Ministry of Commerce: Per capita consumption expenditure of residents in the first quarter increased by 5.2% year-on-year, and final consumption expenditure drove GDP growth by 2.8 percentage points.

On April 23, the person in charge of the Consumer Promotion Department of the Ministry of Commerce talked about the situation of China's consumer market in the first quarter of 2025. Since the beginning of this year, various levels of commerce authorities have diligently implemented the decisions and arrangements of the Party Central Committee and the State Council, vigorously implemented the special action to boost consumption, expanded the scope of trading in old for new consumer goods, increased service consumption, and innovated consumer scenarios. The consumer market has achieved a stable start, and the potential vitality of China's super-large market has been further unleashed. In the first quarter, total retail sales of social consumer goods reached 12.47 trillion yuan, a year-on-year increase of 4.6%, with the growth rate accelerating by 1.1 percentage points compared to the previous full year. Among them, in March, it grew by 5.9%. In the first quarter, per capita consumption expenditure of residents increased by 5.2% year-on-year; final consumption expenditure drove GDP growth by 2.8 percentage points, further consolidating its fundamental role in economic development. The original text is as follows: Head of the Ministry of Commerce's Consumer Promotion Department Talks about the Situation of China's Consumer Market in the First Quarter of 2025 Since the beginning of this year, various levels of commerce authorities have diligently implemented the decisions and arrangements of the Party Central Committee and the State Council, vigorously implemented the special action to boost consumption, expanded the scope of trading in old for new consumer goods, increased service consumption, innovated consumer scenarios, achieved a stable start in the consumer market, and further unleashed the potential vitality of China's super-large market. In the first quarter, total retail sales of social consumer goods reached 12.47 trillion yuan, a year-on-year increase of 4.6%, with the growth rate accelerating by 1.1 percentage points compared to the previous full year. Among them, in March, it grew by 5.9%. In the first quarter, per capita consumption expenditure of residents increased by 5.2% year-on-year; final consumption expenditure drove GDP growth by 2.8 percentage points, further consolidating its fundamental role in economic development. First, the effects of trading in old for new are obvious, with rapid growth in sales of green intelligent products. In the first quarter, retail sales of goods increased by 4.6% year-on-year, increasing by 1.4 percentage points compared to the previous full year. The retail sales of goods of units above the quota increased by 5.8%, increasing by 3.1 percentage points compared to the previous full year. Among them, the retail sales of communication equipment, cultural and office supplies, home appliances, and furniture increased by 26.9%, 21.7%, 19.3%, and 18.1% respectively. According to data from the China Automobile Dealers Association, retail sales of passenger cars increased by 5.8% year-on-year in the first quarter, with sales of new energy passenger cars increasing by 36.4% and a penetration rate of 47.2%. In March, sales of smart home products of some key monitoring companies increased by more than 10% year-on-year. Second, service consumption continues to expand, with entertainment and tourism consumption being favored. In the first quarter, service retail sales increased by 5.0% year-on-year, with the growth rate being 0.4 percentage points faster than that of goods retail sales. Among them, catering revenue increased by 4.7%, with a growth rate of 0.4 percentage points faster than that of January-February. Per capita expenditure on transportation and communication, and expenditure on education, culture, and entertainment by residents both achieved double-digit growth. Domestic hit films such as "Ne Zha 2" drove a wave of movie-going, with national box office revenue in the first quarter reaching 24.4 billion yuan, an increase of approximately 48% year-on-year, setting a new historical high. The enthusiasm for inbound tourism remains strong. According to data from the National Immigration Administration, since the implementation of the 240-hour transit visa-free policy, as of March 31, the number of foreign nationals entering the country through various ports increased by 40.2% year-on-year, with visa-free entry accounting for 71.3%. Third, online consumption maintains rapid growth, and physical retail shows a trend of recovery and improvement. In the first quarter, online retail sales increased by 7.9% year-on-year, with the online retail sales of physical goods growing by 5.7%, accounting for 24.0% of the total retail sales of social consumer goods. Physical retail companies are accelerating their digital transformation, actively innovating consumer scenarios, enhancing consumer experiences, and achieving stable sales growth. In the first quarter, retail sales of physical stores of units above the quota increased by 4.4% year-on-year, an increase of 1.6 percentage points compared to January-February. Among them, the retail sales of convenience stores, specialty stores, and supermarkets increased by 9.9%, 6.7%, and 4.6% respectively. With the continuous efforts of various measures to expand consumption, the orderly implementation of the "Buy in China" series of activities, and the accelerated application of new technologies such as artificial intelligence in the field of consumption, the consumer market is expected to continue to show a stable development trend, providing strong support for the sustained recovery and improvement of the economy. This article is translated from the Ministry of Commerce's official website; GMTEight Editor: Chen Xiaoyi.