China’s economy rebounded in November, with key indicators showing growth, data from the National Bureau of Statistics (NBS) showed on Friday.
Industrial production grew 6.6 percent year on year in November, beating expectations for a 5.6-percent increase as shown in a Reuters poll.
Retail sales were up 10.1 percent year on year in November. In the first 11 months of the year, fixed-asset investment rose 2.9 percent from last year.
“Overall, November saw the Chinese economy continue to recover and improve,” said Liu Aihua, spokesperson for the NBS. “But it is also important to note that external uncertainties remain and domestic demand is still insufficient. The foundation for the economic recovery still needs to be consolidated.”
“The government is treating the current time as ‘incubation time for next year’s growth,'” Bruce Pang, chief economist and head of research at JLL Greater China, told CGTN.
Policymakers are currently focusing on balancing the economy and smoothening the recovery, Pang added.
The data also showed that high-tech industries were bright spots in the recovery. The added value of large high-tech manufacturing enterprises grew by 6.2 percent year on year in November, 4.4 percentage points higher than the previous month.
China’s average consumer price index (CPI) increased 0.3 percent annually in the first 11 months of the year. Core CPI, which excludes more volatile food and energy prices, was up 0.7 percent in the same period.
Officials at China’s recently held Central Economic Work Conference pointed out the need to stimulate consumption potential, expand effective investment, and form a virtuous circle in which consumption and investment mutually promote each other.
“As the expansion of domestic demand policies are gradually being implemented and take effect, consumption will gradually shift from post-pandemic recovery to sustained expansion,” said Liu.
The current issue of insufficient effective demand is expected to be gradually alleviated and there will be no occurrence of deflation, said Liu.
