China's Economic Growth Targets in Jeopardy Amid Slowing Industrial Output

New data shows weakening industrial production and consumer demand, raising concerns about deflation and missed GDP goals.

China's industrial production growth slowed to 4.5% in August, down from 5.1% in July, marking the slowest pace since March.
Retail sales growth decelerated to 2.1% year-over-year in August, compared to 2.7% in July, reflecting weak consumer demand.
Goldman Sachs and Citigroup have lowered their 2024 GDP growth forecasts for China to 4.7%, below the government's target of around 5%.
Economists warn that without stronger stimulus measures, China risks slipping into a deflationary trap and prolonged economic slowdown.
China's property sector continues to struggle with high vacancy rates and declining sales, further dragging down overall economic performance.