China's Q1 GDP growth fits reality: official of statistics

China's GDP in the first quarter of 2024, which grew 5.3 percent year-on-year, fits the reality, said Sheng Laiyun, deputy director of the National Bureau of Statistics (NBS), on Tuesday.

Speaking at a press conference in Beijing, the NBS official noted that the 5.3 percent growth is supported by data and indicators across a wide range of fields.

"The GDP grew by 5.3 percent year-on-year in the first quarter. Many think this number is higher than expected. But what I want to make clear is that first of all, the 5.3 percent GDP growth is in line with reality. From the perspective of calculation, this 5.3 percent GDP growth in the first quarter was mainly driven by the rebound in the industrial sector and the improvement of the service sector," Sheng said.

The value added of industrial enterprises showed significant rebound in the first quarter comparing to both the same time last year and the previous quarter as export picked up and demand increased, while the service sector, boosted by the Spring Festival, saw further growth on top of last year's good foundation, according to the official.

"The industrial sector and the service sector together contributed more than 90 percent of GDP growth. From the calculation perspective, the first quarter's GDP growth is consistent with the actual situation of the rebounding industrial sector and service sector," Sheng said.

Sheng further pointed out that the growth in consumption, investment and export, the three important indicators for demand, also support the first quarter's good GDP growth.

"Second,the 5.3 percent GDP growth is well-founded. GDP is calculated by the production approach, and verified by the expenditure approach. Looking at the three major indicators for demand just released, all are steadily recovering. The three major indicators for demand matches the GDP growth from the calculation on the perspective of demand," Sheng said.

The NBS official also noted that the GDP growth matched electricity consumption, freight transport, and other indicators.

While the overall situation looks bright according to indicators, Sheng said the NBS notices the uneven development in economic recovery, noting consumption trailing behind production and micro, small and medium-sized enterprises enterprises recovering at a slower pace than large enterprises.

Further efforts will be made to address uneven development and more attention will be given to the development of micro, small and medium-sized enterprises, according to the official.

China's Q1 GDP growth fits reality: official of statistics

Volkswagen will stay in China no matter what happens, said CEO of Volkswagen Passenger Cars Brand Thomas Schafer in an interview with China Global Television Network (CGTN) during the ongoing Auto China 2024 in Beijing.

At the event, which takes place from April 25 to May 4, Volkswagen unveiled its new concept car, designed with "Chinese DNA."

"I'm very excited to be here. As I said, I came here many years ago, often. And now, I haven't been here for a while, and to be back in Beijing to see this vibe is amazing. You see new players, you see old players, reinventing [themselves]. And we are very happy to be here with Volkswagen in China. This is our second home," Schafer said.

Volkswagen founded its first joint venture in China in 1984. Today, its network in the country features 39 plants, 90,000 employees and around 50 million customers.

"Now we've been here for 40 years. China is our single biggest market for Volkswagen, and we have a great plan to stay here and be relevant furthermore, no matter what happens. It's a tough market, it's true, but we have a great plan going forward and strong joint venture partners," Schafer said.

The German company has lately established a new development, innovation and procurement center in Hefei, capital of east China's Anhui Province, with plans of further expanding the center to accelerate the production of its smart electric vehicles.

Schafer said Volkswagen is well prepared for the trend in electric vehicles.

"The future is electric, that is clear, and we see here around us that this is true. The hybridization will play a role for a while. We have a great plan for that, too. We will bring six hybrid vehicles by 2026, a good move forward. But we also have a fantastic fully-electric car portfolio that we will now roll out as a new area that we go into. I think we are well set for that," he said.

Looking ahead, Schafer said the automotive industry will continue to become more friendly to the environment, lauding China as a global role model in this endeavor.

"The trend is most likely going to strengthen, even going further. You'll see many product offerings that are offering more and more substance, longer ranges, easier to use, with that comes [increased] day-to-day use. China as a country, but also the companies [here] have a great plan forward and I must say it shows the way also for Europe and other regions where we should go. The future is carbon free. That's the way to go," he said.

Volkswagen CEO reaffirms strong commitment to Chinese market