Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

China economic growth: Country where coronavirus began leads global recovery

China’s economy saw growth of 4.9% between July and September as retail spending returned to pre-virus levels for the first time

Namita Singh
Monday 19 October 2020 07:08 BST
Comments
Economists say China's growth has been fuelled by the manufacturing sector
Economists say China's growth has been fuelled by the manufacturing sector (AFP)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

China has recorded economic growth of 4.9 per cent in the third quarter of the year, as the country continues its recovery from the Covid-19 pandemic.

Retail spending in the country has returned to pre-virus levels, government data on Monday showed, while the global demand for masks and other medical supplies as seen a sharp rise in factory output.

China’s economy experienced a contraction of 6.8 per cent in the first quarter of the year, as the country where the novel coronavirus first emerged. But it was also quicker than most in containing its outbreak, and bounced back to growth of 3.2 per cent from April to June.

The latest figures are particularly good for trade, with a growth of 9.9 per cent in exports and 13.2 per cent in imports, as restrictions on movement between countries have eased.

China’s economy was hit hard by the decision to shut factories early on in the pandemic, but by March the Communist Party declared the disease under control and started reopening workplaces and shops.

Strict lockdown measures were eased in April after a drop in reported cases, and a hefty stimulus package was put in place to boost the economy. 

The Chinese government has continued to roll out a slew of measures to revive the coronavirus-hit economy and support the unemployed. They included a promise in May to spend $280bn on meeting goals including the creation of 9 million new jobs.  

The recovery is "broadening out and becoming less reliant" on government stimulus, said Julian Evans-Pritchard of Capital Economics in a research note. He said the data show growth "still accelerating" heading into the present quarter.  

The economy is also expected to get a boost this year from “Golden Week” - an annual holiday in October that sees millions of Chinese travelling for leisure, reported the BBC.  

Additional reporting by agencies

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in