On January 17, the National Bureau of Statistics (NBS) of China released its annual report on the country's economy for 2024. Preliminary data indicates that GDP grew by 5.0 percent compared to the previous year. The national urban survey unemployment rate averaged 5.1 percent, reflecting a decrease of 0.1 percent from the prior year. Additionally, per capita disposable income grew by 5.1 percent in real terms, reflecting the economic growth and the achievement of the main goals and tasks for economic and social development.

To effectively analyze China's annual economic report for 2024, it is helpful to consider three key dimensions.

1. Strength

In 2024, China's GDP exceeded 130 trillion yuan ($17.7 trillion) marking a significant leap in economic strength, technological capability and overall national power. This followed consecutive milestones in 2020, 2021 and 2022, when China's economy exceeded 100 trillion yuan ($13.6 trillion), 110 trillion yuan ($15 trillion) and 120 trillion yuan ($16.4 trillion), respectively, reaching a new peak.

"In the face of increasing external pressure and growing internal challenges, China's total economic output has, for the first time, surpassed 130 trillion yuan. This is an incredible achievement," said Kang Yi, director of the National Bureau of Statistics.

In a global context, China's GDP remains the second largest, and its 5.0% economic growth rate ranks among the highest of major economies. Furthermore, China leads globally in trade, foreign exchange reserves and manufacturing scale.

An aerial drone photo shows a view of the Tangshan Port in North China's Hebei Province, Jan. 13, 2025. (Photo: Xinhua)

Chronologically, China's total economic volume has achieved a historic leap from 56.88 trillion yuan ($9.31 trillion) in 2013 to 134.9084 trillion yuan ($18.77 trillion) in 2024. Economic growth in 2024 was equivalent to the annual economic output of a medium-sized country.

China's economic foundation is increasingly solid, supported by the prosperous development of various industries and the accumulation of significant achievements. 

Regarding products, the output of new energy vehicles (NEVs) has exceeded 13 million, new orders for green power ships account for over 70 percent of international market share and retail sales of high-efficiency and smart home appliances have maintained double-digit growth.

In terms of infrastructure, operating railway mileage has reached 162,000 kilometers. In 2024, China invested a record 1.35 trillion yuan ($188 billion) in constructing water conservancy facilities. New infrastructure developments, such as 5G technology, computing power and energy storage, have accelerated significantly.

Staff members sort packages at a logistic center of Zaozhuang branch of China Post in Zaozhuang City, East China's Shandong Province, Nov. 11, 2024. (Photo: Xinhua)

In logistics, China's parcel delivery sector handled a record 174.5 billion packages last year, and the China-Europe freight train service has made its 100,000th trip, a significant milestone.

In trade, China's total goods imports and exports surpassed 43.85 trillion yuan ($5.99 trillion), a historic high. For eight years running, China has remained the world's largest goods trader.

"Over the years, China's contribution to world economic growth has consistently been around 30 percent, making it the largest engine of global economic growth. The country's GDP exceeded 130 trillion yuan last year, signifying a stronger foundation and better conditions for developing its economy, with more growth drivers and a greater ability to withstand risks," Kang said.

2. Vitality

From the Chang'e-6 mission's first lunar far-side sample collection to China's first domestically built ocean drilling vessel Mengxiang's deep-sea exploration, the launch of the third-generation autonomous superconducting quantum computer "Origin Wukong" and the unveiling of the high-speed train prototype CR450, 2024 has seen China cultivate new quality productive forces tailored to local conditions. This has led to the rapid emergence of new industries, business models, and sectors, injecting vitality into economic and social development.

The return capsule of the Chang'e-6 probe lands in Siziwang Banner, North China's Inner Mongolia Autonomous Region on June 25, 2024. (Photo: Xinhua)

Technology continues to innovate, and industries are constantly rejuvenating. In 2024, the added value of high-tech manufacturing industries above a designated scale grew by 8.9 percent, outpacing the overall industrial growth rate by 3.1 percentage points. The production of NEVs, integrated circuits and industrial robots increased by 38.7 percent, 22.2 percent and 14.2 percent, respectively, significantly enhancing economic development's new and green elements.

The 2024 Global Innovation Index report, released by the World Intellectual Property Organization, highlights China's continued rise in global innovation rankings. It moved up to 11th place, an improvement of 18 places over the past decade, making it one of the fastest-growing economies. 

People take pictures at the booth of BYD at the Automechanika in Frankfurt, Germany, Sept. 11, 2024. (Photo: Xinhua)

With comprehensive reforms, the vitality of business entities continues to be unleashed. In 2024, the number of registered business entities in China reached 189 million, reflecting an increase of 3.1 percent from the end of 2023. New businesses in the "Four New Economy" (new technology, new business patterns, new development modes and new industries) accounted for over 2.39 million newly registered companies, approximately 40 percent.

Despite facing challenges and difficulties, all sectors remain firmly committed to high-quality development as the primary objective, promoting new growth drivers, upgrading traditional ones and optimizing the economic structure to create new momentum.

3. Power

Due to multiple factors, China's economic growth slowed in the second and third quarters of 2024, facing significant downward pressure. China acted decisively in response to these critical challenges by strengthening macroeconomic regulation. Notably, on September 26, the central government introduced incremental policies to boost public confidence and reverse the economic downturn.

Implementing the "Two New" and "Two Major" policies, issuing ultra-long-term special government bonds, boosting consumer confidence and improving investment returns contributed to economic recovery. The enactment of the Private Economy Promotion Law further standardized enterprise-related law enforcement and regulatory actions while increasing support for businesses. Adjustments to housing purchase restrictions and reductions in mortgage interest rates on existing loans helped stabilize the real estate market.

A view of Binhe Avenue in Shenzhen in South China's Guangdong Province, September 29, 2024. (Photo: CFP)

In recent years, foreign media have praised these measures as some of China's most robust economic adjustments. They effectively address immediate challenges while laying the groundwork for future development through structural reforms.

By December, key economic indicators showed more evident signs of recovery. Industrial growth reached its highest level since the second half of the year, the service sector production index recorded its best growth, and the production-sales rate of industrial enterprises above a designated scale rose to 98.7%, the highest of the year.

With more substantial capabilities, greater vitality and effective policies, China's economy in 2024 became more prominent, resilient and better positioned for future economic endeavors in 2025. Multiple foreign investment institutions expressed optimism about China's market in their global investment outlook for 2025.

A robot poses during the 2024 China International Fair for Trade in Services (CIFTIS) at the China National Convention Center in Beijing, capital of China, Sept. 12, 2024. (Photo: Xinhua)

However, it is essential to note that the adverse impact of the external environment is deepening. Domestic demand remains insufficient, some enterprises face operational difficulties, and pressure on employment and income growth is mounting with numerous risks and hidden dangers. Continuous and dedicated efforts will be necessary to foster economic recovery and improvement.

"China's economic foundation is stable, with many advantages, strong resilience and great potential. The long-term favorable conditions and fundamental development trends have not changed," Kang stated. 

Positive factors driving economic growth continue accumulating, new development drivers and advantages are emerging, the effects of policy measures will become more apparent, and deepening reform and opening-up will further enhance development vitality. These elements bolster confidence and determination to promote high-quality development while addressing risks and challenges.

(Translated by Qiao Wai, Zhan Huilan, Fan Liuyi, Fu Junjie and intern Zhang Yixuan; Edited by Yang Yang and Lu Dong)