With uncertainty remaining over the future of the economy amid the trade war with the US, sales of new vehicles have dropped in China, and there is speculation that sales for 2018 could drop below the previous year's figure.
National Bureau of Statistics of China spokesperson Mao Shengyong at a briefing on Friday explained that despite the macroeconomic headwinds applying "downward pressure" on the Chinese economy, growth remains strong, with the country firmly on track to hit its full-year economic growth target of 6.5%.
The trade war between the United States and China is beginning to weigh on business sentiment among small to medium-sized employers, with overall confidence for the fourth quarter at its lowest level since the beginning of a year ago, according to a new survey.
The economy is now going through a structural transformation that comes with a transition from traditional driving forces to new ones, he said.
The comments came just hours before Chinese data showed a deeper-than-estimated economic slowdown, and a day after Donald Trump took new steps to escalate his trade war with Beijing.
Cutting interest rates and boosting public spending would allow many companies to borrow money and invest in fixed assets, but make it more hard for the Chinese government to normalize the financial system. And China's stock market has fallen by more than a quarter since a peak in January.
But now some say growth could slow even more dramatically next year.
Chinese stocks are having a awful year, as well, with the Shanghai composite index down almost 25%.
On a quarterly basis, growth slowed down to 1.6% from a revised 1.7% in the second quarter, in line with expectations of 1.6% growth.
As the trade dispute between the world's two largest economies shows no signs of ending, China's leadership is expected to be forced to give up structural reforms aimed at minimizing financial stability risks - a factor that would temporarily weigh on economic growth.
Washington has so far slapped $250 bllion of tariffs on Chinese products. He urged officials to step up efforts to promote "healthy" stock-market development while noting that equity valuations had dropped to historically cheap levels.
He appended that the government would pay more attention and take more measures to sustain the economy.
"Momentum for the economy to maintain steady growth has increased", People's Bank of China governor Yi Gang was quoted as saying. The Shanghai index .SSEC jumped 2.6 percent.
Retail sales slowed recently, prompting forecasting firm IHS Markit to lower its estimate for upcoming holiday sales growth from 5% to 4.7%.
September exports to the United States rose 13 percent despite the tariff hikes, down slightly from August's 13.4 percent. It has also commenced coming under coercion from USA tariffs on more than $250 billion of its exports.
- Chelsea 1 Manchester United 1
- Mexico processes second group of 45 migrants
- Manny Machado responds to Brewers calling him 'dirty player'
- Jenelle Evans Reportedly Called the Cops on David Eason
- The OnePlus 6T Might Work on Verizon
- Jose Mourinho plays down touchline melee after 'awful' Chelsea draw
- Iron Fist's Finn Jones Reacts to Luke Cage Cancellation
- Burger King creates 'Nightmare King' for Halloween
- Unai Emery delivers injury update on Arsenal defender Laurent Koscielny
- No Mega Millions victor , jackpot climbs to record $1.6 billion