Economic Growth Decelerates in November
China's economic performance showed a notable slowdown in November 2025, with both factory output and retail sales registering weaker growth rates. Official data released by the National Bureau of Statistics (NBS) on Monday indicated that the nation's value-added industrial output expanded by 4.8 percent year-on-year. This figure represents a deceleration from the 4.9 percent growth recorded in October and fell short of market expectations of a 5.0 percent increase. The November industrial output growth marks the weakest rate of expansion since August 2024, making it a 15-month low.
Retail Sales Post Weakest Performance Since 'Zero-COVID' Exit
Consumer spending, a critical component of China's economy, also experienced a significant downturn. Retail sales grew by just 1.3 percent year-on-year in November 2025, a sharp drop from the 2.9 percent growth seen in October and considerably below forecasts of around 2.8-2.9 percent. This marks the slowest yearly rise in retail sales since December 2022, a period directly following China's rapid dismantling of its stringent 'zero-COVID' policies.
Underlying Factors and Official Commentary
The slowdown is largely attributed to persistent weak domestic demand, a prolonged property crisis, and the diminishing impact of consumer trade-in subsidies. Fu Linghui, a spokesperson for the National Bureau of Statistics, acknowledged that while China's economy maintained a 'generally stable momentum' in November, it still faces 'multiple challenges of external instability and uncertainty as well as insufficient effective domestic demand.'
Implications for Policy and Future Outlook
The latest economic figures are intensifying pressure on policymakers in Beijing to implement further stimulus measures and structural reforms. Analysts suggest that the data underscores the challenges in revitalizing the economy and balancing efforts to manage financial risks with the need to boost demand. The weak November prints are expected to influence policy priorities for 2026, with an immediate focus on arresting the slide in consumption and investment.
8 Comments
Africa
While the slowdown is concerning, especially with retail sales, China has immense fiscal power. They can likely implement effective stimulus measures.
Comandante
The data clearly indicates challenges like the property market and weak domestic demand. However, China's long-term economic resilience and industrial base shouldn't be underestimated.
Bermudez
The property crisis is clearly having a ripple effect. This article nails it.
Habibi
Retail sales were bound to normalize after the Zero-COVID bounce. Expected.
ZmeeLove
The 15-month low in factory output is a red flag for global supply chains. Still, China has a history of adapting and pivoting its economic strategy quite rapidly.
lettlelenok
A 15-month low? That's a significant downturn. Not good.
Noir Black
This slowdown is more serious than Beijing wants to admit.
Katchuka
Every economy has ups and downs. This is just a temporary blip.