Is China’s economic miracle nearing its end?

livemint.com:

real estate and infrastructure projects – and all three are sputtering. Since the shock of the global financial crisis of 2008, Beijing has tried to build a fminourth growth engine – domestic consumption. But the share of consumption in GDP growth is down to 32.8% from 54.5% in 2021.

The official narrative is that the economy has hit a soft spot, troubles will be brief, and the growth targets for the year can still be met. The politburo has described China’s post-covid economic recovery as a “wave-shaped development, and advancement with setbacks". After the GDP figures were released in July, Beijing pledged to build the private economy “bigger, better and stronger".

The National Development and Reform Commission’s (NDRC) measures for shoring up consumer confidence appear weak compared to the shock-and-awe stimulus administered after the global financial crisis of 2008. Chinese consumers “have very little confidence and are very concerned about the economy," Li Chunlin, vice chairman of China's National Development and Reform Commission said. During the covid-lockdowns, consumers in rich countries spent their stimulus checks to buy manufactured goods imported from China.

Beijing’s stimulus aims to give its own citizens more power to buy goods and services produced in China. It includes subsidies for electric cars and greater access to social housing. So far, the damage from the Biden administration’s moves to diversity away from China seems limited.