By Wang Ke, People’s Daily
China has released its consumer market data for January through July of this year. Since the beginning of this year, China’s consumption market has continued to gain momentum and improve in quality, with steady expansion in scale and continuous upgrading of goods and services.
From January to July, total retail sales of consumer goods and services grew 2.6 percent year on year, while retail sales of services rose by 5 percent, once again outpacing the growth in goods sales. Beyond these figures, what stands out most is the increasingly important role consumption plays in improving people’s well-being.
This role is evident in the expanding range of services enriching people’s daily lives.
From crowded travel destinations during holidays to busy community fitness facilities, from steady visitor flows at museums and galleries to inclusive childcare and home-based elderly care reaching more households, service consumption has flourished in diverse ways. These trends show that people’s needs are extending beyond material satisfaction toward greater enjoyment, enrichment, and fulfillment.
Between January and July, retail sales of travel consulting and rental services, as well as cultural, sports, and leisure services, all grew by more than 10 percent. In July alone, box office revenue increased by more than 20 percent year on year. More and more families are choosing to spend on leisure, health, culture, and education.
The benefits of consumption are also reflected in the upgrading of goods and improvements in everyday living.
An energy-efficient refrigerator lowers electricity bills; smart home appliances free up time spent on chores; and new energy vehicles make travel more economical and environmentally friendly. Driven by the consumer goods trade-in program, more green and smart products are entering households across China.
In July, retail sales of communication equipment and cultural and office supplies by businesses above designated size grew 20.4 percent and 7.4 percent, respectively. Meanwhile, the retail penetration rate of new energy passenger vehicles reached a new record high of 65.1 percent. As high-quality goods become more affordable and accessible, the gains from consumption are becoming increasingly tangible in people’s daily lives.
The benefits are also visible in a more balanced urban-rural consumption structure and broader access to quality products and services.
As efforts to develop county-level commercial systems advance, residents in counties and rural areas are gaining access to a wider range of quality goods and services, regardless of where they live.
From January to July, retail sales of consumer goods in rural areas grew 2.4 percent year on year, 1.3 percentage points faster than in urban areas. E-commerce platforms have facilitated two-way flows, bringing agricultural products to wider markets while making industrial goods more accessible in rural areas.
Meanwhile, township commercial centers and local markets are taking on new vitality. Growth in lower-tier markets is not just about higher figures; it also shows that the gap in consumption experiences between urban and rural areas is narrowing, offering a vivid example of development gains being shared more broadly and equitably.
The broader shift is from securing basic access to pursuing better quality, and from “good-enough functionality” to greener, smarter products and services. This transformation reflects the people-centered nature of China’s development and aligns closely with the policy direction of integrating improved livelihoods with consumption growth.
Consumption-boosting policies are no longer focused merely on expanding volume. Upholding a people-centered philosophy, these policies tie domestic demand expansion and consumption stimulation directly to better living standards.
Practical measures span a wide range of areas. Trade-in subsidies deliver real savings to consumers while bringing green and smart products into households. The country is building 15-minute community life circles, alongside affordable childcare and elderly care services. It is also upgrading social security and medical insurance, advancing equitable public services and easing household financial concerns.
Policy measures have repeatedly demonstrated that improving people’s well-being provides the foundation for boosting consumption, while stronger consumption is an important means of improving people’s well-being. The virtuous cycle between the two makes economic growth more people-centered and more sustainable.
The ultimate purpose of consumption is not the figures in statistical reports, but the better lives people can actually enjoy. For now, the fundamentals underpinning China’s consumption market– its strong resilience, enormous potential and abundant vitality — remain unchanged.
As a range of policies continue to take effect and the supply of goods and services continues to improve, the benefits that consumption brings to people’s well-being are expected to grow further, providing deeper and more sustained momentum for China’s high-quality economic development.
China’s consumption growth delivers tangible benefits to people’s lives
