Economic Overview - The core viewpoint of the article is that China's economy has shown resilience and stability in the first half of the year, with a GDP growth of 5.3% compared to the previous year, laying a solid foundation for achieving annual targets [1][3][7]. Economic Stability - The economic operation has been characterized by stability, with GDP growth slightly increasing from 5% in the previous year to 5.3% this year, with the first quarter at 5.4% and the second quarter at 5.2% [3][5]. - The unemployment rate has remained stable, fluctuating between 5.0% and 5.4% throughout the year [3]. - Consumer Price Index (CPI) has shown low volatility, with a slight increase of 0.1% in June after a few months of decline [3][5]. - The balance of international payments has been maintained, with foreign exchange reserves exceeding $3.2 trillion [3]. Economic Progress - The economy is making steady progress in terms of transformation and high-quality development, with significant achievements in innovation, coordination, green development, openness, and shared development [4]. - High-tech industries have seen a year-on-year increase of 9.5% in added value, indicating a growing contribution of new industries and technologies to the economy [4]. Domestic Demand - Domestic demand has played a crucial role in GDP growth, contributing 68.8%, with final consumption expenditure being the main driver at 52% [5]. - The volume of freight turnover increased by 5.1%, while passenger turnover rose by 4.9% [5]. Consumer Market - The retail sales of consumer goods reached 24.55 trillion yuan, growing by 5% year-on-year, with a notable acceleration in the second quarter [10]. - Service sector consumption has increased, with service retail sales growing by 5.3% and goods retail sales by 5.1% [10]. - Holiday consumption has seen a significant boost, with record numbers of people traveling during major holidays [10][11]. - Upgraded consumption categories, such as sports goods and jewelry, have experienced substantial growth rates of 22.2% and 11.3%, respectively [10]. Future Outlook - The economic outlook for the second half of the year remains optimistic, supported by ongoing consumption policies and a diversified trade strategy [8][11]. - The service sector is expected to continue its positive contribution to GDP growth, with a contribution rate of 60% in the first half of the year [7].

Economic Performance - China's economy shows strong resilience and vitality in 2025, with a focus on improving living standards and meeting consumer demands for higher quality products and services [1] - The economy achieved a growth rate of 5.3% in the first half of the year, supported by continuous fiscal and financial policy efforts [2] Foreign Trade - China's foreign trade demonstrates resilience, positioning the country as a stabilizing force in the global trade system, with potential for continued stable growth [1][2] - There is an expectation for a more diversified domestic import structure, supported by ongoing mechanisms to reduce market uncertainties [1] Financial Market - The financial market has performed well despite significant pressures, with positive effects from recent financial policies implemented in September 2022 and May 2023 [2] - Credit support is increasingly directed towards inclusive finance, green finance, and technology innovation finance, with loan growth rates surpassing overall loan growth [2] Real Estate Market - The real estate market is stabilizing, driven by demand for "good houses" in hot cities and regions, indicating a potential recovery [2] - Future real estate policies are expected to stabilize expectations, activate demand, optimize supply, and mitigate risks [2] Competition Issues - Addressing "involution" competition requires distinguishing it from fair competition, with a focus on regulatory standards, legal measures, and policies to boost effective demand and consumer confidence [3]

Core Viewpoint - China's economy demonstrated resilience and stability in the first half of the year, with a GDP growth of 5.3% year-on-year, reflecting effective macroeconomic policies and strong underlying dynamics [1][7]. Group 1: Economic Stability - The economy showed a clear characteristic of stability, with a slight increase in growth rates. The average urban unemployment rate was 5.2%, down by 0.1 percentage points from the first quarter, with June's rate at 5% [2]. - The Consumer Price Index (CPI) experienced a slight decline due to international factors and falling food prices, but rose by 0.1% in June after four consecutive months of decline [2]. - The total import and export volume reached a record high for the same period, with foreign exchange reserves at $33,174 billion, remaining above $3.2 trillion for 19 consecutive months [2]. Group 2: Economic Progress - While stabilizing the economy, there was a firm commitment to promoting economic transformation and high-quality development. The service sector's contribution to GDP increased, accounting for 59.1% of GDP, with a contribution rate exceeding 60% [3]. - Retail sales of consumer goods reached 24.55 trillion yuan, growing by 5% year-on-year, indicating increased market activity [3]. - Exports grew by 2.9% in the first half, demonstrating resilience despite external shocks [3]. Group 3: New Growth Drivers - New production capacities were developed, with significant advancements in technology and industry innovation. High-tech manufacturing output increased by 9.5%, outpacing overall industrial growth by 3.1 percentage points [5]. - The digital economy and green development are rapidly advancing, with new industries and business models continuing to grow at a fast pace [4][5]. Group 4: Domestic Circulation - Policies aimed at strengthening domestic circulation have been implemented, with domestic demand contributing 68.8% to GDP growth [6]. - The integration of digital and physical economies is fostering new business models, enhancing resource allocation efficiency in the unified market [6]. Group 5: Outlook - Despite uncertainties in the external environment and internal structural adjustment pressures, there is a strong basis for stable economic growth in the second half of the year [6].

Economic Performance - China's GDP for the first half of the year reached 66,053.6 billion yuan, with a year-on-year growth of 5.3% [2] - The GDP growth for Q1 was 5.4%, while Q2 saw a slight decrease to 5.2% [2] - Q2 GDP growth on a quarter-on-quarter basis was 1.1% [2] Economic Characteristics - The economic performance is characterized by stability, with steady growth, a stable unemployment rate, low inflation, and balanced international payments [4] - There is a firm commitment to economic transformation and high-quality development, with progress in innovation, coordination, green development, openness, and shared growth [4] - New driving forces are accumulating, with localities developing new productive forces and enhancing technological and industrial innovation [4] - Domestic circulation has been prioritized, with policies introduced to expand domestic demand and improve production [4] Future Outlook - The external environment remains complex, and structural contradictions within the economy have not been fundamentally resolved, necessitating continued efforts in the second half of the year [5] - Experts anticipate that the government will adopt flexible policies to counteract the expected slowdown in export growth and to stimulate domestic demand [8][10] - The high-tech manufacturing sector continues to show robust growth, contributing to the overall economic resilience [12][25] Policy Recommendations - Fiscal policy is expected to be a key focus in the second half, with recommendations for timely implementation of incremental reserve policies and optimizing expenditure structures [15][20] - Monetary policy may see further easing, with potential interest rate cuts and adjustments to housing loan rates [18][20] - The real estate market is seen as a critical area for maintaining economic stability, with calls for measures to boost market confidence [29]

Economic Performance Highlights - China's GDP grew by 5.3% year-on-year in the first half of the year, with a quarterly growth of 5.4% in Q1 and 5.2% in Q2, indicating a steady increase compared to the same period last year [2] - The urban survey unemployment rate averaged 5.2%, showing a slight decrease of 0.1 percentage points from Q1, reflecting a stable employment situation [2] - Consumer Price Index (CPI) showed fluctuations, with a year-on-year decrease of 0.1% in several months, but turned positive in June with a 0.1% increase [2] New Growth Drivers - High-tech manufacturing saw significant growth, with production of 3D printing equipment, new energy vehicles, and industrial robots increasing by 43.1%, 36.2%, and 35.6% respectively [3] - Investment in high-tech industries outpaced other sectors, with information services, aerospace, and computer equipment manufacturing investments growing by 37.4%, 26.3%, and 21.5% respectively [3] - The added value of high-tech industries increased by 9.5% year-on-year, with new industries, new business formats, and new models expected to contribute approximately 18% to GDP by 2024 [3] Green Development - The green industry is advancing, with new energy vehicles and lithium batteries experiencing growth rates exceeding 30% and 53.3% respectively [4] - Green consumption is becoming a trend, with significant growth in the consumption of new energy vehicles, energy-saving appliances, and smart home devices [4] Domestic Circulation Improvement - Domestic circulation has been prioritized, with policies aimed at expanding domestic demand and promoting production [5] - The contribution of domestic demand to GDP growth was 68.8%, with final consumption expenditure contributing 52%, marking it as the main driver of growth [5] - Freight turnover increased by 5.1% year-on-year, and passenger turnover grew by 4.9% [5]