Domestic consumption still too low

One of the most crucial goals for China’s economic policymakers is to rebalance the country’s economic growth model, shifting towards more growth from domestic consumption rather than from inefficient fixed asset investments. However, economic data of recent years shows clearly, how challenging this shift of growth paradigm actually is. Now, China’s prevailing “zero-covid” policy and business-oriented support policies may make the process of adjustment even more difficult. ​

Last updated: 24. July 2025