China's Economic Balancing Act: Navigating Stimulus Amid U.S. Trade Tensions

China's industrial growth accelerated in November, unlike retail sales, which remained sluggish, prompting Beijing to consider increased stimulus amid looming U.S. trade tariffs under Trump's second term. With a fragile economy, Chinese leaders aim to boost domestic demand and manage property market concerns.

China's economic performance in November reveals a complex picture as industrial output saw a slight increase while retail sales lagged, signaling ongoing challenges for Beijing amid anticipated trade tensions with the U.S. under the second Trump administration.

According to data from the National Bureau of Statistics, China's industrial output in November rose by 5.4% year-on-year, surpassing forecasts, yet retail sales reflected only a 3.3% increase. This disparity comes despite significant online shopping events and government incentives designed to stimulate the economy.

In response, Chinese officials are set to intensify efforts to boost domestic demand, reaffirmed by recent government meetings aimed at modifying monetary policy and supporting the housing market, which continues to face hurdles amid structural economic transitions.

(With inputs from agencies.)