China March 2022 Industrial production beats: +5.0% y/y (expected 4.5%). Retail sales miss

March 2022 economic activity data from China.

Industrial Production +5.0% y/y

• expected 4.5%, prior 7.5%
• for the YTD +6.5% y/y vs prior +7.5%

Retail sales -3.5% y/y (lockdowns impacting)

• expected -1.6%, prior 6.7%
• for the YTD +3.27%, vs. prior +6.72%

Fixed asset investment +9.3% y/y

• expected 8.5%, prior 12.2%

March Unemployment Rate 5.8%

• prior 5.5%

This March data has been impacted by lockdowns in various areas during the month, most notably in Shanghai. This is China’s largest city and a central powerhouse of the country’s economy. China’s National Bureau of Statistics acknowledged the difficulties facing the eocnomy in the month:

• “We must be aware that with the domestic and international environment becoming increasingly complicated and uncertain, the economic development is facing significant difficulties and challenges”
• “We must coordinate the efforts of Covid-19 prevention and control and economic and social development, make economic stability our top priority and pursue progress while ensuring stability, and put the task of ensuring stable growth in an even more prominent position”

And also held out the carrot of more support:

• the recovery continues with operations stable
• China will give economic growth stability a higher priority