In the first quarter of 2024, China’s economy expanded by 5.3% year-on-year, surpassing the forecast of 4.8% and marking a 1.6 percentage point increase from the previous quarter. This growth was reflected in the country’s gross domestic product (GDP) which reached around RMB29.6 trillion (US$4.09 trillion) during this period.
Despite this growth, China’s key economic indicators – consumption, export, and investment – showed mixed results in the first quarter. The industrial sector and total consumption grew by 6.1%, falling short of the expected 6.6%. Total retail sales of consumer goods increased by approximately RMB12 trillion (US$1.66 trillion), rising by 4.7% year-on-year, slightly lower than the 5.4% forecasted. Meanwhile, investment in fixed assets climbed by RMB10 trillion (US$1.38 trillion) or 4.5% year-on-year, surpassing the expected 4% growth.
On a sector-specific level, the service sector expanded by 5% in the first quarter, with notable increases in transportation, storage, postal services, and tourism-related activities