China’s economy has maintained a steady upward momentum in the early months of 2026, supported by solid first-quarter Gross Domestic Product (GDP) growth and robust consumption vitality during the recent May Day holiday, signaling strong domestic demand and economic resilience.
Official data released by China’s National Bureau of Statistics shows that the country’s GDP reached 33.4 trillion yuan in the first quarter of 2026, growing by 5.0% year on year. The growth rate picked up by 0.5 percentage points from the fourth quarter of last year, marking a promising start to the year. The tertiary industry stood out as a key growth driver, while advanced manufacturing and emerging industries continued to expand steadily.
The just-concluded May Day holiday further injected vitality into the consumer market. According to official statistics, domestic tourist trips hit 325.0 million during the holiday, with total tourism spending reaching 185.5 billion yuan. Retail and catering sales of key enterprises also saw a year-on-year increase of 6.0%. Smart home appliances, new energy vehicles and green consumer products became market highlights. So far this year, China’s vehicle replacement program has exceeded 2.1 million units, driving new car sales surpassing 342.3 billion yuan.
To underpin stable economic growth, Chinese authorities have rolled out supportive policies. The central bank injected ample market liquidity via medium-term reverse repurchase operations, while a special fund of 915.0 billion yuan for equipment upgrading was launched to boost high-end manufacturing, semiconductors and industrial robotics.
Market analysts pointed out that China’s economic recovery is increasingly driven by domestic consumption and industrial upgrading. With continuous policy support and improving market confidence, the economy is well-positioned to maintain stable growth throughout the year.