Two-speed economy: China's exports soar, consumers exercise restraint
Between July and September, the Chinese economy grew more strongly than expected. The main driver was exports of tech components. But what happens when the global AI boom subsides?
China's economy grew 4.5% between July and September, surpassing most experts' expectations, driven by a surge in tech exports, particularly in memory chips and smartphones. The country's exports rose 36.3% in September, with a trade surplus of $133.5 billion. However, domestic demand remains weak, with retail sales increasing only 1.1% in September, and the property market crisis continues to weigh on consumer confidence.
The export boom, fueled by the global AI boom, may be at risk if the trend reverses, potentially leading to significant declines in corporate profits and job losses.
Written by urgent.news from NZZ Wirtschaft's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
