China’s economy has recovered to pre-COVID-19 pandemic level
China's GDP expanded at the fast pace of 18.3% in the first quarter of 2021
China has
become the first major economy in the world to recover to pre-pandemic levels.
Chinese economy has shown resilience and its GDP expanded at the fast pace of
18.3% in the first quarter of 2021.
Major
economic indicators ranging from GDP, industrial production, trade, retail
sales and investment suggest China's economy has recovered to pre-COVID levels.
The world's second largest economy was the only major one to
grow at all in 2020, supported by strong retail spending and industrial
activity as well as better-than-expected exports as the virus hit markets
around the world.
China's $16
trillion economy has been powered by its vast industrial sector over the past
year. Its factories have raced to fill overseas orders for goods ranging from
protective masks to work-from-home electronics, with rival manufacturers abroad
paralysed by COVID-19.
This year, Chinese consumers are finally opening up their wallets after months
of hesitation. Retail sales jumped 34.2% in March from a year earlier.
China's
economy expanded at its fastest pace on record in the first quarter, data
showed Friday, in a sharp turnaround from the historic contraction caused by
the coronavirus outbreak.
The world's
second largest economy was the only major one to grow at all in 2020, supported
by strong retail spending and industrial activity as well as
better-than-expected exports as the virus hit markets around the world.
It marks the
fastest pace since quarterly records began three decades ago, though the GDP
figure of 18.3 percent is slightly below forecasts in an AFP survey of
economists.
While the
disease first emerged in central China in late 2019, the country was also the
quickest to bounce back after authorities imposed strict control measures and
consumers stayed home.
Migrant
workers had been urged to remain in the areas where they work during the break
owing to fears that the annual massive migration might lead to local outbreaks.
But Liu added that quarter-on-quarter growth has "demonstrated a steady
recovery".
Across key
sectors, China powered on in its economic rebound after caution around the
holiday period subsided and domestic consumption soared. In March, the
country's industrial output rose 14.1 percent on-year, bringing first quarter
growth to 24.5 percent, the official data showed.
Retail sales
surged 34.2 percent, picking up from the first two months and bringing
first-quarter growth to 33.9 percent as life largely returned to normal. Liu,
however, warned that the international landscape still contained "high
uncertainties".
Khalid Bhatti
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