Tashkent, Uzbekistan (UzDaily.com) - The National Bureau of Statistics of China published the country’s economic indicators for the third quarter of 2020.

Thus, according to official data, the growth rate of the Chinese economy was 4.9%. It was noted that, despite the fact that GDP growth turned out to be lower than forecasted (growth above 5% was expected), it still significantly exceeded the indicators of the second quarter, which amounted to 3.2%.

According to experts, China has left behind the historic recession of early 2020 and is now steadily recovering its economy badly affected by the coronavirus pandemic.

At the same time, according to experts, the following factors characterize the growth of the Chinese economy.

First, the growth of industrial production, which amounted to 6.9% in September. According to this indicator, the second economy of the planet returned to the level of December 2019, i.e. to the pre-pandemic level. Experts believe that China will be the only major economy to show growth by the end of 2020. Unemployment in China in the third quarter was 5.4%.

Second, retail sales, which lagged behind the overall recovery, also added significantly in July-September, as did the industry, showed the best quarterly result this year. In September, they exceeded the expectations of specialists and grew by 3.3%. The turning point in retail sales was outlined in August, when, after seven months of steady decline, an increase of 0.5% was recorded.

Third, in the PRC, the need for raw materials and minerals has significantly increased, which experts associate with the growth of industrial production and construction. Thus, investments in real estate in the III quarter increased by 5.6% in annual comparison.

Fourth, there is an increase in foreign trade, the country’s exports have been growing for four months in a row. It gained 10% in September, the highest this year. Hongbin Qu, China specialist at HSBC, notes that despite widespread second waves of the pandemic and still weak global demand, Chinese exports are performing well. At the same time, Beijing is now increasing its share in world exports at the expense of others.

The expert also points to clear signs of a gradual recovery in private consumption. Despite the fact that the real estate and securities markets have been actively recovering in recent months, consumers have been slow to go shopping and spend money. However, the picture is now changing for the better.

Fifth, the yuan is strengthening. A vigorous recovery in the world’s second largest economy has boosted demand for Chinese assets. For nine months of this year the yuan appreciated 3.8%.

According to experts at Cornell University, the country’s main task is to rebuild business and consumer confidence. This is necessary to revive private investment and maintain strong growth in household consumption.

At the heart of the Chinese economic recovery, Bloomberg notes, is aggressive containment of the coronavirus, which has allowed factories to quickly resume operations and capitalize on global demand for medical equipment. The dynamics of the resumption of production helped exporters gain a record market share in the seven months to July.

Overall, the Chinese economy has grown 0.7% since the beginning of the year, recovering from the downturn in the first half. As JPMorgan Asset Management experts predict, domestic economic activity will continue to recover further in the coming quarters. It is noted that when consumer confidence rises, consumption can bypass investment and become the main driver of domestic demand.

At the same time, according to economists, China may be the only large economy in the world that will show some growth this year.