Shoppers are hopping across the border, where prices have dropped. Neighboring Asian countries could also be hit if Chinese companies dump their goods there among weak domestic demand.
According to official data published by the National Bureau of Statistics, China s consumer price index fell by 0.8 per cent in January 2024, compared to that of January 2023.
Consumer prices in China fell for the third straight month in December highlighting the risk of deflation, while exports expanded more than expected despite the weak global trade.
China deflation: The headline figure was dragged by a further slump in pork prices, down 30.1 per cent from a decline of 22 per cent in September, due to an oversupply of pigs as well as weak demand.