To boost a faltering economy, the Chinese government has pledged more paid leave, higher wages, and more child care subsidies. This is in addition to a $41 billion discount program for a variety of products, including smartwatches, electric cars, dishwashers, and home furnishings.
Chinese consumers would be encouraged to open their wallets as a result of Beijing’s spending binge.
They are just not spending enough.
There was some good news on Monday. Retail sales increased by 4% in the first two months of 2025, according to official data, which is good news for consumption figures. However, both new and existing housing values continued to fall in comparison to the previous year, with the exception of a select cities, such as Shanghai.
