China’s Consumers Pull Back as Economic Anxiety Deepens Despite Push to Boost Spending

Residents and merchants across China say weak incomes and job uncertainty are pushing consumers to cut spending and seek cheaper goods.

Shoppers walk on a street at a shopping district in Shenzhen, China, on April 3, 2025. Getty Images

China’s long-running effort to revive domestic consumption is showing fresh signs of strain, as merchants and residents in major cities say consumers are spending less, avoiding discretionary purchases, and increasingly turning to cheaper alternatives amid mounting economic uncertainty.

Official data appears to reflect the broader pullback in consumer activity.