15.09.202602:06:24UTC+00China Retail Sales Miss Expectations

China’s retail sales rose 0.4% year-on-year in August 2026, down from a 0.6% increase in July and below market expectations for a 0.8% gain. Demand for big-ticket items remained weak, with automobile sales dropping 18.5%. Sales of furniture (-7.9%), building materials (-11.8%), and gold and silver jewelry (-17.5%) also declined. Excluding automobiles, however, retail sales grew a more solid 2.5%.

In contrast, several categories posted strong growth. Sales of communication equipment surged 27.3%, while tobacco and alcohol rose 12.5%. Cultural and office supplies increased 5.8%, and cosmetics sales were up 4.9%.

By segment, catering revenue edged up 1.1%, and sales of goods increased 0.3%. Online retail sales of goods grew 4.3% in the first eight months of the year.

On a month-on-month basis, retail sales fell 0.13% in August, following a marginal 0.01% rise in the previous month. Over the January–August period, total retail sales increased 1.1% year-on-year, while sales excluding automobiles advanced 2.7%.