BEIJING, 18 May 2026 – China’s economy lost momentum in April as industrial output and retail sales slowed sharply, raising fresh concerns over the strength of domestic demand and the sustainability of the world’s second-largest economy’s recovery.
Industrial production expanded 4.1% year-on-year in April, down from 5.7% in March and below market expectations of 5.9%. The monthly increase was only 0.05%, pointing to a much weaker pace of factory activity after a stronger start to the year. For the first four months of 2026, industrial output still rose 5.6%, supported by equipment manufacturing and high-tech manufacturing.
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