Read in Chinese

Speakers:

Mr. Wang Lingjun, vice minister of the General Administration of Customs of China (GACC)

Mr. Lyu Daliang, spokesperson of the GACC and director general of the Department of Statistics and Analysis of the GACC

Chairperson:

Shou Xiaoli, deputy director general of the Press Bureau of the State Council Information Office (SCIO) and spokesperson of the SCIO

Date:

Jan. 12, 2024

Shou Xiaoli:

Ladies and gentlemen, good morning. Welcome to this press conference held by the State Council Information Office (SCIO). Today, we will conduct a routine release of economic data. We are very pleased to be joined by Mr. Wang Lingjun, vice minister of the General Administration of Customs of China (GACC) and Mr. Lyu Daliang, spokesperson of the GACC and director general of the Department of Statistics and Analysis of the GACC, who will brief you on China's imports and exports in 2023 and answer your questions.

First, I will give the floor to Mr. Wang Lingjun for his introduction.

Wang Lingjun:

Friends from the media, ladies and gentlemen, good morning. Welcome to this press conference. Let me first inform you about China's imports and exports in 2023, and then my colleague and I will answer your questions.

The year 2023 marked the first year of the full implementation of the guiding principles of the 20th National Congress of the Communist Party of China (CPC). It also witnessed China's economic recovery and growth after achieving a smooth transition in the three-year COVID-19 response efforts. Guided by the strong leadership of the CPC Central Committee with Comrade Xi Jinping at its core, China has navigated external pressures, surmounted internal challenges, deepened reforms in a comprehensive way, and intensified macro-control efforts. The economy has sustained a robust rebound, with solid progress made in high-quality development. The import and export of goods has exceeded expectations, achieving the objectives of promoting stability and enhancing quality. According to customs statistics, China's total imports and exports reached 41.76 trillion yuan ($5.88 trillion) in 2023, up 0.2% year on year. Specifically, exports grew 0.6% year on year to 23.77 trillion yuan, while imports edged down 0.3% to 17.99 trillion yuan. A detailed analysis reveals six key characteristics:

First, foreign trade operations maintained overall stable, with a notable improvement trend in the fourth quarter. The scale of import and export has grown consistently each quarter, surpassing 10 trillion yuan in the second, third and fourth quarters after reaching 9.69 trillion yuan in the first quarter. The fourth quarter demonstrated increasing strength month by month, achieving year-on-year growth rates of 0.8%, 1.3% and 2.8% in October, November and December, respectively. The country's foreign trade reached a record monthly high of 3.81 trillion yuan in December.

Second, business entities exhibited ample vitality, and the leading role of private enterprises was strengthened. In 2023, the number of foreign trade entities with import and export records exceeded 600,000 for the first time. Among them, 556,000 were private enterprises, collectively contributing 22.36 trillion yuan to total imports and exports, marking a 6.3% increase. This accounted for 53.5% of the total import and export value, reflecting an increase of 3.1 percentage points. During the same period, foreign-invested enterprises registered 12.61 trillion yuan in imports and exports, accounting for 30.2% of the country's total foreign trade; the imports and exports of State-owned enterprises reached 6.68 trillion yuan, making up 16% of the country's total.

Third, trading partners diversified and witnessed common progress, with Belt and Road Initiative (BRI) partner countries taking up a growing share. In 2023, China's trade with countries participating in the BRI climbed 2.8% year on year to 19.47 trillion yuan, accounting for 46.6% of China's total foreign trade, representing an increase of 1.2 percentage points from last year. Imports and exports with Latin America and Africa reached 3.44 trillion yuan and 1.98 trillion yuan, up 6.8% and 7.1%, respectively. With a rebound in the fourth quarter, the country's trade with the EU and with the U.S. reached 5.51 trillion yuan and 4.67 trillion yuan in 2023, accounting for 13.2% and 11.2% of China's foreign trade, respectively.

Fourth, our products demonstrated solid competitiveness, with a vibrant and active export momentum. In 2023, China's exports of mechanical and electrical products reached 13.92 trillion yuan, marking a 2.9% increase and constituting 58.6% of the total export value. Notably, the export of labor-intensive products reached 4.11 trillion yuan, representing 17.3% of the total export value. In electromechanical products, the combined exports of new energy vehicles (NEVs), lithium-ion batteries and solar batteries — commonly known as the "new three" — surpassed 1.06 trillion yuan. This milestone marks the first time their export value has exceeded the trillion-yuan threshold, showcasing a significant growth of 29.9%. Ship and household appliance exports also increased 35.4% and 9.9%, respectively. This export momentum reflected a shift from "Made in China" to "Created in China."

Fifth, domestic demand continued its recovery, with orderly expansions in the imports of bulk commodities and essential goods. In 2023, imports of energy, metal ores and grain increased 15.3%. Among them, the imports of energy products such as crude oil, natural gas and coal grew 27.2% to 1.158 billion metric tons; metal ores like iron and aluminum increased 7.6% to 1.458 billion metric tons. Agricultural product imports amounted to 1.64 trillion yuan, reflecting a 5% increase. Additionally, imports of consumer goods such as textiles, clothing, shoes and hats increased 5.6%, and imports of jewelry and watches climbed 63% and 17.2%, respectively.

Sixth, China made steady progress in high-level opening up, and new platforms and business models developed vigorously. In 2023, the number of China's free trade pilot zones expanded to 22, with a total import and export volume of 7.67 trillion yuan, up 2.7% year on year and accounting for 18.4% of the total imports and exports value. The construction of the Hainan Free Trade Port progressed further, marking its third consecutive year of double-digit growth in annual imports and exports. According to preliminary estimates, China's cross-border e-commerce logged total imports and exports of 2.38 trillion yuan in 2023, up 15.6% year on year.

In general, China's foreign trade in the past year weathered storms and achieved hard-won results of steady growth in scale and improved quality in development. When I first saw the latest released data, I was filled with emotion: pride in China's economic resilience, respect for those involved in the country's foreign trade, and confidence in China's future development. 

Looking ahead to 2024, we need to overcome some difficulties and make more efforts to promote the stable growth of foreign trade in an increasingly complex, severe, and uncertain external environment. Meanwhile, we should recognize that the trend of economic recovery and long-term growth has not changed, and factors supporting high-quality development are accumulating. As policies gradually begin to take effect and high-level opening up advances, China will foster new drivers of trade growth, further strengthen foreign trade and investment, and consolidate the foundations for steady growth, improved quality, and increased benefits from imports and exports.

Customs bears the duty of safeguarding borders and promoting development. We will uphold Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, implement the guiding principles of the 20th CPC National Congress and the second plenary session of the 20th CPC Central Committee, adhere to the important instructions of General Secretary Xi Jinping, and follow the guiding principles in his reply letter to all customs staff at the Khunjerab Pass. We will act on the decisions of the Central Economic Working Conference to optimize the port business environment, facilitate cross-border trade, and accelerate the development of intelligent customs and carry out the "Smart Customs, Strong Nation" initiative. With these efforts, we will strive to advance the modernization of socialist customs with Chinese characteristics, and contribute to the consolidation and reinforcement of the momentum of economic recovery. Thank you.