BEIJING – Chinese Commerce Minister Wang Wentao has called for multiple measures to bolster service consumption, amid efforts to spur domestic demand and economic growth.
He made the remarks in a signed article published on Wednesday in Qiushi Journal, the flagship magazine of the Communist Party of China Central Committee.
It came as China unveiled a work plan to boost service consumption in 2025, part of the country's efforts to unleash new drivers of domestic demand and spur economic growth.
ALSO READ: Chinese premier stresses greater efforts to boost consumption
The plan, jointly issued by the Ministry of Commerce and eight other government departments, aims to expand the supply of consumer services, improve service quality and unlock the growth potential of the sector. It proposes 48 specific measures across a broad spectrum of industries, covering both main service sectors as well as new forms of business and new consumption scenarios.
The measures outlined focus mainly on six areas, including policy support, promotional activities, opening up and the consumption environment.
It calls for increasing the supply of quality consumer services by expanding opening up and reducing restrictions for domestic market players. Notably, the plan has also formulated special policy measures for eldercare, childcare, housekeeping and other services concerning people's livelihood.
According to the commerce minister, expanding service consumption is an important lever for stimulating domestic demand across the board, a task that has been identified as the top priority for 2025 in China's government work report.
In recent years, service consumption has gained steam in China. Per capita service consumption expenditure in 2024 among residents rose 7.4 percent compared to the previous year, contributing 63 percent to the overall growth in per capita consumption expenditure.
China has tailwinds to expand service consumption, driven by the unlocking of market potential, upgrading consumption structure and accelerating industry development, according to Wang.
READ MORE: China's GDP expands 5.4% year-on-year in Q1
However, the minister cautioned that several challenges, such as the relatively low level of service industry openness, insufficient supply of high-quality services, and the room for improvement in consumption environment, still pose constrains on the sector's expansion.
To further stimulate service consumption, the government plans to roll out policies that support sectors such as household services and digital consumption, Wang said, adding that support will also be directed toward industries related to tourism, ultra-high-definition, the sports events economy, and traditional Chinese medicine health services.
China will develop fiscal, tax, and financial policies to introduce targeted and practical measures, he said.
A fresh move in this direction, China on Wednesday unveiled a work plan to boost service consumption. The plan proposes 48 specific measures across a broad spectrum of industries, covering both main service sectors as well as new forms of business and new consumption scenarios.
