China's Conflicting Economic Signals Sow Confusion, Weaken Business Confidence
-
China is sending mixed economic policy messages, sparking confusion and hurting business confidence already weakened by a property crisis and geopolitical tensions.
-
Officials attribute vague messaging to balancing multiple goals and lack of coordination, but pledge clear support for growth.
-
However, President Xi prioritizes security over economy, while agencies charged with political stability resist yielding power.
-
Absence of annual Third Plenum policy planning meeting suggests disunity over economic direction going forward.
-
Entrepreneurs see little substance behind government rhetoric promising support, remain wary of industrial clampdowns.