According to The New York Times, which cited the Chinese government, the value of China’s exports to the globe fell by 8.8% in August from the same month last year. It was the fourth consecutive month that China’s exports to the rest of the world fell in value.
Likewise, the General Administration of Customs in China said that the country’s imports fell by 7.3% in August compared to the same month last year. The New York Times noted that the Chinese economy is presently being closely watched because of a decline in growth since the spring and a negative influence from property prices on investor and consumer confidence.
The most recent data showed that demand, both domestically and internationally, is still sluggish. There were several shipping delays as a result of China’s “zero-COVID” policy during the epidemic, notably the weeks-long lockdowns in Shanghai, Shenzhen, Guangzhou, and other significant industrial hubs and ports, as well as the departure of numerous expatriate managers for global corporations.
Households all across the world, including China, have changed their purchasing habits to favor travel, dining out, and other services since pandemic worries are now dissipating. While the epidemic was going on, many people had stored up on manufactured items. In August’s data, several facts were highlighted.
The most recent data showed that demand, both domestically and internationally, is still sluggish. There were several shipping delays as a result of China’s “zero-COVID” policy during the epidemic, notably the weeks-long lockdowns in Shanghai, Shenzhen, Guangzhou, and other significant industrial hubs and ports, as well as the departure of numerous expatriate managers for global corporations.
International decision-makers and investors are concerned about China’s economic downturn, according to CNN’s August 23 report. After falling more than 20% from its most recent top in January, Hong Kong’s Hang Seng (HSI) Index entered a bear market on Friday.
The Chinese yuan this week reached its lowest level in 16 years, leading the central bank to mount its strongest currency defense in history by fixing a rate to the dollar that was far higher than the projected market value.
A real estate crisis is becoming worse, consumer prices are falling, and exports are declining. According to CNN, young unemployment has grown so terrible that the Chinese government no longer publishes the statistics. There are concerns that the current state of the housing market might pose hazards to the country’s financial stability, as evidenced by the recent failure of a large Chinese homebuilder and a well-known investment firm to make payments to investors.
