China's Retail Sales Exceed Expectations Despite Trade War and Economic Challenges

• China's retail sales in May surged to 6.4% year-on-year growth, surpassing the projected 4.9% and significantly improving upon April's 5.1% increase, offering a positive outlook for the nation's economy amidst ongoing trade tensions with the US.

• This growth, however, contrasts with a weaker-than-expected 5.8% increase in industrial production, highlighting a disparity in economic sectors and suggesting that consumer spending is a more resilient aspect of the Chinese economy.

• Despite the positive retail sales figures, the National Bureau of Statistics (NBS) acknowledges persistent economic challenges, including a slump in domestic consumption, a property sector debt crisis, and falling commercial property prices, indicating continued consumer caution.

• While China aims for approximately 5% economic growth this year, the ongoing trade war with the US remains a significant factor, with recent talks between trade delegations yielding positive communication but no concrete lasting agreement, leaving the overall economic outlook uncertain.

https://www.freemalaysiatoday.com/category/...de-war-tensions

it is AFP to be specific