China projected to post 6.7% economic growth in H1

A technician adjusts the arms of robots at a new energy vehicle manufacturing plant in Yiwu, Zhejiang province. [Photo by Lyu Bin/For China Daily]

China's expects economy to grow 6.7 percent in the first half of this year, reported Economic Information Daily.

Although some uncertainties, including global trade friction, financial market uncertainty and tense geopolitics, placed pressures on China in the first half of this year, the economy maintained a steady growth and will continue to improve because the world economy is experiencing a sustainable recovery, China's new economic growth engine are becoming stronger and the domestic housing market is heating up, said a report from Bank of China's Institute of International Finance.

Consumption, investment and net export will contribute 70 percent, 35 percent and minus 5 percent, respectively, to China's economic growth in the second quarter of this year, said Lian Ping, chief economist for the Bank of Communications.

China's net export will maintain rapid growth in the second quarter, but because the growth of net import will be faster than the growth of net export, the export will be negative to the economy growth, Lian said.

However, rapid growth of export will still pull manufacturing industry and investment, said the economist.

The massive potential domestic demand, multiple macro-control policies and tools, and bonus from supply-side structural reform in sustaining growth, will hedge the uncertainties in the economical movement to maintain steady economic growth in the second half of this year, said Wen Tao, an analyst of China Logistics Information Center.

There are no big recession risks to China's economy in the second half of this year, and the economy will maintain its pace, Zhu Jianfang, chief economist with Citic Securities, said.

The global economic recovery will boost global trade and that will also benefit China, Zhu said.

The macroeconomic policy will continue to be fine-tuned, said Xie Yaxuan, chief economist with China Merchants Securities. The adjustment will focus on the fiscal policy in the second half of this year, and as part of adjustments, taxation and fee reduction will benefit small and micro-sized enterprises.