According to the VAT invoice data unveiled by the State Taxation Administration (STA), consumer demand in China was greatly unleashed during the National Day holiday. Residents' consumption of goods and services showed a positive trend.
The data show that the goods market remained active during the eight-day holiday, with the average daily sales revenue of Chinese wholesale and retail trade increasing by 14.1 percent year-on-year. The consumption of sports goods increased by 114.6 percent, while the second-hand vehicles market saw a 58.7 percent increase. The consumption of durable goods, cosmetics and hygiene products and furniture increased by 45.4 percent, 33.6 percent and 32 percent, respectively.
The data also show that service consumption – including catering, accommodation and travel – rebounded significantly during the holiday. The average daily sales revenue of catering and accommodation businesses in China edged up 12.7 percent year-on-year from Oct 1 to Oct 8. Meanwhile, the average daily sales revenue of travel services recovered to 69.8 percent of the figure for the same period last year and was 33.9 percentage points higher than the May Day holiday this year.
An official from the STA said that the recovery trend of Chinese residents' consumption showed the advantages of China's super-large market and the robust potential unleashed by the new development paradigm, in which domestic circulation is the mainstay and domestic and international circulations reinforce each other. The taxation departments will continue to make progress using tax big data and introduce more practical and useful service measures to create a better taxation business environment for market entities.