China's Solutions to Promote Consumption in the New Context

Abstract

China's economy is entering an important transition period from an investment
export-based growth model to one based on domestic consumption. Since the Covid-19 pandemic,
especially from 2020 onward, in the context of a volatile international environment with
weakening external demand, US-China trade tensions, a stagnant real estate market, rising
unemployment, increasing household savings sentiment and prolonged deflationary pressure,
China has implemented many direct and indirect measures to stimulate domestic consumption.
These measures have yielded positive outcomes in stabilizing consumption and maintaining the
growth momentum of the Chinese economy. Through analyzing the measures that China has
applied, the article clarifies the outstanding features and draws valuable lessons for Vietnam in the
process of boosting domestic demand and pursuing sustainable economic transformation.