Insight
China economic focus May 2025: manufacturing sector’s strategy for trade war
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
The Chinese economy showed resilience after the escalation of the tariff war with the US. However, we expect the negative impact of the tariffs to kick in in H2 2025. China’s manufacturers face long-term supply chain reshuffle, with strategies varying depending on the sectors. The government can help alleviate the burden on manufacturers during this transition through: improving the trade environment, providing financial support and expanding domestic markets.
Table of contents
- Executive summary
- Resilience amid tariff pressure
- Chinese manufacturers’ strategic decisions
- The role of the Chinese government
- Appendix
Tables and charts
This report includes the following images and tables:
-
China’s export by region in the first four months of 2025China’s policy rates: loan prime rates (LPR)Wood Mackenzie's proprietary China data
-
Manufacturing PMIIndustrial production and retail salesTradeInflationPropertyInvestmentMoney supply (M2)Required reserve ratio
What's included
This report contains:
Other reports you may be interested in
Insight
China economic focus September 2026: a strategic pause in investment
The government chooses to prioritise debt resolution and energy security over new projects.
$1,150
Insight
China economic focus May 2026: the Middle East war scenarios
We assess the impact of the energy crisis on China’s economy based on the assumed duration of the Middle East conflict.
$1,150
Insight
China economic focus June 2026: the slowdown deepens
Falling transport fuel demand reveals a slowdown in China's economy since April, caused by weak domestic demand and high energy prices.
$1,150
