China to Announce More Measures to Boost Consumption

China said it will announce new measures to boost consumption in the government’s latest effort to steer a revival in the economy after its post-Covid recovery at the start of the year fizzled.

Li Chunlin، vice chairman of the National Development and Reform Commission، and officials from the Ministry of Industry and Information Technology، the Ministry of Commerce and the State Administration for Market Regulation will hold a press conference at 3 p.m. Monday in Beijing، according to a statement from the State Council Information Office.

Reviving economic growth

The move follows a slew of policies the Chinese government unveiled in recent weeks to revive the economy. Growth momentum weakened in the second quarter as the property market slumped again after a brief rebound at the start of the year. Exports fell and consumer spending slowed، pushing the economy to the brink of deflation and further darkening the growth outlook.

Here’s How China Is Supporting Economy as Stimulus Awaited

Earlier this month، the NDRC said China would spare no time making and introducing policies to boost consumption and a slew of new measures would be introduced to lift sales of cars، electronic products and rural consumption. NDRC spokesman Jin Xiandong told reporters on July 18 the policies would help tackle youth unemployment and boost wages for low-income workers to ensure residents’ incomes grow in line with the economy.

At the time، 13 government departments outlined a plan to boost household spending on everything from electric appliances to furniture. Local authorities would be encouraged to help residents refurbish their homes، and people should get better access to credit to buy household products.

Days later، the NDRC released a 10-step plan to increase car purchases، particularly for new-energy vehicles، including lower costs for electric-vehicle charging and extending tax breaks. In June، the Ministry of Commerce launched a six-month campaign to boost car purchases and electric vehicle adoption in rural areas.

China issued more measures to bolster economic growth on Friday، including a plan to boost consumer industries and steps to grow an exchange dedicated to helping small firms get access to funds.