On January 19, data released by the National Bureau of Statistics indicated that China's economy grew by 5% in 2025, with the Gross Domestic Product (GDP) exceeding 140 trillion yuan. Regarding this, Zhang Ying, Vice Dean of the Guanghua School of Management at Peking University, stated that facing a complex domestic and international environment, the 2025 economic data is overall satisfactory, reflecting the implementation of the new development philosophy and the results of high-quality development, showing particularly positive signals in structural optimization. On January 19, the China News Service's "Straight to the Point" program held an "Analysis Meeting on China's Economic Situation in 2026." Zhang Ying pointed out at the meeting that last year's foreign trade data performed remarkably well, showing not only aggregate growth but also an increase in the proportion of high value-added products, indicating that the engine of foreign trade remains robust. Although overall fixed-asset investment has slowed down, manufacturing investment has risen, highlighting China's firm determination to promote industrial upgrading and technological innovation during the economic transition period, which aligns with the requirements of high-quality development. In his view, income growth is the foundation for consumption growth. The 2025 data shows that the growth rate of per capita disposable income for rural residents (5.8%) was faster than that for urban residents (4.3%), and the growth rate of rural consumption expenditure was correspondingly faster. This is consistent with the policy direction of "raising the low" and "expanding the middle" to optimize the income distribution structure. However, Zhang Ying also cautioned that the total rural consumption expenditure is currently only about one-sixth of that in urban areas, indicating the base is still small. Therefore, how to effectively enhance the income and consumption willingness of middle- and low-income groups, especially rural residents, is extremely important. Addressing how to sustainably boost consumption, Zhang Ying believes that the first priority is to establish long-term mechanisms to effectively guarantee income increases for key groups. Increasing income should not only be about numerical growth but also focus on whether it can translate into effective consumption. "China has an urban floating population of about 300 million people. They connect urban and rural areas; their income must not only support their own lives in the cities but also sustain their families in rural areas. Therefore, it is essential to systematically address the concerns of these core labor groups and their rural family members by improving healthcare, social security, and other safeguard mechanisms. Only then can the consumption capacity and willingness of this core labor group be unleashed." Secondly, it is necessary to create new demand through high-quality supply. Part of the reason for the current insufficient consumption lies in the supply side failing to effectively match and stimulate demand. The successful case of new energy vehicles demonstrates that innovative, high-quality supply can effectively stimulate purchase desire. In the future, efforts should focus on providing more products and services that can appeal to consumers through industrial upgrading and innovation. Regarding the relationship between short-term stimulus policies and long-term mechanisms, Zhang Ying stated that short-term incentives, similar to "national subsidies," are necessary for digesting production capacity and coping with periodic pressures. However, sustainable consumption growth ultimately relies on "investing in people" and promoting their comprehensive development. This includes improving education levels, fostering healthy consumption concepts, and even advancing "aesthetic education" to meet people's multi-layered needs, ranging from basic functions to emotional value. It is worth noting that service consumption was a prominent highlight of the consumer market in 2025. Service-oriented consumption, represented by the concert economy, flourished vigorously, and its powerful ripple effects drove multiple consumption areas such as transportation, accommodation, and catering. Zhang Ying believes that service consumption has a higher ceiling and is significant for promoting the upgrade from goods to services consumption, transforming residents' lifestyles, and forming habitual consumption patterns.
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