Deflation, overcapacity, and lack of confidence present major hurdles for consumption in China and for the country’s economy at large.
While the Chinese government has long acknowledged these challenges, it has struggled to develop a comprehensive strategy to incentivize spending.
China Market Intelligence
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April 5th, 2024
April 3rd, 2024
China’s leadership is ramping up engagement with foreign business executives as the country works to increase foreign direct investment, which reached a 30-year low in 2023 amid poor sentiment from the business community driven by concerns over weak demand, overcapacity, geopolitical uncertainty, and long-standing regulatory issues.
April 3rd, 2024
After six months of anticipation, the Cyberspace Administration of China (CAC) finalized the Provisions on Facilitating and Regulating Cross-Border Data Flow on March 22, representing a pivotal step in the evolution of China's data governance landscape. The provisions serve as a final rule to the draft rule released in September 2023.
April 3rd, 2024
With Representative Mike Gallagher (R-WI) leaving Congress on April 19, House Speaker Mike Johnson (R-LA) was tasked with picking Gallagher’s replacement to chair the Select Committee on the CCP. Within a couple of days, Johnson chose Representative John Moolenaar (R-MI), a five-term congressman and current member of the select committee.
April 1st, 2024
I recently returned from three weeks in China, where I met with dozens of members, Chinese officials, the US Embassy in Beijing, the US Consulate in Shanghai, and our staff in Beijing and Shanghai. While there, I also attended the China Development Forum, and as many may already be aware, took part in a meeting with President Xi Jinping. Allow me to share insights and impressions below.
March 20th, 2024
On March 5, during the annual Two Sessions conference, China released its government budget report, which lays out how the state intends to spend in 2024. This year’s budget is conservative, with increases to revenue and expenditure in line with previous years. While it does introduce some new tools aimed at promoting self sufficiency in science and technology and consumption, it shows no indication of a shift away from supply side support. Many economists argue significant adjustments are...
March 20th, 2024
In Washington, the popular social media app TikTok is back in the spotlight after previous legislative efforts to rein it in abruptly stalled. Led by House Select Committee on the CCP Chair Mike Gallagher (R-WI) and Ranking Member Raja Krishnamoorthi (D-IL), the Protecting Americans from Foreign Adversary Controlled Applications Act would prohibit TikTok from being offered in app stores in the United States unless TikTok severs its relationship with ByteDance, its Chinese parent company....
March 7th, 2024
Macroeconomic targets offered few surprises.
The government is increasingly focused on managing long-term risks, with a greater willingness to address structural issues, such as debt and demographics.
February 29th, 2024
The business community is awaiting the imminent kick-off of one of the most critical inflection points on China’s annual political calendar.
Over half of China’s provinces have set 2024 GDP growth targets below their 2023 targets, indicating conservative growth expectations for the year.
February 21st, 2024
US-China trade in goods decreased 16.7 percent in 2023 to $575 billion after reaching a record high in 2022, according to data released by the US Department of Commerce on February 7. The decrease in bilateral trade reflects a drop in US goods exports to China and a plunge in US goods imports from China that far exceeded decreases in US-worldwide exports and imports.
