China Economy: GDP increases 6.8% in Q1

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China's economy grew 6.8 percent in the first quarter of 2018, slightly faster than expected. The number was buoyed by strong consumer demand and robust property investment. Our reporter Zou Yun has more.

Upbeat growth for China's economy in the first three months of 2018. The country's GDP grew 6.8% year-on-year, with preliminary estimates of nearly 20 trillion yuan. That's over 3 trillion US dollars. Not only was the momentum of regular economic drivers such as agriculture and industrial production maintained, but growth propelled by innovation and entrepreneurship also started to shine.

XING ZHIHONG, SPOKESPERSON NATIONAL BUREAU OF STATISTICS "Starting from this year, new driving forces are expanding rapidly. Data shows the number of newly registered enterprises is 1.32 million. That means an average of nearly 15 thousand a day. This is significant, showing new sectors and new models are on the way to success."

One of the major changes that comes along with China's optimized economic structure is the increasingly important role of the service sector. Data shows the Index of Services Production increased by over 8 percent from a year earlier. This indicates the sector is becoming a major contributor to the country's economy.

XING ZHIHONG, SPOKESPERSON NATIONAL BUREAU OF STATISTICS "We have entered a new stage, with the economy mainly driven by the service sector. This is a remarkable sign of China's transformation and upgrade of its structure. It's also the outcome of policy and reform."

Xing was also asked whether he expects the ongoing trade tension between China and the US to impact the Chinese economy. He said the resilience and abundant policy buffer space will ensure the country's sound growth and robust impetus won't change.

ZOU YUN BEIJING "Better than expected growth has led to a good start for China's economy this year. But great efforts are still going to be needed, not only to maintain a growing momentum, but to also improve both the quality and efficiency of development. ZY, CGTN, BJ."