A worker tests products at an equipment manufacturing factory in Jiaozuo, Central China's Henan Province on January 3, 2024. Factories across China are resuming production after the three-day New Year's Day holidays, and they're working at full swing as orders keep pouring in. Photo: VCG

Speaking of China's economic growth in 2024, Chinese officials on Thursday said that favorable conditions are stronger than unfavorable ones, and there are still many factors supporting the steady and healthy development of the Chinese economy. Meanwhile, there is ample policy room.

"On the whole, the basic trend of China's economic recovery and long-term growth remains unchanged. An open China will continue to bring more opportunities for cooperation to the world. We have full confidence in the bright future of the Chinese economy," Liu Sushe, deputy head of the National Development and Reform Commission, said on Thursday during a press conference interpreting the macroeconomic situation and policies.

Analysts expect stable economic growth in China in 2024, mainly fueled by supportive macro policies, consumption and investment. Expanding domestic demand will promote imports and attract foreign investment. 

China's economy is expected to run smoothly in 2024, with annual GDP growth of about 5.3 percent, the Center for Forecasting Science (CEFS) of the Chinese Academy of Sciences said in a report on January 9.

"China's development will still present both opportunities and challenges. In terms of opportunities, a new round of scientific and technological revolution and industrial transformation is reshaping the global economic landscape," said Liu.

He noted that China's high-level market economic system is improving constantly, while its industrial system has become more complete. Policy room remains ample.

Liu said that favorable conditions will support China's growth in 2024, including a vast market with huge potential, innovation-powered new productive forces, and new industries and markets provided by green development.

As China promotes high-quality economic development, the investment demand for enhancing scientific and technological innovation capacity, promoting future industrial development and green transformation will be huge, said Liu.

Liu gave the fast-growing exports of the "new three items" - electric vehicles, lithium batteries and solar batteries - as examples of expanding demand brought about by the green transition.

China's exports of the "new three items" totaled 1.06 trillion yuan ($147 billion) in 2023, up 29.9 percent year-on-year, the National Bureau of Statistics (NBS) said on Wednesday.

The green transition, including the new-energy sector, will be a major growth force for China in 2024. The economy will continue to grow with supportive policies and enhanced confidence, Li Yong, a senior research fellow at the China Association of International Trade, told the Global Times on Thursday.

Lian Ping, president of the China Chief Economist Forum, told the Global Times on Thursday that China's economy will maintain stable growth in 2024 with the support of macro policies, including a proactive fiscal policy and a prudent monetary policy.

"Consumption will maintain stable growth in 2024 and investment growth will be relatively faster than in 2023," Lian said.

Final consumption expenditure contributed 82.5 percent of the country's economic growth in 2023, having played a vital role in bolstering economic development. Retail sales set a new record of 47.15 trillion yuan in 2023, up 7.2 percent year-on-year, according to the NBS.

Despite a high base of comparison, the CEFS report said that the nominal growth rate of China's final consumption will be 4.2-5.1 percent in 2024, and it will remain the primary driver of economic growth.

"Dual circulation - expanding domestic demand while promoting exports - will continue to fuel each other. China is expected to expand imports and increase the introduction of foreign capital in mid- and high-end manufacturing, biomedicine and other fields," said Li.

Also, the country will focus on restructuring and upgrading of industries to achieve high-quality development, Li noted.

China's foreign trade is expected to reach $6.0 trillion in 2024, up 0.7 percent year-on-year, according to the CEFS forecast. Imports are projected to reach $2.6 trillion, up 1.29 percent.

Analysts also noted that Chinese economy is making steady progress and will continue to provide strong impetus for the world economy. China remains an important engine for global economic growth. As the second largest economy in the world, China has established sound and solid fundamentals after years of development, which enabled its economy to handle ups and downs.