China’s property market continued its downward spiral in the first half of 2025, with investment falling 11.2% year-on-year to 4.67 trillion yuan, according to the National Bureau of Statistics. Real estate sales by area dropped 3.5%, while new construction volumes plummeted 20% compared to the same period last year. Developers raised 6.2% less funding year-on-year, underscoring persistent weakness despite government pledges to stabilize the market.
Prime Minister Li Keqiang recently reiterated efforts to curb the sector’s decline, echoing similar commitments made in September 2024 that led to stimulus measures. Still, some economists predict Beijing will avoid aggressive support for now, aiming to preserve economic flexibility amid potential trade tensions with the U.S. Preliminary June data from UOB Kay Hian analysts Jie Li and Damon Shen points to sustained softening across the sector.
In contrast, China’s steel exports surged 9.2% to 58.15 million tons during January-June, driven by global demand despite a 8.5% month-on-month decline in June. Steel imports fell sharply by 16.4% to 3.023 million tons in the same period, indicating tightened domestic consumption and shifting trade dynamics in the industrial sector.
