China’s economy slowdown deepens in August with retail sales, industrial output missing expectations

The economic slowdown in China deepened in August with a large group of major indicators that lack expectations, with the continued weak demand for domestic demand and Beijing campaign against excessive production.

Retail sales increased last month by 3.4 % from the previous year, and the data of the National Bureau of Statistics showed Monday, and analysts have lost the growth of 3.9 % growth in a Reuters poll and slowed out of 3.7 % growth in July.

Industrial product growth slowed to 5.2 % in August, compared to 5.7 % jumping in July, which represents its weakest level since August 2024, according to LSEG data. Economists expected the data to be unchanged from the previous month.

The fixed asset, which was reported on an annual basis, has expanded by only 0.5 %, with a sharp slowdown in expansion by 1.6 % in the period from January to July, and economists’ expectations without growth of 1.4 %.

Within this sector, the contraction in real estate investment worsened, and decreased by 12.9 % in the first eight months, as government data showed.

Chinese -based urban unemployment rate in August reached 5.3 %, increasing above 5.2 % in the previous month. The Statistics Office attributed the high unemployment rate to the graduation season.

“We must realize that there are many unstable and unconfirmed factors in the external environment (the external environment, and national economic development is still facing multiple risks and challenges.”

“We must completely implement macro policies, focus on maintaining employment, companies, market … stable expectations, deepening reform, openness and innovation, in order to enhance fixed and healthy economic development.”

This is urgent news. Please update for updates.