China's consumer confidence hits 2.5-year low

China’s November consumer confidence fell to its lowest level since early 2020. The latest consumer confidence data from China before the easing of pandemic measures showed that the measures were negatively suppressing consumption. According to research conducted by the US company Morning Consult, consumer confidence in the country fell to its lowest level since early 2020 in November. This year, the country had seen a downward momentum in consumer confidence due to the impact of pandemic measures. A recovery in consumer confidence is also expected with the easing of pandemic measures. In China, the impact of Covid-19 restrictions on the economy was clearly felt in cities with large populations and critical industries and businesses, especially in Shanghai, the country’s largest city, during the spring months. Economic performance measured in many areas fell to its lowest levels since the early months of the Covid-19 pandemic. Rising economic losses and social discontent had prompted the government to review the measures. The Beijing administration had announced that some Covid-19 measures were being relaxed. With the new application, it was reported that cases that do not show symptoms of the disease or show mild symptoms will be allowed to remain in quarantine at home, and the requirement to show health codes and test results, which have become part of daily life in the country, will be lifted, and the mandatory mass testing practice will be abandoned. The new approach was interpreted as a sign that China will change its strict epidemic control measures.