Food prices are rising at a sensitive time. In March, Mr. Li, the premier, acknowledged that the economy faced pressures as Beijing lowered its expectations for growth this year. Wage increases have slowed, and unemployment is rising. China still suffers from excess factory capacity in cars, steel and other industries, meaning production could quickly ramp up if prices rise. Job losses are already a problem among young white-collar workers as the country’s tech sector has slowed over the winter and spring.

Source: New York Times June 04, 2019 07:00 UTC