|After the U.S. tariff bomb, the growth rate 'worst'...Fourth quarter is expected to be more gray|
China's economic growth has declined for the third consecutive quarter due to the aftermath of the U.S.-China trade war, falling to its lowest level in nine years since the global financial crisis. The Chinese government is aggressively easing liquidity and increasing fiscal spending to prevent the economic downturn, but various economic indicators are still struggling. Some people are paying keen attention to China's economic direction as the Chinese economy is about to enter the stagflation phase, where economic recession and inflation coexist.
China's National Statistical Office announced on Wednesday that China's gross domestic product (GDP) grew 6.5 percent in the third quarter from the same period last year. This is the lowest level in nine years and six months since the first quarter of 2009 (6.4 percent), right after the global financial crisis. China's economic growth rate was 6.8 percent and 6.7 percent in the first and second quarters, respectively.
Right after the announcement of the economic growth rate in the third quarter, the West and China showed mixed views. As China's economic growth rate fell below the market forecast of 6.6 percent in the third quarter, Western countries accepted it as a "growth shock." "With the U.S.-China trade war escalating, China's industrial production index is showing sluggish trends and the stock market is also slowing," the Washington Post said. Reuters also predicted that China's large-scale debt reduction policy would slow the growth rate, but the economic growth rate in the third quarter was lower than expected, explaining that slowing growth is a major challenge for China's leaders who are fighting a trade war with the U.
On the other hand, China's State Bureau of Statistics spokesperson Mao Zong-Yung said, "As we grew 6.5 percent in the third quarter, we expect to achieve this year's target figure (6.5 percent)."
However, unlike the Chinese authorities' claims, China's real economy and financial sector are suffering from shock waves in the U.S.-China trade war.
| Post by : mostgurl15