Part 14/16:

China’s economic outlook in 2025 appears grim. Foreign direct investment has collapsed by 92% from its 2022 peak, with the third quarter of 2025 seeing just 8.5 billion USD invested—over half less than before. This decline mirrors waning confidence among foreign businesses, with many citing deteriorating political stability, regulatory uncertainty, and rising labor costs.

Experts like Chen Xiao Nong warn that China's “economic miracle” has ended, forecasting a prolonged downturn. The employment landscape is deteriorating, with rising unemployment rates, especially among recent graduates, and signs of structural unemployment leading to social instability. Retail sales growth remains sluggish at just 3.2%, indicative of cautious consumer spending amid economic hardship.