The News
China reported stronger-than-expected economic growth but warned of stark challenges ahead.
The world’s second-largest economy grew at an annualized rate of 5.4% in the first quarter, offering authorities a buffer in their efforts to reach their target of 5% growth for the year, ING’s chief China economist noted.
However, massive US tariffs and pressing domestic issues, including elevated unemployment, falling prices, and a heavy debt burden, may force Beijing to roll out further monetary or fiscal stimulus: A Chinese statistics agency official said the “more complex and severe” trade picture would put a “certain pressure” on the economy.
In a sign that China still holds some hope of negotiating with Washington, the country appointed a new trade envoy Wednesday.
