which concludes at the end of 2025. The world's second-largest economy is grappling with a prolonged trade war with the United States and persistent deflationary pressures. 'Looking back at the 14th five-year plan period, the challenges encountered were greater than expected, but the achievements exceeded expectations,' Zheng Shanjie, chair of the National Development and Reform Commission, said at a press conference. Zheng highlighted progress made under the 2021–2025 five-year plan, which focuses on key priorities such as economic development, technological innovation, green transformation and improvements in people's livelihoods. In its 14th five-year plan released in 2021, China dropped a specific gross domestic product growth target for 2021–2025, but has continued to set annual growth targets during the plan period, with the goal for 2025 set at around 5 percent. The economy grew at an average annual pace of 5.4 percent from 2021 to 2024, despite the impact of COVID-19, official data showed. Zheng said China has built the world's largest and most comprehensive manufacturing sector, strengthening its industrial and supply chains and boosting confidence in the country's ability to handle various risks and challenges. Foreign technology curbs would only strengthen China's self-reliance and its capacity to be innovative, Zheng added. Officials at the briefing offered no details on the 15th five-year plan, as Chinese leaders are still gathering proposals for the blueprint, which will outline national priorities through 2030. Chinese government advisers are stepping up calls to make the household sector's contribution to broader economic growth a top priority at Beijing's upcoming five-year policy plan, as trade tensions and deflation threaten the outlook. Consumer prices in China rose slightly in June, official data showed on Wednesday, snapping a four-month decline even as factory gate prices were bruised by a fierce trade war with Washington. Chinese officials have been trying to revive sluggish domestic spending since the end of the COVID-19 pandemic, with the government's official growth target at risk. That comes just as leaders face heightened turmoil sparked by US President Donald Trump's trade war. The consumer price index — a key measure of inflation — edged up 0.1 percent on-year last month, according to data published by China's National Bureau of Statistics (NBS). The reading beat the 0.1 percent drop forecast in a Bloomberg survey of economists and was an improvement on the 0.1 percent fall seen in May. The flip into positive territory was 'mainly due to the rebound in prices of industrial consumer goods', NBS statistician Dong Lijuan said in a statement. Dong noted that 'policies of expanding domestic demand and promoting consumption continued to be effective'. Beijing has set its official growth target this year at around five percent, although many economists consider that goal to be ambitious because domestic spending remains sluggish. The government has introduced a series of aggressive moves since last year in an attempt to get people spending, including key rate cuts, abolishing some restrictions on homebuying and a consumer goods trade-in scheme. In a signal of further deflationary pressure, Chinese factory gate prices fell in June at the fastest rate in nearly two years, the NBS also said on Wednesday. The producer price index declined 3.6 percent year-on-year, accelerating from a 3.3 percent drop in May, and faster than the 3.2 percent decline estimated in the Bloomberg survey. 'I think it is too early to call the end of deflation at this stage,' Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, wrote in a note. China's once-booming real estate market has been mired in a crisis for years, stalling many large construction projects and spooking would-be homebuyers. 'The momentum in the property sector is still weakening,' Zhang said. The slump in the property market — long a key driver of growth — gives China's exports a more prominent role in boosting economic activity. However, the outlook for Chinese exports has also darkened with fierce headwinds on trade this year. Trump revealed new tariff rates for many countries this week, with many at levels similar to those announced — and later paused — in April. Zhang said 'the market is too complacent about the damage of such high tariffs on both the US and the global economy'. — Agencies
The Star
10-07-2025
- Business
- The Star
China still key in driving global growth
China's gross domestic product is expected to reach about 140 trillion yuan ($19.5 trillion) this year, reaffirming the country's role as a major contributor to the world's economic growth, the country's top economic regulator said on Wednesday. Going forward, the country is poised to place greater emphasis on unlocking the huge potential of its vast and resilient domestic market to underpin continued economic recovery, with stronger policy support to further boost consumer spending and confidence, said officials and economists. Zheng Shanjie, head of the National Development and Reform Commission, noted that the estimated increase in China's GDP during the 14th Five-Year Plan (2021-25) period — over 35 trillion yuan — is equivalent to the combined economic output of Guangdong, Jiangsu and Shandong provinces, the country's top three provincial economies, and exceeds the GDP of Germany, the world's third-largest economy. "China's contribution to world economic growth has stayed at around 30 percent (in recent years), and China has managed to maintain an average growth rate of 5.5 percent over the past four years despite numerous shocks," Zheng said at a news conference in Beijing on Wednesday. Yuan Da, secretary-general of the NDRC, highlighted the huge growth potential of China's ultra-large domestic market, saying that "domestic demand has always been the main driver and stabilizer of China's economy". China's domestic demand contributed an average of 86.4 percent to the country's economic growth during the past four years, with final consumption contributing 56.2 percent, an increase of 8.6 percentage points compared with the 13th Five-Year Plan (2016-20) period. "We will place greater emphasis on strengthening domestic circulation, steadfastly implement the strategy of expanding domestic demand, and speed up the development of a comprehensive domestic demand system," Yuan said. Data from the National Bureau of Statistics showed that China's consumer prices rose for the first time in five months in June, adding to the latest sign of improving consumer sentiment and stable demand. The country's consumer price index, the main gauge of inflation, rose 0.1 percent year-on-year in June, up from a 0.1 percent drop in May. The core CPI, which excludes volatile food and energy prices and is deemed a better gauge of the supply-demand relationship, increased 0.7 percent year-on-year in June, NBS data showed. "Consumer prices rose in June as policies aimed at expanding domestic demand and boosting consumption continued to take effect," said Dong Lijuan, an NBS statistician. Feng Lin, executive director of the research and development department at Golden Credit Rating International, said government stimulus efforts supported the prices of autos and household appliances, contributing to the CPI uptick in June. However, with first-half CPI dropping 0.1 percent year-on-year, she cautioned that "price levels remain subdued, with still-weak consumer demand being the primary reason". "It also leaves ample policy space for further monetary easing and stronger fiscal stimulus in the second half," Feng added. "That will help cushion the impact of external uncertainties." Despite facing challenges ahead, Zhang Xiaoyan, associate dean at Tsinghua University's PBC School of Finance, said she believes that China is well-positioned to hit its preset annual growth target of around 5 percent this year, underpinned by robust policy support, strong technological innovation capabilities and a resilient domestic market. Looking ahead, she said the second-half policy focus will be placed on maintaining stability and boosting market confidence. Ben Simpfendorfer, a partner at consultancy Oliver Wyman, highlighted the importance of ensuring sustained recovery in consumer confidence, calling for more fiscal spending on education and healthcare and building a stronger social safety net. To further consolidate the recovery trend, NDRC deputy head Li Chunlin pledged stronger coordination among ministries as well as between the central government and local governments to ensure the completion this year of the 102 key projects mapped out by the 14th Five-Year Plan (2021-25). - China Daily/ANN
IOL News
10-07-2025
- Business
- IOL News
China's 2021-2025 economic increment projected to exceed 35 trillion yuan, official says
The National Development and Reform Commission holds a press conference on China's achievements in social and economic development during the 14th Five-Year Plan period (2021-2025), July 9, 2025. Image: VCG China's five-year economic increment is projected to exceed 35 trillion yuan ($4.89 trillion) during the 14th Five-Year Plan period (2021-2025), Zheng Shanjie, head of the National Development and Reform Commission (NDRC), said Wednesday at a press conference on China's achievements in social and economic development. Over the first four years of the period, China's economy grew at an average annual rate of 5.5%. Despite challenges such as the pandemic and trade bullying, this level of growth is an unprecedented achievement for an economy of China's size, Zheng said. Emphasising on the great economic dynamism, Zheng said the country's total R&D expenditure surged nearly 50%, or 1.2 trillion yuan, from 2020 to 2024, and the number of registered private enterprises surpassed 58 million at the end of May 2025 – over 40% higher than 2020. China's vast population has seen tangible improvements in education, healthcare, social security and transportation, Zheng pointed out. Over 95% of the population is now covered by basic medical and pension systems, while access to quality public services has expanded significantly, according to Zheng. High-speed rail mileage has increased by over 10,000 kilometres during the plan period, enabling more efficient mobility and logistics. "Development must deliver for the people. Each figure and shift reflects the tangible progress in enhancing the well-being of the Chinese people." he said. Zheng also noted that the national unified market framework has taken shape, market access has been expanded, and private enterprise registrations have grown by over 40% compared to 2020. Highlighting China's deepening commitment to green development, Zheng noted that forest coverage now exceeds 25%, accounting for a quarter of the world's new greening since 2020. Clean energy now accounts for more than one-third of national electricity consumption, and major rivers such as the Yangtze and Yellow Rivers meet Class II water quality standards. "Green is becoming the defining color of high-quality development in China," Zheng said. From food security to energy and manufacturing resilience, China has consolidated its strategic foundations, Zheng emphasized. He noted that over 1 billion mu (approximately 67 million hectares) of high-standard farmland has been built or upgraded, and the world's largest clean energy system is now in place. According to Zheng, China's energy consumption per unit of GDP decreased by 11.6% in the first four years of the 14th Five-Year Plan period. "This reduction is equivalent to cutting 1.1 billion tonnes of carbon dioxide emissions, nearly 50% of the European Union's total carbon emissions in 2024." "China's actions fully demonstrate the responsibility of a major country," Zheng said. With fewer than 180 days before the conclusion of the 14th Five-Year Plan, Zheng said China stands on a firmer foundation, with stronger institutions, growing innovation capacity, and a clear trajectory toward high-quality development. "Looking ahead to the 15th Five-Year Plan, we remain confident and committed," he said. Domestic demand: the anchor of China's growth Asked about China's potential GDP growth rate and how growth drivers may evolve in the coming five years, Yuan Da, secretary-general of the NDRC, emphasised the centrality of domestic demand in China's development trajectory. "China boasts a super-sized domestic market with enormous growth potential. Domestic demand has always served as the main engine and stabilizer of the Chinese economy," Yuan said. Despite global uncertainties and external shocks over the past four years, China's economy maintained an average annual growth rate of 5.5% from 2021 to 2024, with domestic demand contributing an average of 86.4% to overall economic growth. During the period, consumption contributed an average of 56.2% to China's economic growth – an increase of 8.6 percentage points compared to the 13th Five-Year Plan period (2016-2020), said Yuan. "Without a strong domestic market, there would be no stable momentum for the Chinese economy," Yuan said. * With input from Xinhua CGTN
Qatar Tribune
09-07-2025
- Business
- Qatar Tribune
China's economy to top ¥140 trillion this year, says state planner
Agencies The size of China's economy will exceed 140 trillion yuan ($19.5 trillion) this year, the head of the state planner said as policymakers look to steer the country beyond the current five-year policy plan, which concludes at the end of 2025. The world's second-largest economy is grappling with a prolonged trade war with the United States and persistent deflationary pressures. 'Looking back at the 14th five-year plan period, the challenges encountered were greater than expected, but the achievements exceeded expectations,' Zheng Shanjie, chair of the National Development and Reform Commission, said at a press conference. Zheng highlighted progress made under the 2021–2025 five-year plan, which focuses on key priorities such as economic development, technological innovation, green transformation and improvements in people's livelihoods. In its 14th five-year plan released in 2021, China dropped a specific gross domestic product growth target for 2021–2025, but has continued to set annual growth targets during the plan period, with the goal for 2025 set at around 5 percent. The economy grew at an average annual pace of 5.4 percent from 2021 to 2024, despite the impact of COVID-19, official data showed. Zheng said China has built the world's largest and most comprehensive manufacturing sector, strengthening its industrial and supply chains and boosting confidence in the country's ability to handle various risks and challenges. Foreign technology curbs would only strengthen China's self-reliance and its capacity to be innovative, Zheng added. Officials at the briefing offered no details on the 15th five-year plan, as Chinese leaders are still gathering proposals for the blueprint, which will outline national priorities through government advisers are stepping up calls to make the household sector's contribution to broader economic growth a top priority at Beijing's upcoming five-year policy plan, as trade tensions and deflation threaten the outlook. Consumer prices in China rose slightly in June, official data showed on Wednesday, snapping a four-month decline even as factory gate prices were bruised by a fierce trade war with Washington. Chinese officials have been trying to revive sluggish domestic spending since the end of the COVID-19 pandemic, with the government's official growth target at risk. That comes just as leaders face heightened turmoil sparked by US President Donald Trump's trade war. The consumer price index — a key measure of inflation — edged up 0.1 percent on-year last month, according to data published by China's National Bureau of Statistics (NBS). The reading beat the 0.1 percent drop forecast in a Bloomberg survey of economists and was an improvement on the 0.1 percent fall seen in May. The flip into positive territory was 'mainly due to the rebound in prices of industrial consumer goods', NBS statistician Dong Lijuan said in a statement. Dong noted that 'policies of expanding domestic demand and promoting consumption continued to be effective'.Beijing has set its official growth target this year at around five percent, although many economists consider that goal to be ambitious because domestic spending remains sluggish. The government has introduced a series of aggressive moves since last year in an attempt to get people spending, including key rate cuts, abolishing some restrictions on homebuying and a consumer goods trade-in scheme. In a signal of further deflationary pressure, Chinese factory gate prices fell in June at the fastest rate in nearly two years, the NBS also said on Wednesday. The producer price index declined 3.6 percent year-on-year, accelerating from a 3.3 percent drop in May, and faster than the 3.2 percent decline estimated in the Bloomberg survey.'I think it is too early to call the end of deflation at this stage,' Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, wrote in a note. China's once-booming real estate market has been mired in a crisis for years, stalling many large construction projects and spooking would-be homebuyers. 'The momentum in the property sector is still weakening,' Zhang said. The slump in the property market — long a key driver of growth — gives China's exports a more prominent role in boosting economic activity. However, the outlook for Chinese exports has also darkened with fierce headwinds on trade this year. Trump revealed new tariff rates for many countries this week, with many at levels similar to those announced — and later paused — in April. Zhang said 'the market is too complacent about the damage of such high tariffs on both the US and the global economy'.
Economic Times
09-07-2025
- Business
- Economic Times
China economy to exceed $19.5 trillion this year, says state planner
Synopsis China's state planner anticipates the economy surpassing 140 trillion yuan ($19.5 trillion) this year. Zheng Shanjie, chair of the National Development and Reform Commission, conveyed this expectation during a press conference concerning the current five-year policy plan, set to conclude in 2025. He also asserted that foreign technology restrictions would bolster China's self-reliance and innovation capabilities. AP A Chinese national flag flutters against the residential building in Beijing, Monday, June 16, 2025. The head of China's state planner said he expects the size of the economy to exceed 140 trillion yuan ($19.5 trillion) this year, speaking in a press conference on the country's current five-year policy plan, which concludes at the end of 2025. Zheng Shanjie, chair of the National Development and Reform Commission, said foreign technology curbs would only strengthen China's self-reliance and its ability to be innovative.
