{"id":17991,"date":"2026-03-05T22:20:50","date_gmt":"2026-03-05T22:20:50","guid":{"rendered":"https:\/\/topat10.com\/?p=17991"},"modified":"2026-03-05T22:20:50","modified_gmt":"2026-03-05T22:20:50","slug":"china-just-set-its-lowest-economic-growth-target-since-1991","status":"publish","type":"post","link":"https:\/\/topat10.com\/?p=17991","title":{"rendered":"China just set its lowest economic growth target since 1991"},"content":{"rendered":"\n<p>China has signaled continuity rather than change for its economy, setting a slightly lower target for growth this year in the midst of a property slump and other\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-party-congress-economy-property-jinping-e9b8c257561f67b19fbe9b2521835343\" href=\"https:\/\/apnews.com\/article\/china-party-congress-economy-property-jinping-e9b8c257561f67b19fbe9b2521835343\">headwinds at home<\/a>\u00a0and growing uncertainty abroad.<\/p>\n<div>\n<p>Premier Li Qiang announced a target of 4.5% to 5% annual growth in his report presented to the opening session of\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-congress-what-to-expect-10c6976dfe8e824922deaff3f4880153\" href=\"https:\/\/apnews.com\/article\/china-congress-what-to-expect-10c6976dfe8e824922deaff3f4880153\">this year\u2019s meeting<\/a>\u00a0of the National People\u2019s Congress. That compares to\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-economy-exports-trump-tariffs-6b3f53af8f22692bcd4d276c0695b1fc?taid=696d94899d89f000017891a1&amp;utm_campaign=TrueAnthem&amp;utm_medium=AP&amp;utm_source=Twitter\" href=\"https:\/\/apnews.com\/article\/china-economy-exports-trump-tariffs-6b3f53af8f22692bcd4d276c0695b1fc?taid=696d94899d89f000017891a1&amp;utm_campaign=TrueAnthem&amp;utm_medium=AP&amp;utm_source=Twitter\">actual 5% growth<\/a>\u00a0last year and a target of about 5% in the three years before. It\u2019s the lowest growth target since 1991.<\/p>\n<p>\u201cWhile recognizing our achievements, we are also clear-eyed about the difficulties and challenges we face,\u201d Li said, reading much of the 35-page report in a more than hourlong address.<\/p>\n<p>Experts say the lower target is in line with longer-term goals that are less focused on high growth rates.<\/p>\n<p>\u201cGDP targets in recent years have become less important than before because the overarching, and most important political priority has shifted from promoting economic development to so-called \u2018high-quality development,\u2019\u201d said Xin Sun, a senior lecturer in Chinese and East Asian business at King\u2019s College London.<\/p>\n<p>The government is striving to balance two goals: reviving the\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-manufacturing-economy-pmi-685ab43bcb8d113e7df0b9be8e9f417d\" href=\"https:\/\/apnews.com\/article\/china-manufacturing-economy-pmi-685ab43bcb8d113e7df0b9be8e9f417d\">flagging economy<\/a>\u00a0by boosting domestic spending, while also furthering leader\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-xi-jinping-new-year-address-taiwan-56761d92abff5a95f8ff7fd2fb791678\" href=\"https:\/\/apnews.com\/article\/china-xi-jinping-new-year-address-taiwan-56761d92abff5a95f8ff7fd2fb791678\">Xi Jinping\u2019s ambitions<\/a>\u00a0to build China into a global power in AI, robotics and other advanced technologies \u2014 and one that is not dependent on the U.S. or others for high-end semiconductors and other components.<\/p>\n<h4 class=\"wp-block-heading\">China faces \u201ca grave and complex landscape\u201d<\/h4>\n<p>In its draft budget for 2026, the government also trimmed China\u2019s annual increase in defense spending to 7%, down from 7.2% in recent years. The nearly 3,000-member Congress, a largely ceremonial body that endorses policies set by Communist Party leaders, is due to approve the annual report and budget at its closing session next week, along with\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-communist-party-fourth-plenum-five-year-plan-9596d3180c06497f42b45a9a4fff6ab9\" href=\"https:\/\/apnews.com\/article\/china-communist-party-fourth-plenum-five-year-plan-9596d3180c06497f42b45a9a4fff6ab9\">a five-year plan<\/a>\u00a0setting policy priorities until 2030.<\/p>\n<p>China is grappling with tariff wars and actual wars. Like much of Asia, it depends heavily on oil and natural gas from the Middle East, and the war in that region has\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/oil-prices-iran-us-hormuz-tanker-8a6d6fb35c89d9b0db4c4846f290c2c3\" href=\"https:\/\/apnews.com\/article\/oil-prices-iran-us-hormuz-tanker-8a6d6fb35c89d9b0db4c4846f290c2c3\">driven up prices<\/a>\u00a0and threatened supplies.<\/p>\n<p>The report said that free trade is under severe threat, noting rising geopolitical risks. At home, it highlighted an \u201cacute\u201d imbalance between strong manufacturing supply and weak demand and the challenge of shifting to new drivers of growth.<\/p>\n<p>\u201cRarely in many years have we encountered such a grave and complex landscape, where external shocks and challenges were intertwined with numerous domestic difficulties and tough choices,\u201d Li said in his report.<\/p>\n<h4 class=\"wp-block-heading\">Boosting consumption will take time<\/h4>\n<p>With the domestic economy in the doldrums, China has maintained growth by exporting. Its trade surplus surged to a record of nearly $1.2 trillion last year, though exports to the U.S. fell after President Donald Trump sharply raised\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/supreme-court-tariffs-trump-0485fcda30a7310501123e4931dba3f9\" href=\"https:\/\/apnews.com\/article\/supreme-court-tariffs-trump-0485fcda30a7310501123e4931dba3f9\">tariffs<\/a>. But the\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-latin-america-trump-trade-e78ccd51a7f66099d84fda885d2907a3\" href=\"https:\/\/apnews.com\/article\/china-latin-america-trump-trade-e78ccd51a7f66099d84fda885d2907a3\">growth in exports<\/a>\u00a0to other countries has met pushback from governments worried about their own industries and workers.<\/p>\n<p>Li pledged to improve living standards and\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-economy-property-tariffs-jinping-17e9a32cf105764f457c1111f185dd3f\" href=\"https:\/\/apnews.com\/article\/china-economy-property-tariffs-jinping-17e9a32cf105764f457c1111f185dd3f\">boost consumer spending<\/a>, which has lagged as Chinese have tightened their belts, feeling the pinch from a property slump weighing on home prices that has wiped out hundreds of thousands of jobs.<\/p>\n<p>Nonetheless, in line with the government\u2019s approach in recent years, the annual report Thursday indicated it would continue to support domestic demand but not unleash any major new stimulus to boost growth. \u201cBeijing continues to prioritize strengthening industrial self-reliance over boosting household consumption,\u201d said Neil Thomas, a China politics expert at the Asia Society Policy Institute.<\/p>\n<p>The report said the government would issue 250 billion yuan ($36 billion) in bonds for rebates to consumers who trade-in cars, appliances and other products for new ones. City-specific policies to control new housing supply and reduce unsold properties will be used to stabilize the property market, Li said.<\/p>\n<p>He Meiru, a real estate agent in southern China, said he\u2019s lucky if he completes one deal every two months. His monthly income is hovering around 10,000 yuan ($1,400) \u2014 less than a third of five years ago. \u201cIt\u2019s been a tough period for many \u2014 jobs are hard to find, people don\u2019t have money,\u201d he said.<\/p>\n<p>Apart from a\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-cheap-housing-prices-4a2825765c974497ce5a8748302de285\" href=\"https:\/\/apnews.com\/article\/china-cheap-housing-prices-4a2825765c974497ce5a8748302de285\">property market<\/a>\u00a0recovery, social welfare spending and improved job security are needed to get families to spend more of their savings, said Ecaterina Bigos of <a aria-label=\"Go to https:\/\/fortune.com\/company\/axa\/\" target=\"_blank\" href=\"https:\/\/fortune.com\/company\/axa\/\">AXA<\/a> Investment Managers.<\/p>\n<p>\u201cReviving domestic demand is key for sustained long-term growth,\u201d she said. \u201cHowever, redirecting China toward higher levels of domestic consumption will take time.\u201d<\/p>\n<h4 class=\"wp-block-heading\">China has purged its military leadership<\/h4>\n<p>The increase in defense spending to 1.9 trillion yuan ($270 billion) comes against the backdrop of a widespread purge of military officials over corruption charges.<\/p>\n<p>Analysts believe the dismissals are meant both to reform and modernize the military and to ensure Communist Party control over the People\u2019s Liberation Army. Nine military officers were among 19 delegates\u00a0<a aria-label=\"Go to https:\/\/apnews.com\/article\/china-npc-legislature-congress-military-deputies-purge-692a549b012e601200fc31638abf7a2e\" href=\"https:\/\/apnews.com\/article\/china-npc-legislature-congress-military-deputies-purge-692a549b012e601200fc31638abf7a2e\">dismissed<\/a>\u00a0from the National People\u2019s Congress ahead of this year\u2019s meeting.<\/p>\n<p>This year\u2019s report to the Congress repeated the government\u2019s commitment to \u201cthe Party\u2019s absolute leadership over the people\u2019s armed forces.\u201d Then it added a new line: \u201cGuided by the principle of ensuring political loyalty in the military, we will continue to improve military political conduct.\u201d<\/p>\n<p>___<\/p>\n<p>Chan reported from Hong Kong. Associated Press writer Huizhong Wu and researcher Shihuan Chen contributed.<\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>China has signaled continuity rather than change for its economy, setting a slightly lower target for growth this year in the midst of a property slump and other\u00a0headwinds at home\u00a0and growing uncertainty abroad. Premier Li Qiang announced a target of 4.5% to 5% annual growth in his report presented to the opening session of\u00a0this year\u2019s [&hellip;]<\/p>\n","protected":false},"author":950,"featured_media":17992,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[123],"tags":[],"class_list":["post-17991","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>China just set its lowest economic growth target since 1991 | Unlock Informed Choices with Us<\/title>\n<meta name=\"description\" content=\"Premier Li Qiang announced a target of 4.5% to 5% annual growth.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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Premier Li Qiang announced a target of 4.5% to 5% annual growth in his report presented to the opening session of\u00a0this year\u2019s&hellip;","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts\/17991","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/users\/950"}],"replies":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17991"}],"version-history":[{"count":0,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts\/17991\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/media\/17992"}],"wp:attachment":[{"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17991"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17991"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17991"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}