Archive · 2 Jun 2025

China Deflation Concerns Deepen Amid Trade Truce, Economists Predict

China Deflation Concerns Deepen Amid Trade Truce, Economists Predict

Imagine things in China are getting cheaper, which sounds good, but it's causing problems.

Economists are worried because prices are falling, and that can hurt businesses and people's jobs.

Even though China and the US are having a trade break, which helps trade, it's not helping the price situation.

Economists now think prices won't go up as much as they thought before.

To try to help, the government might not give as much extra money to the economy, which could make things harder.

So, it's a bit like a seesaw where one thing goes up and another goes down, and it's tricky to keep things balanced.

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