China will set a goal of “environ 5 %” of economic growth this year for the third consecutive time, according to the annual work report that Chinese Premier Li Qiang will present at the beginning of China’s annual Two Sessions.
Gross domestic product ( GDP ) for China reached 134.9 trillion yuan ( 18.77 trillion US dollars ) in 2024, an increase of 5 %.
China has kept its 2023 development goal, but achieving it this year may require overcoming growing outside forces and local pressures.
A business battle is raging on the international before, with the US imposing 20 % duties on Chinese goods powerful on March 4.  ,
Beijing has retaliated by imposing more levies of up to 15 % on American agricultural and food items starting on March 10. This is in addition to the 15 % taxes on US liquefied natural gas and coal that were announced last month.  ,
The second-largest economy in the world is struggling with weak domestic demand, a troubled property market, an aging populace, and rising youth unemployment.
Beijing has cut its consumer price index ( CPI ) target by about 2 percent, a significant decrease from the previous year’s target of 3 percent, in response to weak consumer demand. This is also the first time the CPI objective has been set below 3 percent since China first began putting the number in the yearly work report 20 years ago.  ,
The changes come after its CPI, a crucial inflation indicator, increased by only 0.2 % between 2024 and 2023, its lowest increase since 2009.
Additionally, the Chinese government announced a record budget deficit of about 4 % of GDP this year.