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Speaker:

Mr. Sheng Laiyun, deputy commissioner of the National Bureau of Statistics

Chairperson:

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

Date:

April 16, 2024

Shou Xiaoli:

Ladies and gentlemen, good morning. Welcome to this press conference held by the State Council Information Office (SCIO). This is a regular briefing on China's economic data. Today, we have invited Mr. Sheng Laiyun, deputy commissioner of the National Bureau of Statistics (NBS), to brief you on China's economic performance in the first quarter of 2024, and to take your questions. 

Now, I'll give the floor to Mr. Sheng for his introduction. 

Sheng Laiyun:

Friends from the media, ladies and gentlemen, good morning. I'm very glad to be taking part in a press conference held by the SCIO again, and speaking with you. It's great to see many old friends here. As usual, I will start by briefing you on the main indicators and data for the economic performance in the first quarter of this year, and then take your questions.

The national economy got off to a good start in the first quarter.

In the first quarter, under the strong leadership of the Central Committee of the Communist Party of China (CPC) with Comrade Xi Jinping at its core, all regions and departments strictly implemented the decisions and arrangements made by the CPC Central Committee and the State Council; adhered to the general principle of seeking progress while maintaining stability, promoting stability through progress and establishing the new before abolishing the old; intensified efforts on macro regulation; gave priority to ensuring stability in expectations, growth and employment; and continued to push ahead with transforming the growth model, making structural adjustments, improving quality and enhancing performance. As a result, policies continued to take effect, production and demand were stable and even increased, employment and prices were generally stable, market confidence continued to rise, and high-quality development made new progress. The national economy continued its good recovery momentum, getting off to a good start.

According to preliminary estimates, gross domestic product (GDP) in the first quarter reached 29,629.9 billion yuan, up by 5.3% year on year at constant prices, or up by 1.6% over that in the fourth quarter of 2023. By industry, the value added of the primary industry was 1,153.8 billion yuan, up by 3.3% year on year; that of the secondary industry was 10,984.6 billion yuan, up by 6.0%; and that of the tertiary industry was 17,491.5 billion yuan, up by 5.0%.

1. Agricultural production witnessed good momentum and animal husbandry grew steadily.

In the first quarter, the value added of agriculture (crop farming) witnessed a year-on-year increase of 3.8%. The planting area of winter wheat remained stable and generally good growth was observed. The spring farming and sowing were carried out in an orderly manner. According to the year-round planting intention survey, the planting area intended for rice and corn nationwide increased. In the first quarter, the output of pork, beef, mutton and poultry was 24.90 million tons, up by 1.4% year on year. Of this total, the output of pork dropped by 0.4%, while the outputs of beef, mutton and poultry grew by 3.6%, 0.1% and 6.1%, respectively. The output of milk was up by 5.1% and that of eggs up by 1.5%. At the end of the first quarter, the number of pigs registered in stock was 408.50 million, down by 5.2% year on year; and 194.55 million pigs were slaughtered, down by 2.2% in the first quarter.

2. Industrial production registered fast growth and high-tech manufacturing growth accelerated.

The total value added of industrial enterprises above designated size grew by 6.1% year on year in the first quarter. In terms of sectors, the value added of mining increased by 1.6%, that of manufacturing increased by 6.7%, and that of the production and supply of electricity, thermal power, gas and water increased by 6.9%. The value added of high-tech manufacturing increased by 7.5%, 2.6 percentage points faster than the fourth quarter of 2023. Analysis by types of ownership showed that the value added of state holding enterprises was up by 5.2%; that of share-holding enterprises was up by 6.5%; that of enterprises funded by foreign investors or investors from Hong Kong, Macao and Taiwan was up by 4.8%; and that of private enterprises was up by 5.4%. In terms of products, the production of electric vehicle charging facilities, 3D printing devices and electronic components increased by 41.7%, 40.6% and 39.5% year on year, respectively. In March, the value added of industrial enterprises above designated size went up by 4.5% year on year, or down by 0.08% month on month. In March, the manufacturing purchasing managers' index (PMI) stood at 50.8%, 1.7 percentage points higher than the previous month. The production and operation expectation index was 55.6%, up by 1.4 percentage points. In the first two months, the total profits made by industrial enterprises above designated size were 914.1 billion yuan, up by 10.2% year on year.

3. The service sector enjoyed sound growth momentum and modern services grew quickly.

In the first quarter, the value added of services went up by 5.0% year on year. Specifically, the value added of information transmission, software and information technology services, leasing and business services, transportation, storage and postal services, accommodation and catering, and wholesale and retail grew by 13.7%, 10.8%, 7.3%, 7.3% and 6.0%, respectively. In March, the index of services production increased by 5.0% year on year. Specifically, the index of services production of information transmission, software and information technology services, leasing and business services, and accommodation and catering went up by 12.7%, 8.2% and 6.2%, respectively. In the first two months, the business revenue of service enterprises above designated size grew by 12.0% year on year, 3.7 percentage points faster than that of 2023. In March, the business activity index for services stood at 52.4%, 1.4 percentage points higher than that of the previous month. The business activity expectation index was 58.2%. Among which, the business activity index for industries like postal services, telecommunication, broadcast, television and satellite transmission services, monetary and financial services and capital market services were above 60.0%.

4. Market sales registered stable growth and service consumption grew quickly.

In the first quarter, the total retail sales of consumer goods reached 12,032.7 billion yuan, up by 4.7% year on year. Analyzed by different areas, the retail sales of consumer goods in urban areas reached 10,428.0 billion yuan, up by 4.6%, and that in rural areas stood at 1,604.7 billion yuan, up by 5.2%. Grouped by consumption patterns, the retail sales of goods were 10,688.2 billion yuan, up by 4.0%; and the income of catering was 1,344.5 billion yuan, up by 10.8%. Goods for basic living enjoyed good sales, with the retail sales of grain, oil and food and of beverage by enterprises above designated size up by 9.6% and 6.5%, respectively. The sales of some upgraded goods grew quickly. The retail sales of sports and recreational articles and of communication equipment by enterprises above designated size grew by 14.2% and 13.2%, respectively. Online retail sales reached 3,308.2 billion yuan, up by 12.4% year on year. Specifically, the online retail sales of physical goods were 2,805.3 billion yuan, up by 11.6%, accounting for 23.3% of the total retail sales of consumer goods. In March, the total retail sales of consumer goods increased by 3.1% year on year, or up by 0.26% month on month. In the first quarter, the retail sales of services went up by 10.0% year on year.

5. Investment in fixed assets rose steadily and investment in high-tech industries grew quickly.

In the first quarter, the investment in fixed assets (excluding rural households) reached 10,004.2 billion yuan, up by 4.5% year on year, 1.5 percentage points faster than that of the previous year; the investment in fixed assets was up by 9.3% with the investment in real estate development deducted. Specifically, the investment in infrastructure grew by 6.5%; that in manufacturing grew by 9.9%; and that in real estate development declined by 9.5%. The floor space of new commercial buildings sold was 226.68 million square meters, down by 19.4% year on year; the total sales of new commercial buildings were 2,135.5 billion yuan, down by 27.6%. By industry, the investment in the primary industry went up by 1.0%, that in the secondary industry up by 13.4%, and that in the tertiary industry up by 0.8%. The private investment went up by 0.5%. Deducting the investment in real estate development, the private investment grew by 7.7%. The investment in high-tech industries grew by 11.4% year on year, of which the investment in high-tech manufacturing and high-tech services grew by 10.8% and 12.7%, respectively. In terms of high-tech manufacturing, the investment in manufacturing of aerospace vehicles and equipment and in the manufacturing of computers and office devices grew by 42.7% and 11.8%, respectively. In terms of high-tech services, the investment in e-commerce services and information services grew by 24.6% and 16.9%, respectively. In March, the investment in fixed assets (excluding rural households) grew by 0.14% month on month.

6. Imports and exports of goods grew steadily and the trade structure continued to optimize.

In the first quarter, the total value of imports and exports of goods was 10,169.3 billion yuan, an increase of 5.0% year on year. The total value of exports was 5,737.8 billion yuan, up by 4.9%. The total value of imports was 4,431.5 billion yuan, up by 5.0%. The trade balance was 1,306.3 billion yuan in surplus. Imports and exports by private enterprises increased by 10.7%, accounting for 54.3% of the total value of imports and exports. Imports and exports with Belt and Road partner countries grew by 5.5%, accounting for 47.4% of the total value of imports and exports. Exports of mechanical and electrical products grew by 6.8%, accounting for 59.2% of the total value of exports. In March, the total value of imports and exports was 3,558.0 billion yuan, down by 1.3% year on year. The total value of exports was 1,986.9 billion yuan, down by 3.8%; and that of imports was 1,571.0 billion yuan, up by 2.0%.

7. Consumer prices were generally stable and producer prices for industrial products dropped.

In the first quarter, the consumer price index (CPI) maintained the same level year on year. Grouped by commodity categories, prices for food, tobacco and alcohol went down by 1.7%; clothing up by 1.6%; housing up by 0.2%; articles and services for daily use up by 0.8%; transportation and communication down by 1.4%; education, culture and recreation up by 2.3%; medical services and health care up by 1.4%; and other articles and services up by 2.9%. In terms of food, tobacco and alcohol prices, the prices of fresh fruit went down by 7.3%, pork down by 7.0%, fresh vegetables down by 3.9% and grain up by 0.4%. The core CPI excluding the prices of food and energy grew by 0.7% year on year. In March, the CPI went up by 0.1% year on year, or down by 1.0% month on month.

In the first quarter, producer prices for industrial products went down by 2.7% year on year. Specifically, the prices in March dropped by 2.8% year on year, or down by 0.1% month on month. In the first quarter, the purchasing prices for industrial producers went down by 3.4% year on year. Specifically in March, the prices dropped by 3.5% year on year, or down by 0.1% month on month.

8. Employment was generally stable and the surveyed unemployment rate in urban areas declined slightly.

In the first quarter, the urban surveyed unemployment rate averaged 5.2%, down by 0.3 percentage points over that of the same period last year. In March, the surveyed unemployment rate in urban areas was 5.2%, 0.1 percentage points lower than that of the previous month and that of the same month last year. The surveyed unemployment rate of population with local household registration was 5.3% and that of population with non-local household registration was 5.1%, of which, the rate of population with non-local agricultural household registration stood at 5.0%. The urban surveyed unemployment rate in 31 major cities was 5.1%. Employees of enterprises worked an average of 48.6 hours per week. By the end of the first quarter, the number of rural migrant workers totaled 185.88 million, up by 2.2% year on year.

9. Residents' incomes increased steadily and the incomes of rural residents grew faster than that of urban residents.

In the first quarter, the nationwide per capita disposable income of residents was 11,539 yuan, a nominal growth of 6.2% year on year; and the real growth was 6.2% after deducting price factors. In terms of permanent residence, the per capita disposable income of urban households was 15,150 yuan, a nominal growth of 5.3% year on year and a real growth of 5.3%; and the per capita disposable income of rural households was 6,596 yuan, a nominal growth of 7.6% year on year and a real growth of 7.7%. In terms of income sources, the nationwide per capita salary income, net business income, net property income and net income from transfers grew by 6.8%, 6.8%, 3.2% and 4.8% in nominal terms, respectively. The median of the nationwide per capita disposable income of residents was 9,462 yuan with nominal growth of 6.4% year on year.

Generally speaking, the national economy made a good start in the first quarter with positive factors amassing, laying a strong foundation for achieving the annual development targets. However, we should be aware that the external environment is becoming more complex, severe and uncertain, and the foundation for stable and sound economic growth is not yet solid. Next, we must follow the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirits of the Central Economic Work Conference and the "two sessions" (the annual gatherings of the National People's Congress and the National Committee of the Chinese People's Political Consultative Conference), and adhere to the principles of pursuing progress while ensuring stability, promoting stability through progress and establishing the new before abolishing the old. We should fully and faithfully apply the new development philosophy on all fronts, accelerate the efforts to create a new development pattern, strive to promote high-quality development, actively cultivate and develop new quality productive forces, and strengthen the implementation of macro policies. We must effectively boost economic vitality, prevent and defuse risks, improve public expectations, consolidate and enhance the momentum for economic recovery and growth, and continue to effectively pursue higher-quality economic growth and appropriately increase economic output.

There are the main indicators and data regarding China's economic performance in the first quarter of this year. Now, I'm glad to answer your questions. 

Shou Xiaoli:

Thank you, Mr. Sheng, for your introduction. Now, the floor is open for questions. Please state which news organization you represent before asking your questions.