China’s Economy Slows Sharply as Housing Troubles Squeeze Spending
Why did Chinese consumers spend more cautiously recently?
Chinese consumers spent more cautiously recently due to a real estate crash and concerns over the country's economic future, leading to a decline in consumer confidence. This has resulted in a shift towards more modest spending, with consumers opting for lower-priced brands and focusing on essential items.
What caused China's economic growth to slump this spring?
China's economic growth slumped this spring due to a real estate crash, causing consumers to spend more cautiously. The latest growth statistics for the world's second-largest economy revealed a 0.7% increase in the second quarter over the previous three months, falling short of economists' expectations.
How much did China's economy grow in the second quarter?
China's economy grew 4.7% in the second quarter of this year from a year ago, according to the National Bureau of Statistics. This growth was slower than the 5.3% growth China posted in the first quarter of 2024 and missed the 5.1% growth analysts polled by Reuters had expected.