GDP Photo:VCG

China's economy managed to walk out of a V-shaped recovery in the third quarter, according to data released by the National Bureau of Statistics (NBS) on Monday, as the world's second largest economy is on track for a steady rebound under the government's supportive policies, despite headwinds such as the lingering coronavirus challenges.

GDP of the world's second largest economy grew by 3.9 percent year-on-year in the third quarter, according to NBS data. In the first three quarters, China's GDP grew by 3 percent year-on-year to hit a total of 87 trillion yuan ($12.01 trillion).

The third-quarter GDP has constituted a robust rebound, after the country's economic growth slowed to 0.4 percent year-on-year in the second quarter, following an unexpected outburst of COVID-19 cases in Shanghai and other domestic cities. In the first quarter, China's GDP growth stood at 4.8 percent year-on-year.

The Q3 GDP growth also beat market expectations. A Reuters poll had estimated that China's GDP should grow by about 3.4 percent in the July-September period from one year earlier. 

Both officials and experts stressed that China's economy still presented strong characteristics of being resilient and resistant to pressure, as shown by last-month's GDP performance. 

According to a statement published by the NBS, China's economy has withstood pressure to achieve continued recovery. Q3 economy is evidently better than the second quarter and is leading to a better situation. 

A closer look at the economic indicators also showed a trend that many of China's economic areas are picking up with a steady pace. In terms of consumption, China's retail sales grew by 0.7 percent year-on-year in the first three quarters, compared with a 0.7 percent decline in the first half of this year. 

Major industrial added values rose by 4.8 percent year-on-year in the third quarter, quickening from a 0.7 percent increase in the second quarter, the NBS data showed. Fixed-assets investment also expanded by 5.9 percent year-on-year in the first nine months, expanding from a 5.8 percent increase in the first eight months, according to official data. 

"The economic growth has exceeded expectations, with major indicators having recovered and reaching a reasonable range; the overall growth trend has been positive," Tian Yun, a veteran macro economist, told the Global Times on Monday. 

Experts also noted that effects of China's economic policy packages have continued and the effects could last until the first quarter of next year,but they warned that China needs to remain vigilant. There are still many unpredictable external factors and the external environment is becoming more complex and severe.

Global Times