Latest News:  


China's economic growth slows to steadier pace


09:42, July 16, 2013

BEIJING, July 15 (Xinhua) -- China's economy is no longer expanding at a dazzling speed of above 8 percent, but it could offer global investors far better opportunities as Beijing toughs out the slowdown with steady reform measures.

Monday's economic data, including annual growth of 7.5 percent in the third quarter, down from 7.7 percent in the first three months of the year, signal a natural slowdown as a result of ongoing structural reforms.

They are a healthy reminder that the halcyon days of double-digit growth fueled by strong exports and lavish investment are over, and China is moving toward a sustainable growth model that relies more on domestic consumption.

Falling exports, as shown in last week's trade data, are forcing the new Chinese leadership to take proactive steps to unleash domestic demand and press ahead with market-oriented reforms and opening-up.

They are cracking down on corruption, supporting business by cutting red tape, giving banks more flexibility to offer market-based interest rates and encouraging urbanization.

They are also reining in excessive lending to prevent the world's second largest economy from overheating, a by-product of the past hypergrowth.

The credit crunch in June, which caught global attention, attests to Beijing's firm resolve to curb financial and real estate bubbles.

China has now entered a new phase of development that is different from the past decades. The transition to a more sustainable growth model can not be achieved overnight and without pain.

Finance Minister Lou Jiwei has warned in Washington that structural reforms are painful. "It is impossible to adjust structures if you still want to feel very comfortable and maintain a very high growth rate," he said.

Chinese President Xi Jinping, who has been adamant in fighting a war on graft, told a party conference in late June to shed the GDP obsession and not to judge local government officials by their GDP record alone, but by achievements in improving people's livelihoods, social development and environmental quality.

It would be hasty and short-sighted to over-react to the slowdown of the Chinese economy.

In fact, the second-quarter GDP growth rate does not fall below the official target for the whole year at 7.5 percent, nor does it seem to miss the longer-term target of doubling China's 2010 GDP by 2020.

China is at a development stage that has huge potential for economic growth. Rather than signalling economic trouble, the slowdown is paving way for reforms that will unlock China's potential.

China's key economic statistics in H1:

Q2 GDP growth slows to 7.5% H1 retail sales accelerate to 12.7%
H1 industrial output up 9.3% FAI up 20.1% in H1
Fiscal revenue rises 7.5% in H1 Export down 3.1% in June

We Recommend:

How did Chinese solar industry go bankrupt?

Born to lead: 2nd gen of Chinese tycoons

Chinese graduates’ unconventional jobs

China's largest railway terminal officially opens

Dazzling gems shine at Beijing jewelry show

Boeing 787 Dreamliner to serve Beijing-Haikou route

New high-speed rail linking Nanjing, Ningbo opens

Jiaxing-Shaoxing Sea Bridge in E China

Chinese investors' happiness and sadness

Email|Print|Comments(Editor:WangXin、Chen Lidan)

Leave your comment0 comments

  1. Name


Selections for you

  1. Female soldiers in China-Russia joint drill

  2. Lady officers complete Basic Air Borne course

  3. Best photos of week (July 8 - July 14)

  4. 9 young giraffes find new home in Qingdao

  5. San Francisco crash survivors come back home

  6. Daily life in central China county

  7. Highlights of global stewardesses' uniform

  8. Charming beauties at Super Model Contest

  9. History of China's auto industry

  10. Migrant workes' high incomes not that rosy

Most Popular


  1. Washington must overhaul bipolar way of thinking
  2. China's economic growth slows to steadier pace
  3. Why the customer remains the king
  4. Going mobile is the key to business success
  5. Drone strikes only serve to help anti-Americanism
  6. State must control capital: Justin Yifu Lin
  7. Chinese economy not to take hard landing
  8. RMB becomes more market-oriented: official

What’s happening in China

College student car models show youthful vigor

  1. Regulation to improve public organ donations
  2. Beijing beefs up flood safety
  3. Rains continue to wreck havoc in China
  4. Capital prison tests therapy on inmates
  5. 8 killed in rainstorm in NW China province