THE country’s gross domestic product (GDP) expanded 6.7 percent year on year in the first three quarters of 2018 to about 65.09 trillion yuan (US$9.38 trillion), data from the National Bureau of Statistics (NBS) showed Friday.

The pace was in line with market expectations and higher than the government’s annual growth target of around 6.5 percent.

In the third quarter of the year, China’s GDP rose 6.5 percent from a year ago, compared to a 6.7-percent increase in the second quarter, the NBS said in a statement.

The economy has expanded in a reasonable range and maintained a trend of overall stability and steady progress, the statistical authority said, while acknowledging that the country faces more external challenges and rising downward pressure.

The service sector gained 7.7 percent year on year in the January-September period, picking up from a 7.6-percent increase in the first half, and outpacing 3.4 percent in primary industry and 5.8 percent in secondary industry.

NBS spokesperson Mao Shengyong told a press conference that the sound long-term economic fundamentals continued, citing vigorous job creation, mild consumer inflation, and disposable personal income growth that basically matched economic expansion.

Consumption still played a prominent role in driving growth, contributing 78 percent of the GDP, Mao said.

The spokesperson denied so-called “consumption downgrade” as retail sales remained robust, the proportion of services consumption became bigger, and quality products, including cosmetics, smart home appliances, and SUVs, were more popular.

Morgan Stanley economist Robin Xing said the investment bank maintained its forecast on China’s GDP growth in 2018 at 6.6 percent, stressing the role of consumption in sustaining growth. “Third and fourth-tier cities will continue to see faster consumption growth than metropolises.”

Friday’s data showed progress in industrial transformation and quality development.

Manufacturing investment has sped up for six consecutive months, and private investment growth was also faster. (Xinhua)