China’s youth unemployment rate falls slightly in December as Beijing pledges more support

China's youth unemployment rate (ages 16-24, excluding students) continued its decline in December, reaching 16.5%, a slight decrease from 16.9% in November. This marks the fourth consecutive month of improvement since peaking at 21.3% in June 2023. The decrease follows a record number of university graduates entering the job market over the summer. Despite the improvement, job competition remains fierce, and the Chinese leadership addressed employment for graduates and migrant workers at a central economic work conference in December. The government is pledging more support to address the mismatch between available skills and job vacancies amid deflationary pressures. Some students are finding the job market difficult to navigate, even with internship experience.

China's birth rate hit a record low in 2025, with only 7.92 million babies born, a 17% decrease from 2024 and a significant drop from 2016. This marks the lowest birth figure since records began in 1949. Consequently, China's population shrank for the fourth consecutive year, declining by 3.39 million to 1.4049 billion, the steepest annual decline on record outside of the famine period. The number of deaths also reached one of the highest totals in five decades, with 11.31 million people dying. Experts attribute the declining birth rate to factors such as young people's reluctance to marry and rising economic pressures, especially for women. The data was released by the National Bureau of Statistics on Monday.

In 2025, China's economy grew by 5 percent, according to the National Bureau of Statistics. This growth rate is considered one of the country's weakest economic performances in decades. Data released on January 19, 2026, revealed that the world's second-largest economy experienced a 4.5 percent growth in the final quarter of the year, ending in December. The figures indicate a slowdown in China's economic expansion compared to previous years. The report provides insight into the country's economic trajectory and potential challenges.

China's economy grew by 5% in 2025, meeting its official target despite challenges like trade tensions and a property crisis. While experts anticipated a negative impact from US tariffs, China achieved a record trade surplus by finding alternative markets. However, a four-year housing market decline, with prices down over 20% since 2021, has dampened consumer confidence and raised debt concerns. Deflation remains a concern, with consumer prices rising only 0.8% in 2025. Despite officials projecting continued growth, the December quarter saw a slowdown, and some analysts suggest official growth figures may be inflated. The economy is described as "K-shaped," with strong exports contrasting with weak retail sales.