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China’s efforts to boost consumption unleashes global opportunities

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By He Yin, People’s Daily

China recently unveiled a plan on special initiatives to boost consumption, a move that has captured global attention. International observers see this as a clear signal of China’s drive toward high-quality economic development and a fresh opportunity for global businesses to tap intoone of the world’s largest and most dynamic markets.

Analysts believe that the measures are more than just a short-term stimulus but are part of a broader strategy to accelerate the country’s transition to a consumption-driven economy – a shift expected to reignite demand in the world’s second-largest economy and set the stage for sustained economic growth.

Consumptionis the ultimate barometer of demand,essential not only for economic growth but for enhancing the everyday life of the Chinese people. The Chinese government has placed consumption at the center of its economic agenda.Both the 2024 Central Economic Work Conference and the 2025 Chinesegovernment work report have emphasized the need to vigorously boost consumption, improve investment efficiency, and expand domestic demand on all fronts.

To achieve these goals, the plan focuses onincreasing spending power by raising earnings and reducing financial burdens, generating effective demand through high-quality supply, and improving the consumption environment to strengthen consumer willingness to spend. It introduces measures to reinforce institutional support for consumption, unlock untapped market potential, and accelerate China’s shift toward a consumption-driven economy.

Global observers have lauded these measures as both visionary and pragmatic, laying a robust foundation for the long-term growth of China’s burgeoning consumption sector.

Following a people-centered approach, the plan outlines efforts to boost consumption and improve livelihoods – such as establishing a childcare subsidy system, elevating funding standards for college students, and enhancing support for consumer goods trade-in programs.

By combining direct financial support witha broader supply of diverse, high-quality consumer goods, the plan aims to meetthe real needs of Chinese households – increasing earnings, easing financial burdens, and ultimately bolstering consumer confidence and spending willingness.

The plan also seeks to cultivate new consumption drivers in emerging industries. Measures include leveraging artificial intelligenceand intellectual properties to spur e-commerce, while supporting sectors such as low-altitude tourism, aviation sports, and consumer drones. This targeted approach to technology-driven and differentiated consumption is expected to sustain economic momentum in the long run.

“The new plan seeks to develop a more sustainable consumption model, which they define as New Consumption,”according to the website of the Spanish daily newspaper El Economista.

China’s efforts to expand domestic demand will provide a broader platform for international engagement. As the world’s second-largest consumer market – and the largest online retail market for over a decade – China is turning its vast domestic demand into a significant global opportunity. With ongoing efforts to ease market access, refine consumption structures and drive growth in service consumption, the country is steadily unlocking new economic potential.

The country’s increasing imports of high-quality life services in healthcare, culture, and entertainment signal a broader effort to integrate its market with the global economy. At the same time, China has sought to strengthen integration between foreign and domestic trade by promoting high-quality imported goods and improvingits business environment.

Early indicators are promising: China’s retail sales of consumer goods, a major indicator of the country’s consumption strength, climbed 4 percent year on year in the first two months of 2025, and the consumer confidence index has rebounded for three consecutive months, according to latest data from the National Bureau of Statistics of China.

Consumer sentiment in China has seen a significant rebound compared to last year, a recent survey by Deutsche Bank AG has shown. The Peninsula Qatar notes that consumer sentiment in China has improved and this should spur more investments over the coming years, driving further growth.

China is making significant strides in high-quality economic development. With proactive macroeconomic policies, a comprehensive expansion of domestic demand, and an unwavering commitment to reform and opening up, China is well-positioned to sustain its economic recovery. These efforts will not only reinvigorate its domestic market but also inject positive momentum into global economic growth.

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Forging new chapters in China-U.S. people-to-people friendship

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By He Yin, People’s Daily

The 2025 Kuliang Forum, themed “Echoes of History,” was recently held in New York. 

In this special year marking the 80th anniversary of the victory in the Chinese People’s War of Resistance Against Japanese Aggression and the World Anti-Fascist War, representatives from various sectors of China and the United States came together to commemorate the historical period when the two nations stood together in the fight for world peace. 

Drawing on the legacy of Kuliang — an enduring symbol of China-U.S. people-to-people friendship — participants reaffirmed their commitment to strengthening mutual understanding and friendship.

The Kuliang story, personally promoted by Chinese President Xi Jinping, exemplifies the longstanding bond between the Chinese and American peoples. Xi has previously sent congratulatory letters to “Bond with Kuliang: 2023 China-U.S. People-to-People Friendship Forum” and to “Bond with Kuliang: 2024 China-U.S. Youth Festival,” underscoring the story’s continued relevance in today’s bilateral relations.

In recent years, “Kuliang Friends” and other supporters of China-U.S. friendship have actively preserved and promoted Kuliang’s legacy. Initiatives such as root-seeking visits and cultural exchanges, including “Bond with Kuliang: 2025 China-U.S. Youth Choir Festival,” have deepened mutual understanding and friendly exchanges between the two peoples.

The ever-growing and enduring Kuliang story shows that despite differences in history, culture, social systems, and development paths, the Chinese and American peoples share a common aspiration for friendship. This year, China held grand commemorative events marking the 80th anniversary of the victory in the Chinese People’s War of Resistance Against Japanese Aggression and the World Anti-Fascist War, inviting descendants of American Flying Tigers members to attend ceremonies atop Tian’anmen Gate. 

At the seventh China-U.S. Sister Cities Conference, participants discussed “Closer Cooperation for a Sustainable Future.” During “Bond with Kuliang: 2025 China-U.S. Youth Choir Festival,” more than 1,000 young singers from both countries performed in celebration of friendship. 

These acts of goodwill, though seemingly modest, accumulate to bridge the Pacific, turning a geographical divide into a conduit for cooperation. The hope of the China-U.S. relationship lies in the people, its foundation is in our societies, its future depends on the youth, and its vitality comes from exchanges at subnational levels.

In July this year, Xi replied to teachers and students of the U.S. youth pickleball cultural exchange delegation from Montgomery County, Maryland, who visited China under the initiative of inviting 50,000 young Americans to China for exchange and study programs in a five-year span.

Xi congratulated the delegation on its successful visit to China, expressing his hope that the delegation members will become a new generation of ambassadors for friendship between the two countries and make greater contributions to enhancing friendship between the two peoples.

Since the launch of the initiative of inviting 50,000 young Americans to China for exchange and study programs in a five-year span, participation has been enthusiastic, demonstrating the initiative’s strong appeal and profound influence. A wide range of activities under the initiative, including maker competitions, academic dialogues, “future diplomats” summer camps, choir and music festivals, and pickleball friendship matches, have deepened mutual understanding between Chinese and American youth. A recent poll in the United States indicates a steady improvement in American public perceptions of China, with younger generations increasingly serving as a driving force for bilateral friendship.

To write new chapters of the Kuliang story and deepen people-to-people affinity, China and the United States must work together to build platforms and broaden channels for exchanges. 

Last month, Xi and his U.S. counterpart Donald Trump held a successful meeting in Busan, South Korea, providing strategic guidance and fresh momentum for the steady development of bilateral relations at a critical moment. The two presidents reached important consensus on advancing practical cooperation across various fields, including expanding people-to-people exchanges. 

Since then, the China-U.S. relationship has generally maintained a steady and positive trajectory, and this is welcomed by the two countries and the broader international community. China welcomes more Americans to visit and experience a real, multidimensional, and comprehensive China. It is hoped that the U.S. side will work with China in the same direction and take active steps to facilitate people-to-people exchanges, thereby strengthening bilateral bonds and mutual understanding.

The achievements in China-U.S. relations are primarily attributable to the collective efforts of the people of the two countries, and the continued development of this relationship will rely even more on their support. Both sides should take the Kuliang bond as a link, people-to-people exchanges as a bridge, and youth friendship as a source of strength, working together to continue writing new chapters of China-U.S. friendship and contributing to the sound and steady growth of China-U.S. relations.

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Technology enhances immersive reading experience in Beijing

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By Shi Fang, People’s Daily

“Mr. Lu Xun, could you recommend one of your classic works?” 

“If I were to suggest one, perhaps Call to Arms would be a good starting point…”

This conversation took place at the Metaverse Experience Hall of the Beijing Library. Supported by artificial intelligence (AI) and other emerging technologies, the hall offers visitors a novel approach to immersive reading and knowledge-based social engagement.

As one of three institutions under the Capital Library of China, the Beijing Library has introduced an AI-powered digital human modeled after renowned Chinese writer Lu Xun. Historically, Lu Xun played a role in establishing the predecessor of the Capital Library of China. Today, his digital incarnation symbolizes the library’s digital transformation.

“We developed the digital Lu Xun using AI technologies to provide guided tours, recommend books, and introduce local cuisine and cultural sites,” explained Fei Jun, professor with the School of Design, the Central Academy of Fine Arts, and creative director of the Metaverse Experience Hall. His team conducted in-depth research on Lu Xun’s life and works to create a realistic and multidimensional digital persona.

In addition to the digital Lu Xun, Fei’s team created two other digital characters, “Tutu” and “2122,” each with distinct personalities: one childlike and the other futuristic. These avatars, driven by large language models, engage visitors in conversations about literature and everyday life. Since the library opened at the end of 2023, these AI characters have participated in more than 1.7 million voice interactions.

Seven-year-old reader Wang Jiayi eagerly asked “2122” questions such as, “Why did dinosaurs go extinct?” and “Why do maple leaves turn red in autumn?” Her mother commented, “The digital humans are engaging and informative. They genuinely spark children’s interest in learning.”

Entering the library feels akin to stepping into a digital universe.

Visitors can scan a QR code to verify their identity, customize their attire, and quickly generate digital avatars within the Metaverse. These avatars can navigate virtual spaces such as the Children’s Library, Ancient Books Collection, Art Literature Library, and Intangible Cultural Heritage Library, exploring venue information and upcoming events.

Readers also interact with one another via their digital avatars, sharing reading lists, exchanging book reviews, and bridging online and offline reading experiences.

Looking ahead, the library plans to introduce additional immersive features, including personalized virtual study rooms. “Our goal is to offer a multisensory experience — visual, auditory, and even tactile — so users feel as if they’ve entered a parallel world for immersive reading,” Fei said. His team is also developing an online version of the metaverse library, enabling remote access to its digital environment and vast knowledge collections.

“Beyond traditional print books, we want to create a technology-enhanced environment that sparks curiosity and encourages readers to explore knowledge in innovative ways,” said Li Nianzu, deputy director of the Capital Library of China.

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A closer look at China’s ‘appropriate forward planning’ for new infrastructure development

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By Wang Junling

China is home to the world’s largest high-speed railway, expressway, and postal express delivery networks, as well as the world’s biggest and most extensive digital infrastructure. This increasingly modernized infrastructure system has supported rapid economic and social development, improving public services and enhancing everyday life.

Looking ahead to the next five years, how will China advance its infrastructure development? 

According to the recommendations for formulating the 15th Five-Year Plan, new types of infrastructure will be built with appropriate forward planning; information and communication networks, the national integrated computing network, major science and technology infrastructure, and other key systems will be further developed and used intensively and efficiently; traditional infrastructure will be upgraded and retrofitted with digital and intelligent technologies.

This marks the first time a Five-Year Plan recommendation explicitly incorporates the concept of “appropriate forward planning” for new infrastructure.

What does this concept entail, and how will China implement it?

As technologies such as artificial intelligence, blockchain, 5G, and digital twin become deeply embedded in daily life and economic activity, China has made significant strides in developing information infrastructure, integrated infrastructure, and innovative infrastructure. These new foundations underpin the digital economy, accelerate the modernization of traditional infrastructure, and support scientific and technological innovation.

According to Huang Qunhui, a research fellow at the Institute of Economics, Chinese Academy of Social Sciences, many sectors, including scientific research, transportation, energy, water conservancy, and communications, face strong demand for digital, intelligent and green upgrades amid a new round of scientific and technological revolution and industrial transformation. Among these, digital-intelligent infrastructure such as next-generation communication base stations, high-performance computing equipment, and ultra-large storage systems has become central priorities.

Zhang Liqun, a research fellow at the Development Research Center of China’s State Council, highlights the public good nature of infrastructure, in contrast to the exclusivity of ordinary commodities. In this context, “appropriate forward planning” implies that government investment in emerging infrastructure, such as communication networks, computing capabilities, and scientific research platforms, must stay ahead of evolving societal needs to ensure public services are both proactive and resilient.

“For example, the growth of emerging industries and the upgrading of traditional industries rely on services like real-time communication and artificial intelligence enabled by traditional infrastructure,” Zhang added. “Government-led investments must anticipate demand to close critical gaps in a timely manner.”

Infrastructure development is a complex undertaking that encompasses policy, funding, planning, and technology, requiring coordinated, well-designed implementation. According to Xiang Aibing, director of the transport integration and innovation research center at the Institute of Comprehensive Transportation of China’s National Development and Reform Commission, despite tremendous progress, China still faces structural weaknesses in new infrastructure and in meeting the higher standards of quality development and public expectations.

Challenges persist in central and western regions and in special zones, where full coverage of gas pipeline and mobile communication network is lacking. Rural areas still struggle with “last-mile” connectivity, and integration across transport, energy, and digital infrastructure remains insufficient.

“The term ‘appropriate’ reflects the need for infrastructure development to align with the pace of economic and social development, while ‘forward-looking’ emphasizes its guiding and enabling function,” Xiang noted. 

“During the 15th Five-Year Plan period (2021-2025), China must ensure that the supply of new infrastructure — its capacity, regional distribution, technological sophistication, implementation schedule, and scale — keeps pace with evolving development needs, creating a virtuous cycle of supply and demand,” Xiang added.

The resulting improvements in public services and growing market opportunities are drawing increasing attention from enterprises.

Li Qian, chairwoman of Net Zero, a tech firm based in northwest China’s Xinjiang Uygur autonomous region, said: “New infrastructure creates substantial opportunities for business expansion. We are making sustained investments, with appropriate forward planning, in computing power infrastructure to position ourselves for rising demand.”

Lunkr Technology (Guangzhou) Co., Ltd., the world’s first commercial company supporting the IETF multilingual email standard, provides digital solutions for clients in Thailand, Indonesia, South Africa, Zambia, and other countries. Wu Xiucheng, executive vice president of the company, noted that advancing new infrastructure with appropriate forward planning during the 15th Five-Year Plan period is a strategic move that enables digital industry growth and fosters new technologies and business models. 

“Going forward, we will scale up our AI-driven products and services to better capitalize on emerging opportunities in email systems and cybersecurity,” Wu added.

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