BEIJING — Despite rising global tensions and domestic hurdles, China’s factories are showing unexpected strength, offering a glimmer of hope in uncertain times.
New data released on Monday by the National Bureau of Statistics (NBS) revealed that industrial production in April rose by 6.1% compared to the same time last year. While that’s slightly slower than the impressive 7.7% growth seen in March, it still surpassed forecasts, beating Bloomberg’s 5.7% prediction.
In simple terms, China’s manufacturing sector—often considered the heartbeat of the economy—is holding its ground, even as it faces stiff US tariffs and a cooling housing market.
“The national economy withstood pressure and grew steadily in April,” said a statement from the NBS. But the bureau didn’t shy away from the tough truth: China’s economy is navigating “a complex situation of increasing external shocks and layered internal difficulties.”
There’s cautious optimism on the global front too. Just last week, China and the US agreed to temporarily ease off on mutual tariffs—at least for 90 days. It’s a pause that brings some relief to industries and markets watching the growing trade friction with concern.
Back home, however, challenges remain. Consumer spending, a key driver of any healthy economy, is still underperforming. Retail sales grew by 5.1% in April—short of expectations and down from 5.9% in March. Meanwhile, the job market saw a slight improvement, with unemployment dipping from 5.2% to 5.1%.
Zhiwei Zhang, president of Pinpoint Asset Management, noted that despite the turbulence, China’s economic activities were only “marginally softened.” He believes the tariff relief could further stabilize things in the coming months.
But it’s not all silver linings. The property market—once booming—is now a shadow of its former self. Prices for new homes fell in 67 out of 70 major cities last month, signaling continued caution from buyers.
Still, amid all the complexity, China’s factories are humming. In a world full of uncertainty, that alone is something to take note of.
