Key facts
- China's fixed-asset investment contracted 4.1% in the first five months of 2024.
- This decline was worse than the expected 1.7% drop.
- Property development spending fell 16.2% in the same period.
- Investment outside of real estate decreased by 1.2%, the lowest since data began in 2024.
China's fixed-asset investment contracted by a worse-than-expected 4.1% in the first five months of the year, primarily due to a deepening property crisis and a rare decline in manufacturing spending. The contraction widened from the first four months and fell short of the 1.7% drop forecast by economists in a Caixin survey. Property development spending was a significant drag, tumbling 16.2% during the period. Excluding real estate, investment decreased by 1.2%, marking the lowest level since the data series began in 2024.