A steep drop in producer prices and sluggish consumer inflation signal growing strain on China economy, as trade tensions with the US mount and domestic stimulus efforts struggle to revive demand.

China faces deepening factory-gate deflation as trade war with US bites

Business & Economy: Deflation concerns deepen in China as consumer prices fall for the third consecutive month. This comes ahead of the US-China trade meet in Geneva on May 10.

China faces deepening deflation as consumer prices fall for third month due to US trade strain

China’s consumer prices fell into negative territory in February, marking the first deflationary trend in over a year. The national consumer price index declined 0.7 percent year-on-year, reversing a 0.5 percent gain in January, according to the Chinese National Bureau of Statistics.

Deflation hits China despite stimulus efforts

Japan is currently experiencing a sustained period of inflation after decades of battling deflation, which has caused significant economic challenges. Watch this report for more details!

Japan faces prolonged inflation after decades of deflation

China's economy faces a stark reality in 2025: prolonged consumption slowdown and the longest deflationary cycle since the 1960s. According to economists, this exposes a crucial weakness likely concealed by a GDP recovery at last year's end.

China faces longest deflation streak since Mao era in 1960s

Deflation in China is becoming increasingly difficult to reverse. If the world's second-biggest economy's prices continue to decrease for a seventh straight quarter, they will tie the record deflationary stretch set during the late 1990s Asian financial crisis.

What China's Persistent Deflation Means For The World

Signs of a downward spiral of deflation in China's economy is emerging. This casts doubt on the future of the world's second-largest economy and prompts demands for swift intervention. While wages are falling, data released on Monday showed that consumer price increase was almost nonexistent through much of the economy, with the exception of food prices. Bloomberg economics and experts at BNP Paribas predict that the gross domestic product deflator, a more comprehensive indicator of economic prices, would likely continue its current five-quarter decline until 2025. That would be the longest period of deflation in china since data tracking started in 1993. It's a cycle the world has seen before in japan, starting in the 1990s during a period that came to be known as its "Lost decades."

China's deflation to sprial further

Is Japan's lost decades to deflation coming to an end? According to a Bloomberg report quoting a local media house, japan is looking at calling an end to deflation officially soon. The Bloomberg report quoting Kyodo shows that the Japanese government will think about making the statement after looking at this year's wage talks to see if pay is going up at the same rate as prices.

Is Japan's pay increasing in line with prices?

China's deflation worries deepen. China's economic struggles post-pandemic are causing a global stir, as it faces a unique challenge of intensified deflation risks. Data adds worries over China's growth outlook for 2024. Watch to get more insights!

Chinese factory activity shrinks for third straight month

December saw the weakest rate of loan growth in China's history as the country's borrowing demand is still negatively impacted by poor business confidence. The central bank said that loans denominated in Chinese yuan increased by 10.4% during the month, the smallest growth in the data going back to 2003.

Weak business confidence continues to weigh on China

China's economic struggles post-pandemic are causing a global stir, as it faces a unique challenge of intensified deflation risks. Lockdowns and supply chain disruptions during heightened global demand led to excess supply when China reopened in 2023, pushing domestic and export prices into deflation. the impact? Plunging export prices, affecting major trading partners and potentially reshaping the world's economic dynamics.

Excess global supply pushes China into deflation

In a bid to attract cost-conscious consumers, Chinese retailers are strategically pivoting towards lower-priced goods and services. This shift, while aimed at boosting consumer spending, is raising concerns about the entrenchment of deflationary trends in China's economy.

Chinese retailers' shift to lower prices raises concerns of deepening deflation 

In this ever-evolving realm of global economics, few challenges are as formidable as inflation impacting nation's economies and our daily lives.

India: Retail down to 5.02% in September 2023

China has once again slipped into deflation in October, drawing attention to the challenges the country faces in stabilising growth through domestic demand. According to a report by Bloomberg, The National Bureau of Statistics reported a 0.

China slips into deflation as economic headwinds persist 

China's struggle against deflationary pressures continues, casting a shadow on the stability of its economic recovery as 2023 approaches its end. Economists surveyed by Bloomberg anticipate that the data to be released on Thursday will likely reveal a return to deflation in China's consumer prices for the month of October.

China faces persistent deflation challenges as economic fragility persists

Japan has been facing decades of deflation, a period of prolonged and generalized price decline. This has led to a number of economic problems, including stagnant wages and economic growth.

State of Japan's economy decoded: Bouncing back from deflation?

Japan may be at an inflection point in its 25-year battle with deflation as price and wage rises show signs of broadening, the government said on Tuesday, signalling its conviction the economy was nearing an end to prolonged stagnation.

Japan at 'inflection point' in 25-year battle with deflation: Government

At Nanchengxiang restaurants in Beijing, diners can treat themselves to a large breakfast buffet with three types of rice porridge, sour and spicy soup and milk at just 3 yuan ($0.

China slides towards deflation, with breakfast buffets costing just 40 cents

China's economy slumps into deflation. Consumer prices fell year on year. For the first time in more than two years.

China's economy slides into deflation. What are its impacts on the global economy?

For the first time since 2021, both consumer and producer prices have contracted in China, a telltale sign of deflation as demand weakens in the world's second-largest economy.

China slips into deflation as demand weakens across country

With the hope of elevating success in the EV sector, investors faced disappointment with the startups facing deflation in market shares along with surge in production.

World Business Watch: Electric vehicles startups face deflation amid surge in production

As China struggles to grapple with the virus, President Xi Jinping's "zero Covid" has been disrupting supply chains and along with the war in Ukraine, it has put pressure on the world economy.

Why Japan prefers higher inflation

Analysts expect producer price inflation to turn positive this year for the first time in more than four years

China's slowing wholesale deflation takes pressure off central bank

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