SCIO briefing on promoting high-quality development during 15th Five-Year Plan period

CCTV:

Recently, the National Bureau of Statistics released the economic data for the first quarter. How do you view the current economic situation? What macroeconomic policies will be implemented next to ensure a good start for the 15th Five-Year Plan?

Wang Changlin:

Thank you for your questions. I will take them. Since the beginning of this year, under the strong leadership of the CPC Central Committee with Comrade Xi Jinping at its core, the Chinese economy has demonstrated strong resilience and strength. Overall, the economic performance has shown positive changes, with significant improvements on both the supply and demand sides. It has played a better role as a global economic stabilizer, exceeding the expectations of many institutions and experts at home and abroad. There were three major characteristics.

First, the economy achieved a stable and good start in the first quarter of the 15th Five-Year Plan period. China's GDP grew by 5% year on year in the first quarter of this year, reversing the downward trend that began in the second quarter of last year and ranking among the top major economies. Three indicators showed significant improvements: fixed asset investment turned from decline to growth, service consumption grew rapidly, and the overall price level rose moderately. In March, the producer price index for industrial products rose by 0.5%, ending its downward trend. Second, the resilience and stability of the economy have been further demonstrated. The resilience is mainly reflected in three aspects. Foreign trade resilience has continued to manifest, with China's exports growing by 11.9% in the first quarter, especially with new drivers of export growth gaining sustained momentum. Industry resilience has continued to strengthen, with the added value of industrial enterprises above designated size growing by 6.1% in the first quarter, maintaining rapid growth for many consecutive years. Security resilience has constantly been enhanced, with the security of energy, food, and industrial and supply chains further consolidated. Third, new drivers of growth have been constantly accumulating and strengthening. The integrated circuit industry has seen rapid growth, and emerging industries have accelerated their expansion. The added value of high-tech manufacturing increased by 12.5% year on year in the first quarter, and the profits of industrial enterprises above designated size increased by 15.2% year on year in the first two months.

Such achievements have not come easily. They were made possible under a complex situation where increased external shocks and challenges were intertwined with domestic difficulties and tough policy choices. In recent years, the CPC Central Committee has made forward-looking plans and focused on strengthening the construction of the systems for energy and resource production and reserves, vigorously promoting the green transition in all areas of economic and social development, and continuously enhancing the security and resilience of industrial and supply chains. These efforts have laid a solid foundation for withstanding global energy supply shocks. Since the beginning of this year, the CPC Central Committee has sized up the situation and formulated targeted policies, proactively responding to changes in the external environment in light of the evolving situation. We have made every effort to ensure the supply of oil and gas. Through measures such as stabilizing production, diversifying imports and temporarily adjusting prices, we have ensured a stable and orderly supply of oil and gas, effectively safeguarding the stable operation of the economy and meeting people's livelihood needs. In response to the downward pressure on the economy since the second half of last year, we have made arrangements and proactively promoted the implementation of various policies as early as possible. We have issued the project list for implementing major national strategies and building up security capacity in key areas as well as the investment plan within the central budget ahead of schedule, released funds from new types of policy-backed financial instruments, accelerated the issuance and use of treasury and local government bonds, and promoted the implementation of a number of major projects at the earliest possible opportunity. We have implemented special actions to boost consumption, optimized the consumer goods trade-in policies, and focused on addressing rat race competition in key industries. We have taken solid steps to advance the high-end, intelligent and green transformation of the manufacturing industry, and accelerated the development of emerging and future-oriented industries. Objectively speaking, China has a very complete industrial system, a vast market, and its economy has strong resilience and ability to withstand shocks, providing a solid foundation for promoting economic recovery and improvement. These achievements are fundamentally attributed to the leadership and guidance of the CPC Central Committee with Comrade Xi Jinping at its core, fully demonstrating the advantages of socialism with Chinese characteristics.

Next, we must fully implement the decisions and plans of the CPC Central Committee and the State Council, with a focus on the following five aspects of work. First, we will implement a well-coordinated set of macro policies, prepare a batch of comprehensive policy measures in advance, and introduce them in a timely manner as needed. Second, we will vigorously boost effective domestic demand. We will formulate an implementation plan for the strategy of expanding domestic demand from 2026 to 2030, and promote the early commencement of construction of eligible major projects. We will continue to promote the construction of projects to implement major national strategies and enhance security capacity in key areas, better leverage the driving and amplifying role of government investment, and stimulate the vitality of private investment. We will steadily implement the consumer goods trade-in programs and accelerate the elimination of unreasonable restrictions in the field of consumption. Third, we will strengthen scientific and technological innovation, accelerate the development of emerging industries, further advance the "AI Plus" initiative, and create new forms of smart economy. We will thoroughly implement the guiding principles of the national conference on the service sector and expand capacity and upgrade the quality of the service sector. Fourth, we will intensify our efforts to stabilize employment and increase incomes. We will implement actions to stabilize and expand employment while improving job quality, formulate and implement a plan to increase the incomes of urban and rural residents, strengthen the development of public services that are inclusive and provide a safety net for the most vulnerable, and strengthen social security for groups in difficulty. Fifth, we will consolidate the foundation for secure development, make every effort to ensure the supply and stable prices of energy, resources, food, and other commodities that are important for people's livelihoods, accelerate the construction of a new energy system, and focus on stabilizing the real estate market. Thank you.