China’s economy started on a strong footing this year, with consumption and production both beating expectations as holiday spending and strong foreign demand provided an early boost. Retail sales for the first two months of the year rose 2.8% from a year earlier, according to data from the National Statistics Bureau on Monday, beating economists’ forecast for a 2.5% growth. That growth, however, reflected a notable slowdown from the 4% growth in the January-February period in 2025. Industrial output climbed 6.3%, also exceeding expectations for a 5% jump in a Reuters poll.

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