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China vows to strengthen domestic circulation

By CAO DESHENG | chinadaily.com.cn | Updated: 2025-05-15 23:36
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Premier Li Qiang has underlined the need to strengthen domestic circulation, which he said should be viewed as a strategic move to propel the long-term stability of the Chinese economy.

Li made the remarks on Thursday at a meeting held by the State Council, China's Cabinet, to promote the development of domestic circulation. Vice-Premier Ding Xuexiang chaired the meeting.

Li highlighted the need to follow the decisions and deployment of the Communist Party of China Central Committee and fully understand and accurately steer the development of the Chinese economy at its current stage, with a focus on strengthening domestic circulation and making it the strategic foundation for economic growth.

Efforts should be made to leverage the inherent stability and long-term growth potential of domestic circulation to offset the uncertainties in the international market, in order to steer the country's economy toward long-term stability and progress and achieve high-quality development, the premier said.

Domestic circulation is part of the new development paradigm of "dual circulation", which was unveiled by the CPC Central Committee in 2020 to meet the challenge of mounting global uncertainties. Dual circulation takes the domestic market as the mainstay, with the domestic and international markets reinforcing each other.

Domestic circulation relies on a unified domestic market to optimize production, distribution, circulation, consumption and other aspects, with a view to stimulating domestic demand potential and enhancing economic resilience.

Noting that enabling domestic demand to be a leading driver and the domestic market to thrive is a unique advantage of a major economy, Li called for efforts to foster the new development paradigm, with domestic circulation playing a greater role in economic growth and the quality and level of economic circulation being enhanced.

He highlighted the key areas for strengthening domestic circulation, which include efficient allocation of resources, deep integration of technological and industrial innovations, self-sufficient and complete industrial and supply chains, and a dynamic balance between supply and demand.

He stressed the importance of consolidating the foundation for strengthening domestic circulation while promoting a sustained economic upturn, saying that precise and effective aid and support should be provided to enterprises engaging in foreign trade.

It is essential to make efforts to keep employment stable, tap into development potential, boost consumption, expand effective investment, and support local governments in creating more development highlights, he said.

Li also emphasized the need to coordinate development and security to maintain overall social stability.

He urged all government departments and local authorities to strive to promote reform and innovation to fully unleash market vitality and social creativity, in order to make new progress in the process of strengthening domestic circulation.

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