{"id":233413,"date":"2025-12-15T04:20:06","date_gmt":"2025-12-15T04:20:06","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/233413\/"},"modified":"2025-12-15T04:20:06","modified_gmt":"2025-12-15T04:20:06","slug":"chinas-economy-stalls-in-november-as-calls-for-reform-grow","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/233413\/","title":{"rendered":"China&#8217;s economy stalls in November as calls for reform grow"},"content":{"rendered":"<ul data-testid=\"Summary\" class=\"summary-module__summary__QjADA\">\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Factory output, retail sales grow at weakest pace in over a year<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Data highlight weak domestic demand alongside record trade surplus<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Policymakers face rising calls to rebalance economy away from export reliance<\/li>\n<\/ul>\n<p>BEIJING, Dec 15 (Reuters) &#8211; China&#8217;s factory output and retail sales grew at their weakest pace in over a year in November, compounding challenges for policymakers who are struggling to find fresh ways to keep the $19 trillion economy humming.<\/p>\n<p>With Beijing&#8217;s consumer trade-in subsidies fading, a drawn-out property crisis and industrial investment risking further deflation, officials have leaned on exports to support growth.<\/p>\n<p data-testid=\"promo-box\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__promo-box__hVl8h\"> Sign up  <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/china\/chinas-factory-output-retail-sales-weaken-november-2025-12-15\/undefined?location=article-paragraph&amp;redirectUrl=%2Fworld%2Fchina%2Fchinas-factory-output-retail-sales-weaken-november-2025-12-15%2F\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">here.<\/a><\/p>\n<p>That strategy now looks increasingly unsustainable as trading partners around the world bristle at China&#8217;s <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/asia-pacific\/chinas-november-exports-top-expectations-imports-underperform-2025-12-08\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">$1 trillion trade surplus<\/a> and look to erect import barriers.<\/p>\n<p>Industrial output rose 4.8% year-on-year, National Bureau of Statistics (NBS) data showed on Monday, the weakest pace since August 2024, slowing from 4.9% in October. It missed a 5.0% increase forecast in a Reuters poll.<\/p>\n<p>Retail sales, a gauge of consumption, grew 1.3%, their weakest pace since December 2022 when China rapidly dismantled its strict zero-COVID regime, below 2.9% in October and forecasts for a 2.8% gain.<\/p>\n<p>&#8220;Strong exports limited the need to turbocharge domestic demand this year, and the trade-in subsidies have started to run out,&#8221; said Xu Tianchen, senior economist at the Economist Intelligence Unit.<\/p>\n<p>&#8220;I think policymakers have turned their attention to 2026, since the around 5% growth target seems within reach for this year, so there&#8217;s little additional motivation for further stimulus.&#8221;<\/p>\n<p>BEIJING STRUGGLING FOR FRESH IDEAS<\/p>\n<p>Economists say the economy has passed the point at which further stimulus would provide an effective fix.<\/p>\n<p>The International Monetary Fund last week urged Beijing to <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/finance\/imf-urges-china-speed-up-structural-reform-raises-growth-forecasts-2025-12-10\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">speed up<\/a> structural reform and take action over the property sector, with some 70% of Chinese household wealth tied up in real estate.<\/p>\n<p>China&#8217;s new home prices fell further in November, alongside declines in property investment and home sales.<\/p>\n<p>In a sign of further strain, annual car sales slumped 8.5%, the steepest decline in 10 months, dimming hopes of a year-end rebound in an industry that typically sees strong sales in the final two months of a year.<\/p>\n<p>&#8220;The economy slowed across the board in November, and weak retail sales were particularly noteworthy,&#8221; said Zhang Zhiwei, chief economist at Pinpoint Asset Management. &#8220;The recent contraction in investment and the continued decline in the property market have been transmitted to consumer confidence.&#8221;<\/p>\n<p>Even the <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/chinas-singles-day-shopping-festival-winds-down-with-muted-sentiment-sales-2025-11-12\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">Singles&#8217; Day shopping festival<\/a> &#8211; which stretched to five weeks this year &#8211; failed to excite consumers.<\/p>\n<p>Fixed asset investment shrank 2.6% in January-November compared with the same period last year, after a 1.7% decline in January-October. Economists expected a 2.3% drop.<\/p>\n<p>GROWING TRADE HEADWINDS<\/p>\n<p>Government advisers and analysts say China is likely to pursue its current annual growth target of around 5% next year, as it seeks to kick-start a new five-year plan on a strong footing.<\/p>\n<p>But that could prove challenging, with both the World Bank and the IMF offering more conservative outlooks for China&#8217;s growth trajectory.<\/p>\n<p>At a <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/asia-pacific\/china-signals-it-will-rely-fiscal-stimulus-manage-economy-2026-2025-12-11\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">key economic meeting<\/a> last week outlining next year&#8217;s policy agenda, Chinese leaders promised to maintain a &#8220;proactive&#8221; fiscal policy to spur consumption and investment, while acknowledging a &#8220;prominent&#8221; contradiction between strong domestic supply and weak demand.<\/p>\n<p>Yet the dual focus on consumption and investment cements concerns that Beijing is not yet ready to ditch a production-driven economic model in favour of one that leans more on household spending.<\/p>\n<p>World leaders look to be lining up to put the brakes on China&#8217;s exports.<\/p>\n<p>French President Emmanuel Macron threatened Beijing with tariffs during his <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/china\/chinas-president-xi-jinping-met-french-president-emmanual-macron-beijing-2025-12-04\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">visit to China<\/a> and called on the country to correct &#8220;unsustainable&#8221; global trade imbalances.Mexico last week approved <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/mexicos-senate-approves-tariff-hikes-chinese-other-asian-imports-2025-12-11\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">tariff hikes<\/a> of up to 50% next year on imports from China and several other Asian countries, aiming to bolster local industry.<\/p>\n<p>&#8220;China&#8217;s economic development still faces numerous longstanding and emerging challenges,&#8221; the official summary of the Central Economic Work Conference said.<\/p>\n<p>&#8220;We must strengthen internal capabilities to cope with external challenges.&#8221;<\/p>\n<p data-testid=\"SignOff\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__extra_small__8Buss body-module__full_width__kCIGb body-module__extra_small_body__Bfz20 sign-off-module__text__LQAMP\">Reporting by Beijing Newsroom; Editing by Sam Holmes<\/p>\n<p data-testid=\"Body\" dir=\"ltr\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__element__5eCce article-body-module__trust-badge__5mS3f\">Our Standards: <a data-testid=\"Link\" target=\"_blank\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.thomsonreuters.com\/en\/about-us\/trust-principles.html\" rel=\"noopener nofollow\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__medium__2Rl30 text-module__small__sph8i link-module__link__INqxZ link-module__underline_default__-okuC link-module__with-icon__qlg76\">The Thomson Reuters Trust Principles., opens new tab<\/a><\/p>\n<p><a href=\"https:\/\/www.reutersagency.com\/en\/licensereuterscontent\/?utm_medium=rcom-article-media&amp;utm_campaign=rcom-rcp-lead\" target=\"_blank\" dir=\"ltr\" class=\"button-module__link__A3sD0 button-module__secondary__70gBu button-module__round__QDFgq button-module__w_auto__Sem-F\" data-testid=\"LicenceContentButton\" rel=\"nofollow noopener\">Purchase Licensing Rights<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Factory output, retail sales grow at weakest pace in over a year Data highlight weak domestic demand alongside&hellip;\n","protected":false},"author":2,"featured_media":233414,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[2786,82703,79,82500,53515,82538,82546,83395,82556,82549,82541,84149,82550,83396,84041,83397,83391,82530,83393,84146,82531,82710,85720,83394,82548,82551,85719,82702,83115,83116,179,84148,18,82578,45748,59750,19,82505,84369,17,83122,82565,82507,85212,82508,116861,82534,83362,84334,82533,88553,82707,83387],"class_list":{"0":"post-233413","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-asia","9":"tag-asxpac","10":"tag-business","11":"tag-cmpny","12":"tag-cn","13":"tag-destabx","14":"tag-destbnx","15":"tag-destc","16":"tag-destd","17":"tag-destdnp","18":"tag-deste","19":"tag-destef-markets-macromatters","20":"tag-destfun","21":"tag-destgro","22":"tag-destm","23":"tag-destmtl","24":"tag-desto","25":"tag-destocabsm","26":"tag-destoil","27":"tag-destortao","28":"tag-destousbsm","29":"tag-destseabs","30":"tag-destseatp","31":"tag-destsof","32":"tag-destu","33":"tag-destucdptest","34":"tag-destz","35":"tag-easia","36":"tag-eci","37":"tag-eco","38":"tag-economy","39":"tag-efmarkets-macromatters","40":"tag-eire","41":"tag-emrg","42":"tag-gen","43":"tag-hk","44":"tag-ie","45":"tag-inds","46":"tag-ipr","47":"tag-ireland","48":"tag-mce","49":"tag-mtpix","50":"tag-news1","51":"tag-plcy","52":"tag-pol","53":"tag-rws","54":"tag-topcmb","55":"tag-topicbusiness-tariffs","56":"tag-topicworld-china-slug","57":"tag-topnws","58":"tag-tracc","59":"tag-trd","60":"tag-trf"},"share_on_mastodon":{"url":"","error":"Validation failed: Text character limit of 500 exceeded"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/233413","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=233413"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/233413\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/233414"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=233413"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=233413"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=233413"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}