Zhongyou Securities' Huang Fusheng: The consumer market will gradually break free from short-term constraints, and the proportion of service consumption will steadily increase.

On March 5th, the government work report made key deployments on expanding domestic demand and boosting consumption. Huang Fusheng, Vice President and Chief Economist of China Post Securities, analyzed to reporters that looking ahead, with the various consumer stimulus policies of the 2026 government work report taking effect, combined with the systematic layout of the "15th Five-Year Plan" for service consumption, China's consumer market will gradually break free from short-term constraints, with the proportion of service consumption steadily increasing and the potential for domestic demand continually being unleashed. Huang Fusheng also mentioned that in line with the guidance of the "15th Five-Year Plan", the development of service consumption in China will focus on expanding coverage and increasing volume, with a key focus on the three major areas of basic, improving, and new types of consumption, promoting the quality and capacity expansion of service consumption. Among them, basic consumption will focus on meeting residents' basic service needs, establishing a consumption bottom line, covering areas such as catering, accommodation, domestic services, and elderly care; improving consumption will cover specific areas such as culture, tourism, sports, and entertainment, precisely fitting the residents' quality of life needs, with policy measures such as improving service networks and increasing tax and fee incentives to strengthen support; and new consumption will focus on digital consumption and health consumption, covering multiple scenarios such as smart business districts, live-streaming e-commerce, and internet-based healthcare, leveraging digital technology to drive innovation and upgrade consumer formats.