China’s economic landscape reflects cautious optimism as recent data indicates that non-manufacturing sectors, including services and construction, returned to expansion, according to the latest official PMI report. This turnaround marks progress, yet China’s economy continues to face significant headwinds, growing at its slowest pace since early 2023 in the third quarter.
The struggling property sector remains a particular challenge, with limited signs of improvement. Amid these pressures, Beijing is intensifying efforts to meet its annual growth target by implementing a range of economic support measures. In September, the government introduced a set of monetary stimulus initiatives and specific policies aimed at stabilizing the property market.
Following these moves, China’s top leaders met at the Politburo and pledged to pursue “necessary spending” to restore economic momentum. This commitment underscores Beijing’s determination to navigate current economic hurdles and steer the nation back toward a more robust growth trajectory, despite the ongoing challenges within its real estate sector.