China’s economy surprises and grows 5.3% in the 1st quarter

Driven by the rise in exports, China’s GDP (Gross Domestic Product) surprised the market and grew 5.3% in the first quarter of 2023. This is what data from the National Bureau of Statistics of China (NBS) revealed this Tuesday shows. (16).

Market analysts interviewed by Reuters predicted, on average, growth of 4.6%. Economists consulted by the The Wall Street Journal They considered greater growth, but only 5%. For Chinese consultancy Wind, the estimated rate was 4.9%. Everyone made a mistake.

With the good news, China reached a GDP of 29.63 trillion yuan (equivalent to US$4.17 trillion – or almost R$22 trillion). According to NBS deputy director Sheng Laiyun, the quarter was marked by an increase in production demand and stable prices.

Although imports in the first quarter grew 5%, there was a significant variation in exports, which jumped 4.9%. According to Dow Jones Newswiresthe actions of the Chinese State, under the leadership of the Communist Party, were decisive for the result, thanks to the stimulation of “industrial production in areas such as electric vehicles and renewable energy equipment”.

With this, it is possible that the country will revise upwards the growth target in 2024, currently projected at 5%. Last year, Chinese GDP jumped 5.2%. To maintain the pace, China will need to look again at the industrial sector, which is experiencing a slight slowdown. After growing 7% in January and February, the industrial sector advanced 4.5% in March.

“In general, the national economy started well, with an accumulation of positive factors, establishing a solid foundation for achieving annual goals. However, we must be aware that the external environment is becoming more complex, harsh and uncertain – and that the foundations for stable and solid growth are not yet solid,” the NBS concluded.