Oct 08, 2021 08:11 PM

Analysis: Five Things to Watch in China’s Economy in the Fourth Quarter

A view of Beijing’s central business district. Photo: VCG
A view of Beijing’s central business district. Photo: VCG

Entering the four quarter, it seems the Chinese economy is facing more headwinds than tailwinds. Most of the headaches are acute, but real solutions hinge on longer-term structural changes. Here are developments that we should be watching closely, plus one factor that has been quietly looming in the background, influencing everything.

The first issue at hand is the pandemic and its long-lasting effects. Consumer spending has been the sole weak point throughout China’s year-long recovery. The latest retail sales data only reaffirmed the trend, foreshadowing weaker growth in the coming months.

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