China AI advances while economy lags
The gist
China's AI-driven exports surged in August while youth unemployment hit 18.9 percent.
The split matters as Xi Jinping arrives in the U.S. for a state visit.
How it unfolded
- First half of 2026Domestic car sales fell markedly 20 percent from a year earlier and housing sales fell another 14 percent, adding to years of decline.
- Jun 2026Liu Shijin, former central bank adviser, proposed at a forum raising basic pension payouts for rural residents from $30 to $150 per month to shore up consumer demand.
- Jul 2026Li Daokui, former central bank adviser and Tsinghua University professor, said China's economy was "running too cold" and its booming high-tech sectors could not lift the larger base.