"China's Overall Economic Performance Remains Steady"
China's economy has shown ongoing improvement and achieved consistent advancement in high-quality development, despite navigating a complex and constantly changing international environment.
TroibNews 
**Editor's note:** Xue Tianhang is an associate researcher at the Research Center for Regional Coordinated Development, Zhejiang University. This article presents the author's views and does not necessarily reflect the opinions of CN. It has been translated from Chinese and edited for brevity and clarity.
The year 2024 marks the 75th anniversary of the People's Republic of China and is pivotal for achieving objectives outlined in the 14th Five-Year Plan. In the first three quarters of the year, China's economy has demonstrated resilience and continued improvement in the face of a complex international landscape, making steady strides towards high-quality development.
On the production front, the profitability of industrial enterprises has been on the rise since the start of the year, with high-tech manufacturing and other emerging growth sectors displaying strong performance. This positive trend has fueled consistent progress in high-quality economic development.
Latest data from the National Bureau of Statistics reveals that industrial enterprises above a designated size recorded operating revenue of 87.1 trillion yuan from January to August, reflecting a year-on-year increase of 2.4 percent. Notably, profits in the computer, communications, and electronic equipment manufacturing sector surged by 22.1 percent, underscoring its critical role in supporting the economy and indicating ongoing enhancements in China's industrial structure.
Trends indicate that the manufacturing Purchasing Managers' Index for September rose to 51.2, surpassing the critical threshold. Specifically, the high-tech manufacturing PMI and equipment manufacturing PMI increased to 53.0 and 52.0, respectively, registering gains of 1.3 and 0.8 points from the previous month, signaling a sustained positive development momentum.
On the consumption side, several consumer sectors are experiencing a seasonal upturn, with policies aimed at boosting domestic demand—such as large-scale equipment upgrades and trade-in programs—beginning to yield positive results. This has contributed to a gradual recovery in domestic consumption.
From January to August, profits in the consumer goods manufacturing sector climbed by 8.4 percent year over year, outpacing the average manufacturing growth. Consumer confidence has also shown slight improvement, with the confidence index rising by 1.2 points from 90.1 in June to 91.3 in September. Additionally, the expectation index, reflecting consumer views on economic prospects, increased from 88.7 in June to 90.1 in September. These indicators highlight that domestic demand remains a stabilizing force for economic growth.
In terms of pricing, overall domestic price levels indicate signs of recovery. Data from NBS shows that the Consumer Price Index rose by 0.4 percent year on year in September, remaining flat month on month. Categorically, improved expectations for industrial goods demand and the seasonal consumption patterns of agricultural products have clarified price trends. However, the Producer Price Index saw both month-on-month and year-on-year declines, influenced by decreasing international commodity prices.
Other economic indicators, including fixed asset investment, foreign trade, and the urban unemployment rate, have also shown improvements, emphasizing the resilience of China's economy and its commitment to recovery and long-term advancement.
Given the increasingly complex and uncertain external environment, it is crucial to navigate challenges effectively and exert greater efforts to sustain China's economic growth.
Moving forward, focus should be directed towards actively broadening effective domestic demand, fostering new economic growth drivers, and enhancing household income levels. It is essential to intensify monetary policy regulation, improve coordination between monetary and fiscal policies, and advance various reform measures to solidify the foundation for ongoing economic recovery and enhancement.
Lucas Dupont contributed to this report for TROIB News
The year 2024 marks the 75th anniversary of the People's Republic of China and is pivotal for achieving objectives outlined in the 14th Five-Year Plan. In the first three quarters of the year, China's economy has demonstrated resilience and continued improvement in the face of a complex international landscape, making steady strides towards high-quality development.
On the production front, the profitability of industrial enterprises has been on the rise since the start of the year, with high-tech manufacturing and other emerging growth sectors displaying strong performance. This positive trend has fueled consistent progress in high-quality economic development.
Latest data from the National Bureau of Statistics reveals that industrial enterprises above a designated size recorded operating revenue of 87.1 trillion yuan from January to August, reflecting a year-on-year increase of 2.4 percent. Notably, profits in the computer, communications, and electronic equipment manufacturing sector surged by 22.1 percent, underscoring its critical role in supporting the economy and indicating ongoing enhancements in China's industrial structure.
Trends indicate that the manufacturing Purchasing Managers' Index for September rose to 51.2, surpassing the critical threshold. Specifically, the high-tech manufacturing PMI and equipment manufacturing PMI increased to 53.0 and 52.0, respectively, registering gains of 1.3 and 0.8 points from the previous month, signaling a sustained positive development momentum.
On the consumption side, several consumer sectors are experiencing a seasonal upturn, with policies aimed at boosting domestic demand—such as large-scale equipment upgrades and trade-in programs—beginning to yield positive results. This has contributed to a gradual recovery in domestic consumption.
From January to August, profits in the consumer goods manufacturing sector climbed by 8.4 percent year over year, outpacing the average manufacturing growth. Consumer confidence has also shown slight improvement, with the confidence index rising by 1.2 points from 90.1 in June to 91.3 in September. Additionally, the expectation index, reflecting consumer views on economic prospects, increased from 88.7 in June to 90.1 in September. These indicators highlight that domestic demand remains a stabilizing force for economic growth.
In terms of pricing, overall domestic price levels indicate signs of recovery. Data from NBS shows that the Consumer Price Index rose by 0.4 percent year on year in September, remaining flat month on month. Categorically, improved expectations for industrial goods demand and the seasonal consumption patterns of agricultural products have clarified price trends. However, the Producer Price Index saw both month-on-month and year-on-year declines, influenced by decreasing international commodity prices.
Other economic indicators, including fixed asset investment, foreign trade, and the urban unemployment rate, have also shown improvements, emphasizing the resilience of China's economy and its commitment to recovery and long-term advancement.
Given the increasingly complex and uncertain external environment, it is crucial to navigate challenges effectively and exert greater efforts to sustain China's economic growth.
Moving forward, focus should be directed towards actively broadening effective domestic demand, fostering new economic growth drivers, and enhancing household income levels. It is essential to intensify monetary policy regulation, improve coordination between monetary and fiscal policies, and advance various reform measures to solidify the foundation for ongoing economic recovery and enhancement.
Lucas Dupont contributed to this report for TROIB News
