ET Net:
Mr. Mao mentioned earlier that the decrease in vehicle purchases is slowing. Although the limitation on vehicle purchases has been lifted and purchase encouraged, overall sales remain sluggish. What's your opinion on this? Which areas of demand will experience further growth in the future? Thank you.
Mao Shengyong:
The overall consumer market is actually not sluggish, as consumption has continued to grow. In the first three quarters, the total retail sales of consumer goods achieved a year-on-year rise of 8.2%. Excluding automobiles, it actually grew by more than 9%. However, total retail sales of consumer goods only cover a fairly small number of service categories; if all kinds of services were included, there would be a double-digit increase based on our calculation. In terms of consumer spending, the per capita rate in regard to services also registered an increase of more than 10%. The proportion of consumption expenditure on services in the first three quarters in 2019 accounts for more than 50% of total spending. Therefore, if the consumption of goods and services were considered as a whole, the growth would reach more than 9%, which is rather optimistic.
Regarding automobiles, since last May, production and sales appear to have slowed. This phenomenon occurred in many other countries, as well. In terms of vehicle ownership, China still has room and potential to grow. As for the policy adjustment you've mentioned, there have been some shifts in some cities, and this can only enhance the huge developing potential. For example, we have accelerated the transfer of vehicles in the second-hand market. We have been gradually lifting the limitational policies at local government level, and boosting the market of new vehicle purchases by promoting that of second-hand ones. In general, vehicle purchases in China still have room to grow, and the overall consumption will maintain a positive trend. Thank you.
Shou Xiaoli:
Thank you, Mr. Mao, and friends from the media. Today's press conference is hereby concluded.
