Joy hits China as the country reaches its growth target, even after many geopolitical situations, trade and tariff war with the U.S. China thanks its $1.19 trillion trade surplus (exports to other countries) for this growth. Despite such promising growth, internal issues still remain, such as the housing crisis, and property investment fell by 17.2% last year. Plus, the country’s population fell by 3.4 million, and the government is working on offering incentives to have more children. That’s why experts doubt the official 5% growth figure. What’s happening on the ground doesn’t match the number. Learn more. China’s Economy: Exports vs Domestic Situation AspectWhat’s HappeningWhat It MeansEconomic growthOfficial growth was 5% last year.China met its government target.Main growth driverExports and manufacturing.Growth is coming from selling goods abroad. Trade surplus$1.19 trillion (world’s largest ever).Factory output did better, growing 5.2%, up from 4.8% in November. Exports far exceeded imports.The U.S. tariff pause on China will expire in November 2026, and this number may change.Domestic spendingPeople are spending cautiously.Weak demand inside China.Retail salesRose only 0.9% in December.Slowest consumer spending growth in 3 years.Property marketHouse prices fell 2.7% year-on-year in December. The housing crisis is deepening. Fact: Real estate once made up about 25% of China’s economy.Property… Read MoreStartupTalky- Business News, Insights and Stories
