China’s economy expands 5% in 2024, hitting target helped by strong exports, stimulus measures
HONG KONG (AP) — China’s economy expanded at a 5% annual pace in 2024, slower than the year before but in line with Beijing’s target of “around 5%” growth, helped by strong exports and recent stimulus measures.
In quarterly terms, the economy grew 5.4% in October-December, the government reported Friday.
Exports accelerated as companies and consumers rushed to beat potential tariff hikes incoming President-elect Donald Trump may impose on Chinese goods.
“The national economy was generally stable with steady progress and new achievements were made in high-quality development,” according to the report by the National Bureau of Statistics on Friday.
“Particularly, with a package of incremental policies being timely rolled out, the social confidence was effectively bolstered and the economy recovered remarkably,” it said.
Manufacturing was a strong engine for growth last year, with industrial output jumping 5.8% from a year earlier. Total retail sales of consumer goods grew 3.5% at an annual rate.
Exports expanded 7.1% in annual terms, while imports grew 2.3%
The world’s second largest economy has struggled with weaker consumer spending and resulting deflationary pressures as its recovery after the COVID 19 pandemic faltered and the property sector, once a main driver of business activity, fell into a downturn.
The Chinese economy grew at a 5.2% annual rate in 2023, and economists have forecast that it will slow further in coming years.
China’s population also is aging and declining, adding to pressures on growth. The government reported Friday that the population fell for a third straight year in 2024, to 1.408 billion at the end of 2024, a decline of 1.39 million from the previous year.
The rising cost of living has causing