Business

Can be retail, industrial production, fixed asset investment


New energy vehicles, including hybrids and battery-powered vehicles, have seen sales skyrocket in China despite a slump in the overall car market. Pictured is an unnamed new energy vehicle factory in Jiangsu province on June 13, 2022.

Wan Shanchao | Visual China Corporation | beautiful pictures

BEIJING – China released economic data for May, beating expectations muted in a month hampered by Covid control measures.

Industrial production rose slightly by 0.7 percent in May from a year ago, compared with a 0.7 percent drop expected, according to analysts polled by Reuters. In April, industrial production unexpectedly dropped, down 2.9% year-on-year.

Retail sales fell less than expected, down 6.7% in May from a year ago. Retail sales are estimated to have fallen 7.1% in May from a year ago, according to a Reuters poll. In April, retail sales fell 11.1% from a year ago.

Fixed-asset investment in the January-May period rose 6.2%, topping expectations of 6% growth.

China’s National Bureau of Statistics said in a statement that the economy “shown a good momentum of recovery” in May, “with the negative effects from the Covid-19 pandemic gradually receding and the The main index is slightly improved.”

“However, we must be aware that the international environment is more complex and harsh, and the domestic economy is still facing difficulties and challenges to recover,” the bureau said.

China’s exports accelerated in May with a better-than-expected increase of 16.9% from a year ago in US dollars. Imports also rose 4.1% higher than expected.

Shanghai and Beijing, China’s two largest cities by gross domestic product, both must reinstated stricter Covid control measures this month after a sustained spike in Covid cases.

Shanghai was closed in April and May, with only a few large businesses operating. The city began to fully reopen on June 1.

Read more about China from CNBC Pro

For about a month in May, Beijing asked people in its largest business district to work from home, while restaurants across the capital could only operate on a takeout or delivery basis. on the spot. Most restaurants in Beijing were allowed to resume in-store dining in early June and staff could return to work, but schools have delayed the resumption of in-person classes.

Uncertainty, especially about future earnings, has weighed on consumer spending. The unemployment rate in China’s 31 largest cities surpassed the 2020 high to hit 6.7% in April – the highest recorded since 2018. That rate increased further in May. to 6.9%, while the overall unemployment rate in the cities fell to 5.9%.

The youth unemployment rate between 16 and 24 years old increased further to 18.4% in May, up from 18.2% in April.

“I think as the restrictions are eased and we have accommodative monetary policy going forward, the unemployment rate will drop a bit because we are above the government target,” Francoise Huang said. , senior economist at Allianz Trade, said in a phone call. Interviewed last week.

“For now, my scenario is that we should see some recovery in the second half of the year,” she said. “It can’t [a] The V-shaped recovery, the quick and strong recovery, or the post-Covid recovery we’ve seen in 2020, because policy easing isn’t as strong and external demand isn’t as strong. “



Source link

news7f

News7F: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, Sports...at the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button