MNI BRIEF: China Prices Low Due To Economic Transition - NBS

China’s prices have remained generally low as upward price pressure from new growth drivers remain insufficient to offset the downward trend of traditional sectors, Sheng Laiyun, spokesperson of the National Bureau of Statistics told reporters on Wednesday. 

Sheng highlighted the distinct structural and cyclical characteristics of the nation's price fluctuations, noting steel from 2016 to 2019 rose by an average of about 9%, before slowing to 0.9% between 2020 to 2024.

China is likely to further boost fiscal spending and relax restrictions on consumption to boost domestic demand as the U.S. hits the nation’s exports with 104% tariffs, a prominent economist and senior policy advisor told MNI. (See MNI INTERVIEW: China To Boost Stimulus In U.S.)