The Conference Board China Economy Watch: Demand recovery is significantly lagging production resumption | The Conference Board
The Conference Board uses cookies to improve our website, enhance your experience, and deliver relevant messages and offers about our products. Detailed information on the use of cookies on this site is provided in our cookie policy. For more information on how The Conference Board collects and uses personal data, please visit our privacy policy. By continuing to use this Site or by clicking "OK", you consent to the use of cookies. 

The Conference Board China Economy Watch: Demand recovery is significantly lagging production resumption


April 2020 | China Center Publications

The March data, while much improved from the Jan-Feb crater, show broad-based weakness across all major drivers: investment, consumption and trade. Moreover, the March readings do not reflect the collapse of global demand, now in progress due to the global spread of COVID-19, that will bring a major, second wave hit to the Chinese economy. The big concern for China’s economy regards weakening employment, its impact on household income, and in turn the impact of weakening household income on aggregate Chinese consumption. Bottom line, the March data do not indicate that a strong V-shaped recovery is in store for China in Q2. MNCs should prepare for prolonged down-market conditions. One potential silver lining, however, is that the economic stress will induce some, perhaps much, consolidation of weak Chinese competitors, hence enabling market share gains for strong foreign players that could offset the slower market growth.



Support Our Work

Support our nonpartisan, nonprofit research and insights which help leaders address societal challenges.

Donate

AUTHOR

YuanGao.jpg

Yuan Gao

Senior Economist
China Center for Economics and Business

ECONOMY WATCH | CHINA CONTENT

Year-end data indicate improving growth momentum

February 10, 2020 | CHINA CENTER PUBLICATIONS

More pro-growth policy measures expected in early 2020

January 03, 2020 | CHINA CENTER PUBLICATIONS

October data may show early sign of cyclical bottom

December 06, 2019 | CHINA CENTER PUBLICATIONS

OTHER RELATED CONTENT

WEBCASTS

Economy Watch

Economy Watch

July 08, 2020

Economy Watch

Economy Watch

August 12, 2020

Economy Watch

Economy Watch

September 09, 2020