Beijing – 15 December 2025 – China’s retail sales grew by just 1.3 % year-on-year in November, the slowest pace in almost three years and well below economists’ forecasts of around 2.9 %, official data released on Monday by the National Bureau of Statistics showed.
The November figure, which decelerated sharply from 2.9 % growth in October, underscores the ongoing difficulty Beijing faces in reviving domestic consumption despite a series of stimulus measures introduced over the past year.
Total retail sales of consumer goods reached 4.39 trillion yuan ($618 billion) last month. For the first eleven months of 2025, cumulative retail sales rose 4.0 % to 45.61 trillion yuan, with urban areas recording 3.9 % growth and rural areas 4.4 %.
Most major categories weakened significantly. Sales of household appliances and audio-visual equipment plunged 19.4 %, worsening from a 14.6 % decline in October. Automobile sales fell 8.3 %, building and decoration materials dropped 17.0 %, and petroleum products declined 8.0 %. Even traditionally resilient segments slowed: food, grains and oil rose 6.1 % (down from 9.1 %), clothing and textiles 3.5 % (from 6.3 %), cosmetics 6.1 % (from 9.6 %), and gold, silver and jewellery 8.5 % (sharply lower than October’s 37.6 %). Communication equipment was one of the few bright spots, up 20.6 %, though still slower than the previous month.
Online sales of physical goods remained relatively robust, growing 5.7 % in the January–November period to 11.82 trillion yuan and accounting for more than a quarter of total retail sales.
Industrial output grew 4.8 % year-on-year in November, slightly below expectations but broadly in line with recent trends. Fixed-asset investment continued to decelerate, reflecting ongoing weakness in the property sector.
National Bureau of Statistics spokesperson Fu Linghui acknowledged that, while market sales maintained growth and service-sector retail accelerated, the economy still faces “multiple challenges from external instability and uncertainty as well as insufficient effective domestic demand.”
Analysts pointed to several factors behind the consumption slump: the prolonged property crisis continues to erode household wealth and confidence; deflationary pressures persist, with consumers delaying purchases in anticipation of lower prices; the early timing of the Singles’ Day shopping festival shifted some demand into October; and the fading impact of government trade-in subsidies for cars and appliances contributed to sharp declines in big-ticket items.
The weak data adds pressure on policymakers ahead of the annual Central Economic Work Conference, where leaders are expected to outline priorities for 2026. Recent measures, including expanded consumer-goods trade-in programmes and ultra-long special treasury bonds, have provided temporary support, but many economists argue that bolder steps – such as direct cash transfers to households or deeper social-safety-net reforms – may be needed to sustainably boost spending.
With external headwinds also intensifying, including potential new trade barriers, the November retail figures serve as a stark reminder that rebalancing China’s growth model toward greater reliance on domestic consumption remains a formidable challenge.
