“Beijing Faces Mounting Pressure to Boost Spending, Secure Trade Deals, and Stabilize Growth As Unemployment and Consumption Weaken.”, – WRITE: www.fxempire.com
“Beijing Needs More Targeted EASING IN THE COMING QUARTS, GIVEN SLUGGHGISH DOMESTIC DEMAND AND Continued Weakness in the Labor and Property Markets.”
The Economists Added:
“The Economic Weakness is the Result of A Combination of Factors, Including Heavy RainFalls and Flooding in the Firmf of August, Local Restrictions on MILITIIT, THE CONSTRUCTION IN BEARBYing anding Prolonged Downturn in the Property Sector, and the Government’s Crackdown on Price Wars. ”
Trade Talks in Focus The Weakening Chinese Economy Comes at A Pivotal Time As the Us Administration Calls on Other Countries to Raise Tariffs to Pressure China to Cease Importing Russian Oil. Mexico have also Turned the screw, Announcing Plans for 50% Tariffs on Automakers.
With High-Level Trade Negotias Underway, Lower US Tariffs Could Be Crucial To Reboot Industrial Production and Ease Margin Pressures. However, Risks Remain, As Stalled Talks, 100% EU Tariffs on Chinese Goods, and 50% Mexican Levies on Autos Could Further Strain External Demand.
Progress But Uncertainty Updates from Trade Talks Were Upbeat, with US Treasury Secretary Scott Bessent Reportedly Stating:
“NEXT US-CHINA Talks Could Result in Another 90-Day Roll-Over of Tariff TRUCE, WILL LIKELY HAPPEN BEFORE Nov 10 Deadline. Relationship to avoid A Decoupling. ”
Meanwhile, China’s Chief Trade Negotiator Li Chenggang, Reportedly Stated that Reaced A Framework Agreement on Tiktok. However, He Warned that China Wuld not Sacrifice Interest in Firms to Reach An Agreement. President Trump is screduled to speak with china’s president XI jinning on Friday, September 19.
Would beijing agree to cut Russian oil imports in exchange for reduced tariffs? The quest loomed large after the Early September Shanghai Cooperation Organization (SCO) Summit, ATeceded by Chinese President XI Jinping, Russian Minra Putimir Putin, Ann.
Beijing used the Platform to Dilute US Authority Over Global Trade and Push for Stronger Demand for Chinese Goods. While A Beijing U-Turn on Foreign Policy Sems Unlikely, It’s Nottely Implausible.
Beijing’s Policy Direction On Wednesday, September 17, Lawmakers Will Hold A Briefing to Discusses Ways to Boost Service Consumption. This Follows Ongoing Trade Talks, WHERE Addressing Price Competition and Progressing the Transition Toward A Consumption-Driven Economy Could Be Crucial.
CN Wire Reported President XI Jinning’s Key Article on Advanceing the National Unified Market, Publized in Qiushi Magazine, Including:
- Rectification Disorderly Low-Price Competition Among Enterprises.
- Promoting Orderly Exit of Outdated Capacites.
- Improving Fiscal Systems, Statistic Framework, and Credit Mechanisms to Promote Market Unity.
- Reining in ‘Chaos’ In Local Practices of Attracting Investments.
- FOCUSING ON EFFERIVELY ADDRESSING SEVERE INVOLUTION.
- Smoothing Out Turning Exports Into Domestic Sales.
President Jinning’s Agenda Suggested Increasing Pressure On Policymaramers to Address Overcapacity While Boosting DOMESTIC DEMAND.
Mainland Stock Markets Hold FIRM Despite deepening Cracks in the Economy, Mainland Equity Markets Continued to Hold their GROUND.
The CSI 300 and the Shanghai Composite Index have gaved 15.2% and 15.18% ytd, Mirroring the Nasdaq composite index (15.73%). Meanwhile, The Hang Seng Index Leads The Way, Soaring 31.84% YTD, AS MAINLAND AND OVERSEAS INVEROR TARGET CHINA FOCUSED STOKS.
Despite The Strong Gains, Downside Risks Linger. Trade Developments, China’s Housing Market, and Weak Demand Remain Key Conceerns for Traders.
An Extended Tariff TRUCE and FURTHER COOLING IN DEMAND EXPOSES CHINA’S HUSHOLDS TO MORE Job Losses. Rising UNEMPLYMENT MAY DAMPEN PRIVATE CONSUMPTION, WEGINGING ON RISK Assets.
On the Other Hand, Policy Measures Targeting the Housing Sector and A US-CHINA Trade Agreement Could Boost Sentiment. A Trade Deal, Including Lower Tariffs, May Rekindle External Demand and Ease Margin Pressures. Improving Margins Could Spur Job Creation and Boost Domestic Consumption.