Consumption growth points stimulated and nurtured

A circular, jointly issued by some central departments on Monday, stated that China is moving to foster new consumption scenarios in multiple sectors, including tourism, automobiles and electronics, aiming to boost consumer demand and promote the steady growth of consumption.

The circular encourages Chinese cities with restrictions on vehicle purchases to ease these limitations and provide additional quotas for vehicle purchases. Local governments are also encouraged to support vehicle replacement and renewal when conditions allow.

Furthermore, China will support the consumption of new-generation high-tech electronics, such as smart wearable devices and AI-powered humanoid robots. The circular also detailed measures on creating new consumption scenarios in the catering and healthcare industries, among others.

New production models such as reverse customization, personalized design and flexible production will be encouraged, and promotional activities should be held to increase consumer awareness and market penetration of smart products.

The country will also include more countries in its visa-free policy, increase inbound flights from major passenger source countries, optimize its entry and exit procedures, and take some concrete measures to improve the consumption environment for overseas tourists in China.

For instance, the country will promote the acceptance of overseas bank cards in various venues and stores, enabling easier access to dining, accommodation, transportation, ticket purchases and reservations for international visitors to the country.

Official data show that China's GDP expanded by 5.3 percent year-on-year in the first quarter of the year, with domestic consumption contributing 73.7 percent to economic growth.

To effectively implement the measures set out in the circular, it is necessary to strengthen the cooperation of multiple departments, and improve market supervision rules in line with the development of new consumption modes and new formats.

Relevant departments should take the implementation of the circular as an opportunity to improve the business environment, promote healthy market competition, maintain normal market order, and strengthen the protection of consumers' legitimate rights and interests.

Local governments need to strengthen their fiscal, taxation, finance, currency and industrial policy coordination according to the actual conditions of their respective jurisdictions, and create more platforms to encourage social capital participation.

It is believed that the implementation of the circular can also effectively increase the supply of services in nursing for the elders and childcare, which is also conducive to improving families' spending power by reducing the financial care burden on families.

-21ST CENTURY BUSINESS HERALD