Chinese Economy

US drafting ban on Chinese energy inverters over security concerns

The proposed rules would restrict imports of new foreign inverter models amid concerns that Chinese-made equipment could pose risks to the US power grid

China's factory activity returns to expansion on AI-driven demand surge

The official manufacturing PMI rose to 50.3 in June, exceeding market expectations and signalling renewed growth in the sector

China's retail sales fall for first time since 2022 as consumption slows

Retail sales, a key gauge of consumption, slid 0.6 per cent in May, reversing April's 0.2 per cent rise and below the estimated 0.0 per cent, the first monthly fall since December 2022

China's economic slowdown revives calls for stronger stimulus measures

Weak retail sales, industrial output and investment data raise pressure on Beijing to step up policy support amid global energy turmoil

China's April growth slows as factory output, retail sales miss forecasts

Retail sales, a gauge of consumption, rose just 0.2 per cent in April, cooling sharply from 1.7 per cent in March and marking the weakest gain since December 2022

China's April producer inflation hits 45-month high on energy price shock

The producer price index (PPI) increased 2.8 per cent from a year earlier, National Bureau of Statistics (NBS) data showed

China's economic model may be flawed, but hasn't short-changed consumers

The prevailing consensus tells us more about China watchers than it does about realities on the ground. We should be wary of "China bashing" masquerading as a concern for Chinese consumers

China's economy grows at 5% in Q1, shrugging off initial impact of Iran war

China's economy accelerated in the first quarter of this year, expanding 5% from a year earlier as it largely shrugged off impacts from the Iran war so far, according to data released Thursday. The January-March data released by the government, covering a period during which the Iran war began, was better than what economists expected and was up from the 4.5% growth seen in the October-December quarter. Economists expect China to be able to weather short term impacts from the Iran war, now in its seventh week. The war is pushing energy prices higher, worsening inflation and impacting global economic growth. But longer term, areas including global demand for Chinese exports could take a hit. The International Monetary Fund this week lowered its economic growth forecast for China to a 4.4% expansion for 2026. Chinese leaders last month set an economic growth target of 4.5 per cent to 5% for this year, the slowest since 1991.

China to gain as Iran war-driven energy crisis boosts shift to clean tech

China is poised to benefit from the Iran war as global energy disruptions accelerate a shift away from fossil fuels and toward clean technologies and renewable power, industries that China dominates. Most of the oil and gas from the now mostly shut Strait of Hormuz was Asia-bound. Asian nations are scrambling to conserve energy and bolster dwindling reserves. As a temporary ceasefire teeters, gasoline prices in the US and Europe are spiking. While most of Asia is hit hard, China will likely benefit from the fossil fuel disruptions despite being the biggest purchaser of Iranian oil. China leads the world in battery, solar and electric vehicle exports, and its industries are forecast to face a rise in demand for renewable products. Before the start of the Iran war in late February, China's lead in clean technologies was lengthening. The US under President Donald Trump scaled back on renewable energy and leaned on its vast oil and gas resources, promoting energy exports to achieve what

China's factories slip back into inflation on Iran war price shock

An input-cost shock to the world's largest manufacturing base threatens jobs and wages, with around a quarter of firms already operating at a loss after years of overcapacity and price wars

Iran conflict may ease China deflation fears, dimming rate cut bets

Unlike most economies, China didn't see the sharp spurt in inflation that followed reopening from the pandemic

China drains cash from economy in rare move during oil price shock

Taken together, commercial banks likely recorded their first net repayment of PBOC loans since last May, according to Bloomberg calculations based on official data

China inflation hits 3 year high after holiday boost as oil shock looms

Core CPI, which excludes volatile items such as food and energy, hit 1.8 per cent - the highest since 2019

China's $23.9 bn port push: How Beijing is reshaping global maritime trade

A new global report shows Beijing has financed hundreds of port projects across continents, expanding its role in maritime trade infrastructure

China hikes defence budget to $275 bn as military modernisation accelerates

China on Thursday hiked its defence budget to USD 275 billion, about USD 25 billion more than last year as it ramped the modernisation of armed forces to catch up with the US military. Roughly 1.9 trillion yuan (about USD 275 billion) will be allocated to national defence, Chinese Premier Li Qiang announced in his work report presented to the National People's Congress (NPC) on Thursday. The report said China's defence spending remains comparatively modest across key relative indicators, including its share of GDP, per capita defence expenditure, and defence expenditure per military personnel, it said. Last year China announced a 7.2-per cent increase for its national defence budget to USD 249 billion for 2025 which is a USD 17 billion rise compared to 2024. China's defence spending, only second to that of the US, has been growing over the years putting enormous pressure on India and other neighbouring countries to scale up their defence budgets in the face of economic challenges.

China sets low growth target of 4.5% to 5% for 2026 amid property slump

China has set an economic growth target of 4.5 per cent to 5 per cent for this year, a slight decrease in the face of a prolonged property slump and other headwinds and uncertainty abroad. The target was announced on Thursday in an annual report being presented by Premier Li Qiang at the opening session of this year's meeting of the National People's Congress. The report set the goal and added "while striving for better in practice." The target was lowered from about 5 per cent in each of the last three years. The economy grew 5 per cent last year. Setting a range of 4.5 per cent to 5 per cent gives the government more leeway to adjust policies this year.

Easy money in China drives metals rally as real economy struggles

While overseas experience has proven invaluable in other economies, it appeared to play a diminished role in India's contemporary tech ecosystem

China factory activity contracts in Jan, manufacturing PMI drops to 49.3

Sub-indexes of new orders and new export orders also saw declines, respectively down to 49.2 from 50.8 in December and 47.8 from 49.0 in December

China's population falls 17% in 2025 despite policies to boost births

How do you convince a population to have more babies after generations of a policy that limited families to just one? A decade after ending China's longtime, one-child policy, authorities are pushing a whole range of ideas and policies to try and encourage more births, ranging from cash subsidies to taxing condoms. The efforts haven't paid off yet. At least, that is what population figures released Monday show for what is now the world's second-most populous nation. China's population of 1.4 billion continued to shrink, marking the fourth straight year of decrease, new government statistics show. The total population in 2025 stood at 1.404 billion, which was 3 million less than the previous year. The statistics illustrate the stark demographic pressures the country faces. The number of new babies born was just 7.92 million in 2025, a decline of 1.62 million, or 17%. The latest birth numbers show the slight tick upwards in 2024 was not a lasting trend. Births declined for seven year

The Chinese conundrum: Consumption glut versus export-driven growth

China's private consumption expenditure has been stagnating in the range of 34-40 per cent for the last two decades