In China … the price of goods decreased to the highest rate in six months

Official data showed on Wednesday that consumers in China recorded its largest decline in six months, with the consumer price index decreased by 0.4% compared to last year, after July witnessed stability in the lineage.

Economy expert Zishon Huang of Capital Economics said that this decline reflects the volatility of food prices, and indicates that economic improvement has not yet been achieved, amid weak local demand and the slowdown in the real estate market for years, which presses the second largest economy in the world. The price of monthly consumer goods in August increased by 0.6%, while producers fell by 2.9%, after they had declined 3.6% in July, continuing the series of declines that started since late 2022. China is facing great challenges in promoting local consumption after the Kofid-19 pandemic, with the real estate sector debt crisis and high unemployment rates among young people. Exports also recorded a 4.4% increase compared to last year, but they did not reach the level of Beijing’s expectations, with the continued trade tensions with the United States. Commenting on the situation, Dong Leguan, an expert in the National Office for Statistics, confirmed that the decrease in the consumer price index is due to the impact of the high comparison base and a limited rise in food prices, considering that the deflationary environment may continue in the near term without improvement big.