China pledges measures to boost domestic consumption in 2024

China will introduce a raft of measures, such as stimulating purchases of vehicles and household appliances, to boost consumption this year, a commerce ministry official said Tuesday.

"Automobiles, household appliances and home furnishing are the focus of traditional consumption and are closely related to people's lives," Vice Minister of Commerce Sheng Qiuping told a press conference.

China will work to promote vehicle trade-ins this year due to the great demand among people and the potential for replacement, Sheng said.

Last year, China's new car sales exceeded 30 million units for the first time, up 12 percent year on year.

The country's second-hand car trading volume reached 18.41 million units in 2023, an increase of nearly 15 percent.

Car ownership has reached 340 million in China, ranking first in the world, according to the vice minister.

China will also encourage the renovation of old houses and the replacement of home appliances, as part of a package of measures to bolster domestic demand.

On top of that, China will spur new forms of consumption, such as cross-border e-commerce, new energy vehicles (NEVs) and China-chic products, to unleash consumption potential, Sheng added.

SUFFICIENT SUPPLIES

China has ramped up efforts to ensure adequate supply of necessities during the upcoming Spring Festival holiday, which runs from Feb. 10 to 17.

There are sufficient inventories of daily necessities in wholesale markets across the country, while supermarket inventories of necessities have increased by 10 percent to 30 percent more than usual, Sheng said. He added that major e-commerce platforms will continue to provide delivery services during the holiday season.

Market prices are also generally stable. On Monday, the average wholesale prices of grain, edible oil, beef and mutton in the country's 100 large-scale wholesale markets remained unchanged from the beginning of the month.

The prices of pork and eggs rose 2.1 percent and 0.7 percent respectively, while vegetable prices showed a seasonal increase, according to the vice minister.

As the Spring Festival draws near, major shopping malls, supermarkets and online platforms are seeing robust sales.

In late January, sales of retail enterprises tracked by the ministry increased by 19.9 percent month on month. Sales of key e-commerce platforms increased by 20 percent year-on-year last month, data showed.

"We aim to create a festive atmosphere through joint efforts from governments, companies and industry associations," Sheng said.