MNI BRIEF: China Targets Consumption With New Plan

China’s latest action plan to boost consumption through structural supply-side reforms will stimulate the multiplier effect of the nation's vast domestic market, generating trillions of yuan in new consumer markets by 2027, according to Xie Yuansheng, vice minister of the Ministry of Industry and Information Technology, speaking at a press conference on Thursday. 

Officials have identified consumption areas amounting to trillions of yuan which include products for the elderly, intelligent connected vehicles and consumer electronics, Xie said. 

Beijing is likely to front-load more than CNY2 trillion of next year’s local government bond quota soon to support the early launch of major construction projects under the 15th Five-Year Plan, advisors told MNI. (See MNI: China To Front Load CNY2 Trillion Of 2026 Bonds)