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Green consumption growth takes root

By FAN FEIFEI and LI FUSHENG | CHINA DAILY | Updated: 2022-07-20 07:42
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Customers select electrical products at a store in Yuncheng, Shanxi province. The city issued its first consumption vouchers for such products in May. [Photo by YAN XIN/FOR CHINA DAILY]

Stimulus package, anti-COVID-19 measures tipped to fuel sales

China's latest efforts to boost sales of automobiles, home appliances and other big-ticket items are expected to stimulate consumers' appetites, spur a consumption recovery amid the pandemic, and stabilize economic growth.

Analysts said the consumer market is likely to witness a growth recovery in the second half of this year, fueled by a package of stimulus measures and better containment of COVID-19.

Last month, the Ministry of Industry and Information Technology and four other central government departments issued a notice encouraging local governments to promote the consumption of green and smart home appliances in rural areas, and for old household appliances to be replaced by new ones.

The notice called for efforts to improve energy efficiency standards relating to home appliances and lighting products. It also appealed for the use of energy-saving air conditioners, refrigerators, water heaters, high-efficiency lighting products and degradable materials.

The government is to step up the procurement of green and low-carbon products, as more efforts are needed to guide enterprises to improve supplies of such products and services.

According to the National Bureau of Statistics, China's retail sales of consumer goods, a significant indicator of the nation's consumption strength, fell by 0.7 percent year-on-year to 21.04 trillion yuan ($3.12 trillion) in the first six months of this year.

The State Council, China's Cabinet, has announced 33 measures to stabilize economic growth in an effort to get the economy back on a normal track and keep major economic indicators within an appropriate range. The measures include boosting sales of items such as automobiles and home appliances to further unleash consumption potential.

The nation's home appliances industry, which has the world's largest production and sales volume, is a key driver of domestic consumption growth. Industry insiders said the promotion of green and intelligent home appliances is in line with efforts to pursue a green, low-carbon and sustainable development path.

Growth in China's home appliances sector is slowing. Data from the market consultancy All View Cloud, or AVC, which is based in Beijing, show the sector's value reached 760.3 billion yuan last year, up by 3.6 percent year-on-year, but a drop of 7.4 percent compared with 2019.

Chinese home appliance manufacturers are accelerating the recycling of disused products and launching more green and intelligent household appliances.

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