China 2023 Q4 Results – Stable National Economy Manages Pressures
The year-on-year growth rate for the fourth quarter of 2022 increased by 2.9%, while the quarter-on-quarter GDP for the same quarter remain unchanged from the third quarter.
Under the leadership of the CPC Central Committee and State Council, the economy of China maintained stability while responding successfully to internal and external challenges in the global environment. Overall economic output was able to progress as aligned with the central government’s aims for advancing reform.
Marginal Decrease in GDP Growth Levels
China’s GDP growth from October to December stood at 2.9%, year on year, a noticeable decline from the 3.9% experienced in the previous quarter. The gross domestic product (GDP) approximated at RMB 121 trillion, demonstrating a 3% increase throughout the last year at consistent prices.
A Slight Dip in Unemployment Levels
In Q4, the average surveyed unemployment rate was approximately 5.6%. The unemployment rate observed in December was 5.5%, which showed a decline from the 5.7% recorded in November. Newly employment individuals in urban areas totaled 12.06 million, a figure that surpassed the expected goal of 11 million.
Value of Imports and Exports Grows Substantially
The total value of imports in 2022 approximated to RMB 42 trillion, with a year-on-year increase of 7.7%. The total value of imports was up by 4.3%, while exports increased by 10.5%. The year-on-year increase of general trade was 11.5%, as the largest contributor to the value of imports and exports.
Decline in Monthly PMI Signals Relative Drop in Short-Term Productivity
The Purchasing Manager’s Index is a metric used to weigh the performance of large enterprises based on the criteria of production, new orders supplier deliveries, and inventory levels and production. A figure of 50 represents no change, while a number higher or lower than 50 indicates a relative increases or decreases in performance.
The Purchasing Managers Index decreased by 1 from the previous month, standing at 47.0. The downward trend in PMI indicates a relative drop in productivity in the manufacturing industry for the last month.
Total Retail Sales Experiences a Minor Decrease From Previous Year
The total retail sales of 2022 declined by 0.2% from the previous year. In December, total retail sales of consumer goods experienced a year-on-year decrease of 1.8%.
Industrial Production Reaches Higher Considerable Growth Levels Relative to the Previous Year
The total value added of industrial enterprises above a designated size experienced a year-on-year growth of 3.6% from the previous year in 2022. In terms of the growth of specific sectors, the value added of high-tech manufacturing and equipment manufacturing grew by 7.4% and 5.6% respectively.
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