China's wholesale, retail sectors see strong growth in Q1

China's wholesale and retail sectors have logged strong momentum in the first three months of 2025, providing solid support for expanding domestic demand in the country, the commerce ministry said on Monday.

From January to March, the added value of China's wholesale and retail trade grew by 5.8 percent from a year earlier to reach 3.3 trillion yuan (about 457.98 billion U.S. dollars), or 10.4 percent of the country's gross domestic product, according to data from the National Bureau of Statistics.

During the period, the transaction volume of key commodity markets in the wholesale industry reached 1.3 trillion yuan, while the transaction volume of industrial consumer goods markets increased by 0.8 percent year on year, the ministry said.

For the retail industry, the retail sales of goods reached 11 trillion yuan in the first three months, increasing by 4.6 percent year on year.

Retail sales in five major retail formats - convenience stores, specialty stores, supermarkets, branded stores, and department stores - all showed growth during the period, with year-on-year increases of 9.9 percent, 6.7 percent, 4.6 percent, 1.4 percent, and 1.2 percent, respectively.

Both urban and rural markets are thriving, with steady increases in consumer foot traffic and spending.

From January to March, foot traffic and sales in 50 key pedestrian streets and commercial districts nationwide monitored by the Ministry of Commerce grew by 5.7 percent and 5 percent year on year, respectively.

Meanwhile, rural e-commerce has also been flourishing. Data from the Ministry of Commerce showed that during the period, rural online retail sales reached 669.75 billion yuan, up 5.1 percent year on year, with online retail sales of agricultural products totaling 196.53 billion yuan, an increase of 6.4 percent compared to the same period last year.

China has seen about 100.35 million new home appliances sold under its consumer goods trade-in program since August 2024, with over 40 million appliances sold in 2025, according to the ministry.

Over 30 million digital products, including mobile phones, have been sold through the trade-in program since January 15, 2025, it said.

This year, 67,000 stores nationwide have launched electric bicycle trade-ins, resulting in 3.764 million new bikes being purchased, which is 2.7 times the total replacement volume of 2024.

China's wholesale, retail sectors see strong growth in Q1

China's wholesale, retail sectors see strong growth in Q1

China's wholesale, retail sectors see strong growth in Q1

China's wholesale, retail sectors see strong growth in Q1

Analysts have warned of more significant economic pain for Lebanon after its conflict with Israel reignited this month amid wider Middle East tensions, with many expecting the new flare up to have a devastating impact on the country's economy.

Joint U.S.-Israeli strikes on Iran starting on Feb 28 have since spiraled into a wider conflict as Iran fired back with retaliatory strikes on numerous targets across the region, with fears growing over mounting casualties, continued disruption, and far-reaching political and security repercussions.

Lebanon became directly involved in the conflict after Hezbollah fired rockets at Israel last week, prompting Israeli airstrikes and the capture of several positions in southern Lebanon.

The death toll from Israeli attacks in Lebanon since March 2 has risen to 486, with more than 1,300 others injured, Lebanon's Ministry of Public Health said on Monday.

Israel is increasing its deployment of troops and tanks near its border with Lebanon as it intensifies its battle against Hezbollah. Meanwhile, Hezbollah has pledged that it will not back down, despite the Lebanese government's declaration that its military activities are illegal.

The ongoing fighting has already displaced over half a million people, and analysts are now concerned that the Israeli airstrikes and the resulting exodus will severely impact the Lebanese economy.

"The conflict has erupted, and no one knows its full impact for now because we don't know how long it will last. If it continues for a long time, our economy can fall to figures below zero because we will lose all activity we have recovered. This means someone holding the Lira currency will hesitate to spend it because no one knows how this conflict will end," said Mohamed Shams Eldin, an author and researcher for Information International, an independent regional research and consultancy firm based in Beirut.

"All companies and traders prefer cash payments for their goods and services on the spot. The cash economy has deepened amid the current crisis, and the country is in a standstill. Foreign investors are avoiding Lebanon. I think they stay away because of the lack of trust. They fear they will lose their money, and if we face a crisis every year or year and a half, investors will prefer to put their money into other countries," said economic analyst Nadim Al Sabeh.

Lebanon has been grappling with numerous challenges in recent years, beginning with a wide-ranging financial crisis which plunged the country into severe debt. This was then exasperated by the COVID-19 pandemic and a catastrophic explosion at Beirut's port in 2020, before a series of conflicts between Hezbollah and Israel starting in 2023 brought more misery.

The current conflict with Israel has disrupted many economic operations, leading to widespread displacement and putting pressure on the government to cover the costs. For a services-oriented economy like Lebanon's, this now threatens an economic collapse.

"Given the current circumstances, Lebanon doesn't have millions of tourists like Egypt or Türkiye. Therefore, remittances are the foundation of our economy. One million Lebanese citizens, or 250,000 families rely on these remittances. It's why the U.S. dollar cash flow in the market here surpasses that of any other country -- people have lost trust in banks," said Eldin.

Renewed fighting with Israel threatens to collapse Lebanese economy: analysts