Highlighting Chinese economy’s resilience amid challenges in 2022

BEIJING, Feb. 28 (Xinhua) -- China braved the economic headwinds and emerged from multiple challenges in 2022 with hard-won feats, according to an official statistical communique published on Tuesday.

After experiencing multiple ups and downs, the country’s economy continued to withstand the downward pressures and scored 3-percent growth year on year in 2022, said the communique released on the website of the National Bureau of Statistics (NBS).

In a comment article on the communique, Sheng Laiyun, deputy head of the NBS, said that the steady macroeconomic fundamentals were underpinned by China’s enhanced implementation of policies in 2022, when the economy was faced with a turbulent environment abroad and arduous development tasks at home.

DEFYING HEADWINDS

Looking back on 2022, China’s economy started off the year with a better-than-expected growth of 4.8-percent in the first quarter. The growth rate narrowed sharply in the second quarter due to the shocks from multiple unexpected factors.

However, the economy was quickly brought back on track in the third quarter as China promptly introduced a package of pro-growth policies and follow-up measures, Sheng said.

These included a combination of tax refunds, as well as tax and fee cuts and deferrals, that totaled 4.2 trillion yuan (about 604.15 billion U.S. dollars) in 2022. Such efforts helped China sustain its recovery momentum in the fourth quarter, Sheng noted.

China’s GDP reached a record high of 121 trillion yuan in 2022, a new high after the country broke the thresholds of 100 trillion yuan and 110 trillion yuan in 2020 and 2021, respectively.

NURTURING NEW DRIVERS

Despite seeing fiercer competition in international markets amid intensified external suppression of the technological sector and heightened decoupling risks in 2022, China still made headway on technological innovation and has continued to increase its research input, according to Sheng.

In 2022, China’s total expenditure on research and development (R&D) amounted to 3.1 trillion yuan, up 10.4 percent year on year, maintaining double-digit growth for seven consecutive years.

The role of innovation in technological development became more prominent, with the country’s ratio of R&D expenditure to GDP increasing to 2.55 percent in 2022, a rise of 0.12 percentage points.

The investment led to fruitful results. The total number of valid invention patents in China had reached 4.21 million by the end of 2022, taking first place globally, Sheng said.

EXPLORING OPENING-UP

Against a backdrop of flagging global economic recovery and a more volatile global financial market, China has steadily advanced institutional opening-up, retaining its appeal for foreign companies and investors, according to Sheng.

In 2022, China saw the total trade in goods reach 42.1 trillion yuan, up 7.7 percent year on year. It was the first time the figure had exceeded 40 trillion yuan, making a new breakthrough on a high base, Sheng said.

Foreign direct investment into the Chinese mainland, in actual use, expanded 6.3 percent year on year in 2022, serving as evidence to suggest that China is still a magnet for foreign investment, according to Sheng.

While warning of mounting uncertainties ahead, Sheng said that "the strong resilience, great potential and robust vitality of the Chinese economy have not changed."

The country has the foundation, confidence and ability to fend off various sorts of risks and challenges, he added.