The value added of Chinese domestic trade pierced the 10 trillion yuan threshold last year according to the latest government data.
The “2017 China Domestic Trade Development Review and Outlook” (2017年中国国内贸易发展回顾与展望) released by the Ministry of Commerce (MOFCOM) on 1 June indicates that Chinese domestic trade now accounts for approximately 13% of national GDP, second only to the manufacturing sector.
MOFCOM figures indicate that key domestic trade sectors, including wholesale and retail, accommodation and catering, residential services, repairs and other services saw added value of 10.7 trillion yuan in 2017, for a year-on-year increase of 7.1%.
There were 66.747 million domestic trade entities in China as of the end of 2017, for a year-on-year increase of 10.9%, accounting for 2/3 of the national total.
A MOFCOM official said that the flourishing development of China’s domestic trade provided a strong support to steady growth, structural adjustments and improvements to living standards.
In 2017 the contribution made to GDP growth by final consumption expenditures was 58.8%, for an increase of 3.9 percentage points compared to 2012, and the fourth consecutive year that it’s served as a primary driver of economic growth.
Domestic trade has also emerged as a key channel for expanding Chinese employment, accounting for nearly a quarter of the national total.
According to MOFCOM data in 2017 China’s domestic trade employment hit 192 million, for an increase of 10% compared to 2016 and a rise of 73% compared to 2012.
This figure also accounts for 24.8% of nationwide employment, and more than half of all employment in the tertiary sector.