China’s export surge fails to lift economy from slowest quarter

China’s economic growth slowed to its weakest pace in the final quarter, despite a surge in ￰0￱ gap is expected to prompt the Communist Party to push for higher domestic spending at its key conference next ￰1￱ slowdown stems from escalating US-China trade tensions , which have sharply reduced investment, industrial output, and retail sales, weighing on overall global sales ￰2￱ say the National Bureau of Statistics’ data, due Monday, October 20, will likely show GDP grew 4.7% in the third quarter year-on-year, down from 5.2% in the previous ￰3￱ call for a shift towards promoting consumption to enhance China’s economy China’s economy has struggled in the last quarter, sparking endless debates among economic ￰4￱ anticipate that a discussion may be held among party officials concerning this situation at the upcoming fourth plenum in ￰5￱ meeting will outline their adopted strategies for the country’s development between 2026 and 2030, as governments and investors call for a shift towards increasing domestic ￰6￱ of analysts who weighed in on the topic of discussion include Michelle Lam and Wei Yao from Societe Generale ￰7￱ shared a report highlighting that several policymakers believe stimulating consumption is crucial to counterbalance the risks associated with US President Donald Trump’s tariff policies and declining returns on investment in traditional ￰8￱ analysts believe embracing a consumption goal will demonstrate a stronger commitment to this policy.

Meanwhile, after Trump was re-elected as president, high-ranking officials pledged to shift their focus toward promoting consumption by applying strategic approaches, such as increasing spending on education and job creation. Contrastingly, they have been too cautious in their moves and have not yet created a specific ￰9￱ China, household consumption accounts for approximately 40% of the country’s ￰10￱ percentage is less than the global average of 56%, according to data from the World Bank. Additionally, it lags behind the nearly 60% observed in wealthier ￰11￱ the situation, economists from Morgan Stanley, including Robin Xing, stated in a report last week that they anticipate the main focus for policies will be technological self-sufficiency, innovation, and national ￰12￱ the same time, there might be some support for gradual reforms to social ￰13￱ undergoes nine consecutive quarters of deflation Overall, China’s economy appears strong this year, growing near the government’s target of about 5%.

This has resulted from the strong performance of industries such as high-tech manufacturing, with exports reaching new highs. Still, beneath the surface, economic vulnerabilities are ￰14￱ prices and intense competition are eroding company profits, while consumer demand is ￰15￱ housing market, on the other hand, remains weak, and investment is ￰16￱ data next week will likely confirm that China has experienced nine consecutive quarters of deflation, a streak of falling prices not seen since the market-based reforms began in the late 1970s. *:pointer-events-auto scroll-mt-calc(var(--header-height)+min(200px,max(70px,20svh)))" dir="auto" data-turn-id="request-WEB:5bacff32-abaf-4591-a7eb-259f581c4786-65" data-testid="conversation-turn-6" data-scroll-anchor="true" data-turn="assistant"> In related news, the Group of Seven finance ministers agreed to present a united front and coordinate a short-term response to China’s export controls on rare ￰17￱ also plan to diversify their supply chains, European Economic Commissioner Valdis Dombrovskis announced ￰18￱ on the sidelines of the International Monetary Fund meetings in Washington, Dombrovskis stated that China now dominates the global supply chains for rare earths, with 80-90% of them sourced from China.

“It was clear that G7 partners have shared concerns about those new extensive Chinese export controls, expanding both the scope of minerals covered, but also in terms of covering the value chain and having quite extensive extraterritorial provisions,” Dombrovskis ￰19￱ noted that they agreed on one hand to coordinate this work and their engagements with Chinese counterparts to seek some short-term solutions. Still, he added that they needed to continue the work, which is not new, on diversifying and enhancing the resilience of our supply ￰20￱ a premium crypto trading community free for 30 days - normally $100/mo.