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Tag: economy

International worries as China's consumption and economy slows

International worries as China's consumption and economy slows

Business
Picture China's economy and you might be thinking of massive factories, gigantic airports or train stations built from scratch in 24 hours. For another view, you could follow Xu Liqiang as he threads the streets of Beijing in a beaten-up tuk-tuk (motorised rickshaw).Xu is 21 years old and a "kuaidi" (express delivery) driver. Each day 100 million packages are delivered in China and they're delivered by people like him. It's part of a boom in Chinese consumption that has driven growth in global GDP over the last decade.But today, work is slow. "After Double Eleven [an online shopping festival], the packages have been getting less and less with time," he tells me.Xu lives in a dormitory provided by his employer with three other kuaidi drivers. He moved to Beijing from Shanxi ...
How worried should we be about China's economy?

How worried should we be about China's economy?

Business
The cracks in China's economy appear to be widening, with signs of weakening growth amid a background of trade tensions. Adding to the worries, China's stock market was the world's worst performer last year, ending with a loss of 28%. This week Apple said slowing sales in China meant it would not meet sales expectations, triggering sharp falls on global stock markets.The tech giant isn't alone. A string of other companies have issued warnings recently over China's slowdown and the impact of the trade war with the US.Among those are carmakers such as General Motors, Ford and Fiat Chrysler. Luxury vehicle maker Jaguar Land Rover has also warned of slowing Chinese sales. US carmakers hit by tariff disputes ...
UK economy slows as car sales fall

UK economy slows as car sales fall

Business
Growth in the UK's economy has slowed as car sales fell and the manufacturing sector stalled, the Office for National Statistics (ONS) has said.The economy grew by 0.4% in the three months to October, slower than the 0.6% in the three months to September."GDP growth slowed going into the autumn after a strong summer, with a softening in services sector growth mainly due to a fall in car sales," said the ONS's Rob Kent-Smith.GDP grew by 0.1% in October.Mr Kent Smith, who is head of national accounts at the ONS, said there had been strong growth in IT and accountancy which had offset the fall in car sales.However, he added: "Manufacturing saw no growth at all in the latest three months, mainly due to a decline in the often-erratic pharmaceutical industry."C...
Economy resilient but cold winter lies ahead

Economy resilient but cold winter lies ahead

Business
The economy is growing at the fastest rate since the end of 2016.Not just that, the growth came from almost every part of the economy. Unlike in many previous quarters, where the economy was kept afloat primarily by a strong performance from the dominant services sector, this time around the only sector of the economy to shrink was the government. There is, as yet, little evidence from the national accounts that companies across the UK are doing much stockpiling.For all the scare stories about panicked building up of inventories, the numbers show that across the economy these are increasing only very slightly.Moreover, at this current pace, the UK is growing at a faster rate than the eurozone. Hurrah, right?Well, wait for the bad news. Actually when you look not at the overall quarterly ...
Economy grows by 0.6% despite September 'weakness'

Economy grows by 0.6% despite September 'weakness'

Business
The UK economy expanded by 0.6% in the three months to September - its strongest quarter in almost two years - but there are growing signs of a slowdown ahead of Brexit. Early official figures from the Office for National Statistics (ONS) - which were in line with the forecasts of economists and the Bank of England - pointed to a hot summer boost for consumer spending.This rose 0.5% on the previous three months. The figures also showed a 2.1% output increase from construction after weather disruption earlier in the year and manufacturing also picking up.But the ONS said demand took a hit in September as temperatures cooled - with business investment contracting at the fastest pace since early 2016 as attention turned to uncertainties over the country's future trading rela...