China's Weak Consumption Drags On Economy

China's industrial output growth slightly accelerated in November, but retail sales underperformed, maintaining pressure on Beijing to increase stimulus for a fragile economy.

China's domestic consumption remains weak, and trade relations with the U.S. are poised to worsen.

The country is also preparing for the possibility of additional U.S. trade tariffs under President Trump’s second term, Kevin Yao and Ethan Wang reported for Reuters.

The data reflects the significant challenges facing Chinese leaders as they approach 2025. Domestic consumption remains weak, and trade relations with the U.S. are poised to worsen.

"China's economy appears to have slowed last month, despite tailwinds from recent policy easing," said Julian Evans-Pritchard, head of China economics at Capital Economics.

"We doubt that stimulus can deliver anything more than a short-lived improvement, not least because the current strength of export demand is unlikely to last once President Trump begins implementing his tariff threats."

China's industrial output grew by 5.4% in November year-on-year, slightly up from October's 5.3% and surpassing the 5.3% growth anticipated in a Reuters poll, according to the National Bureau of Statistics.