INSUBCONTINENT EXCLUSIVE:
year, exceeding market expectations of a 0.5% decline.The Producer Price Index dropped even more sharply, sliding 2.2% year-on-year and
Food prices tumbled 3.3% from February 2024 levels, while non-food items edged down 0.1%.The monthly comparison shows a 0.2% decrease from
January, signaling persistent weakness in consumer demand and economic activity
Congress.However, independent analysts paint a different picture
Deepens as Economic Troubles Mount
(Photo Internet reproduction)Beijing plans to counter these economic headwinds with fiscal expansion
Officials expect to increase the budget deficit to 4% of GDP, the highest on record, while issuing 1.3 trillion yuan ($180 billion) in
Former US President Trump has reinstated tariffs on Chinese goods, with rates now reaching 20%
Experts warn even higher tariffs could slash Chinese growth by up to two percentage points.The current deflationary environment resembles
Chinese households have adopted cautious spending habits amid falling prices and property values.This behavior creates a vicious cycle where
consumers delay purchases, causing further price drops
Without significant reforms to boost domestic consumption and address structural imbalances, China risks falling into prolonged economic
stagnation.The February inflation data serves as another warning sign that the gap between official narratives and economic reality
