China’s economic recovery could be ‘very impressive’ but the U.S. stands in the way, Deutsche Bank says
China’s economy is improving and could register “very impressive” growth — but the U.S. is the biggest risk that could derail that recovery, a Deutsche Bank economist said on Monday.
Much of the global economy is still reeling from lockdown measures imposed to contain the coronavirus pandemic. Restrictions that include workplace closures and stay-at-home orders significantly cut down economic activity worldwide — dampening any prospects for growth this year.
But China, where the coronavirus first emerged, is often cited as one of the few economies that could still grow. The Chinese recovery is “going to look very impressive” with a growth of 5%-6% quarter on quarter in April-June, following a contraction in the previous three months, said Michael Spencer, Deutsche Bank’s chief economist and head of research for Asia Pacific.