China’s economic growth soared to 18.3% as activity revived

Beijing (AP) — China’s economic growth surged to 18.3% a year ago in the first quarter of 2021 after factory and consumer activity returned to near normal after a coronavirus pandemic.

The numbers reported on Friday have expanded compared to early 2020, when the world’s second-largest economy fell into its most severe contraction in decades. The government said activity growth was modest at 0.6% compared to the fourth quarter of 2020, when the recovery had already begun.

Manufacturing, car sales and other consumer activity have revived beyond pre-pandemic levels since the ruling Communist Party declared victory over the coronavirus in March last year, allowing factories and stores to reopen.

The National Bureau of Statistics said in a report that the economy “achieved stable performance with a solid foundation and good growth momentum.”

The significant increase in headlines was in line with predictors’ expectations due to low comparison criteria in early 2020.

Despite China’s recent remarkable achievements, recovery remains uncertain due to weak global demand as some governments re-impose control of disease control that disrupts business and trade. Some people warn you.

The economy shrank 6.8% in the first quarter of last year as the ruling Communist Party took unprecedented steps to close most factories, stores and offices to combat the outbreak that began in Wuhan’s central city in late 2019. Did. China’s worst performance since at least the mid-1960s.

Growth recovered to 6.5% a year before the final quarter, after the economy resumed relatively early while the US, Europe and Japan were suffering from new disease outbreaks. China has grown 2.3% throughout the year, making it the only major economy to expand in 2020.

According to NBS, first-quarter retail spending surged 33.9% compared to a year ago, while factory output increased 24.5%. Investment in real estate, factories and other fixed assets increased by 25.6%.

While China’s exports benefit from demand for masks and other medicines, foreign competitors still face anti-virus restrictions. Forecasters say the boost will pass as drug sales decline and other economies resume.