China’s November consumption misses estimate, adds urgency to stimulus

Retail sales grew by just 3.0 per cent last month, while property investment also continued to drag, falling by 10.4 per cent in first 11 months

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A quality inspector checks crankshafts at a factory which produces the mechanical component for both the domestic market and export in Binzhou in China’s eastern Shandong province. Photo: AFP

Sylvia Main Hong KongandJi Siqiin Beijing

Published: 10:03am, 16 Dec 2024Updated: 12:03pm, 16 Dec 2024

China’s consumption growth slowed in November, as did property investment, while the industrial sector showed limited signs of recovery, underscoring challenges to Beijing’s push for an “all-around” expansion of domestic demand in 2025 amid external uncertainties.

Retail sales, a key indicator of consumption, increased by 3 per cent year on year last month, down from the 4.8 per cent growth in October, according to data released by the National Bureau of Statistics (NBS) on Monday.

The reading missed estimates of 5.3 per cent growth projected by economists polled by Chinese financial data provider Wind.

China’s overall fixed-asset investment – covering major items such as infrastructure, manufacturing and property construction – rose by 3.3 per cent in the first 11 months of the year, compared with the 3.4 per cent increase from January to October.

Property investment, which has been a major drag of the economy, fell by 10.4 per cent year on year from January to November, compared with the 10.3 per cent fall in the first 10 months of the year.

NBS spokesman Fu Linghui said the earlier start of China’s “Double 11” shopping festival this year had pulled some sales forward into October, partly leading to the slowing of retail sales growth last month.