China's fiscal revenue increased by 11.5% in the first seven months of 2023, but the growth rate was slower than the previous six months, indicating a potential decline in the economy's momentum.
China's economy, which has been a model of growth for the past 40 years, is facing deep distress and its long era of rapid economic expansion may be coming to an end, marked by slow growth, unfavorable demographics, and a growing divide with the US and its allies, according to the Wall Street Journal.
China's previous economic model of investing in infrastructure and manufacturing led to a period of rapid growth and global export success.
China is implementing measures to boost household spending, ease property policies, increase car purchases, improve conditions for private businesses, and bolster financial markets in an effort to revive the economy's recovery and improve the business environment.
Consumer spending in China rebounded in August, with all categories, including apparel, automotive, food, furniture, appliances, and luxury, experiencing increased sales compared to July, according to a survey by the China Beige Book. Retail sales in July rose by 2.5% year-on-year, raising concerns about China's economic growth, but the August survey showed a surge in spending, particularly in the services sector, which saw continued strength in travel and hospitality. Additionally, corporate borrowing increased as the cost of capital declined, indicating a boost in business activity. However, China's property sector continued to worsen, with house prices barely growing and home sales declining.
China's manufacturing activity contracted for a fifth consecutive month in August, putting pressure on officials to provide support to boost economic growth amid weak domestic and international demand.
Chinese factory activity unexpectedly grew in August, fueled by improving local demand and an increase in new orders, although the Chinese economy still faces challenges due to weak external demand and a potential real estate crisis.
U.S. manufacturing activity rose in August, but the sector remains in contraction territory according to the Institute for Supply Management, suggesting that a sustained recovery is unlikely amid a weakening global economy.
China's services activity expanded at its slowest pace in eight months in August, as weak demand and stimulus measures failed to revive consumption, according to a private-sector survey.
China's official manufacturing PMI rose to 49.7 in August, indicating a slight improvement in domestic demand, while the non-manufacturing PMI fell to 51, suggesting a slowdown in the services sector; however, the composite PMI remained in expansion territory, indicating a modest cyclical recovery is likely.
China's economic growth has slowed but has not collapsed, and while there are concerns about financial risks and a potential property crisis, there are also bright spots such as the growth of the new energy and technology sectors that could boost the economy.
China's factory output and retail sales grew at a faster pace in August, but declining investment in the property sector poses a threat to the country's economic recovery.
China's credit is expanding rapidly, with total social financing increasing by over 3 trillion yuan in August, mainly driven by government financing, indicating positive signs of economic stabilization and recovery from the slump in the second quarter. Additionally, recent policy measures, particularly in fiscal and property sectors, are expected to further stimulate the economy.
China will accelerate the introduction of policies to consolidate its economic recovery, focusing on deepening reforms and further opening up, after the economy showed signs of stabilizing, according to state media.
Profits at China's industrial firms decreased by 11.7% in the first eight months of the year, but the pace of decline eased slightly, suggesting a modest recovery is taking place due to policy support measures.
China's small economic rebound appears to have stalled in September, with weak retail sales, manufacturing production, and loan growth, raising concerns about anemic third-quarter growth and the country falling short of its growth target.
China's economy is showing signs of a stronger recovery, with indicators such as increased activity around shopping malls, a pickup in cement manufacturing, and a surge in traffic congestion, suggesting renewed consumer confidence and a positive direction for the construction sector.
China's factory activity expanded at a slower pace in September, with sluggish external demand weighing on the outlook, although output increased, according to a private-sector survey.
China's official manufacturing purchasing managers' index (PMI) indicates expansion for the first time since March, suggesting that the Chinese economy may be regaining momentum, while bumper travel figures during the Golden Week holiday are also seen as a positive sign, despite concerns over the troubled property sector.
The Chinese economy is predicted to grow about 5.7 percent in the fourth quarter, surpassing the 5 percent annual growth target, driven by unleashed services consumption potential, accelerated infrastructure investment, and growth in high-tech and private manufacturing investment, according to the BOC Research Institute.
China's economy is expected to slow in the third quarter due to weakened demand, but increased government support may help Beijing achieve its full-year growth target.
China's economy has regained momentum in the third quarter, with GDP expanding by 4.9% from a year ago, putting Beijing's annual growth target of around 5% within reach, although challenges such as the real estate sector and an aging population remain.
China's economy grew at a faster pace than expected in Q3, with GDP increasing by 4.9% year-on-year, indicating that recent stimulus measures are starting to have a positive impact on the country's recovery.
U.S. business output grew in October as the manufacturing sector rebounded from a contraction, and services activity increased, indicating that the economy is withstanding rising interest rates and inflationary pressures.
China's industrial profits rose for a second consecutive month in September, indicating a stabilizing economy driven by supportive policy measures and a recovery in industrial and consumption activity.
The US economy expanded at a robust 4.9% annual rate in the third quarter, driven by consumer spending, despite concerns about inflation and rising interest rates, but growth is expected to slow in the current quarter and beyond.
