“The pressure facing the consumer market will increase and consumption growth is very likely to slow further.”Wang said softness in retail sales last year, which saw growth averaging 9% for the slowest in 15 years, was due to “periodic” weakness in car sales and housing-related spending, though other categories continue to post “relatively normal” growth. Japan’s Panasonic Corp last week cut its annual profit outlook after disappointing quarterly earnings it blamed on slowing Chinese demand for auto components and factory equipment. Retail sales growth during the just concluded Lunar New Year holidays slipped to its lowest since at least 2011, further evidence consumers remain cautious as the economy hits the brakes. However, Wang cautioned against becoming overly gloomy on the retail sector, saying government policy support measures should cushion the downside. More outcomes expected from US, China trade talksIndeed, the luxury goods market appeared to have been unscarred by the general slowdown in the retail sector.

Source: The Express Tribune February 12, 2019 07:28 UTC