Yet, judging from recent data, market commentators are lamenting one after another that the post-reopening recovery of China has fizzled out and that deeper, longer-term structural issues are catching more attention than before.
Taxi drivers are often seen as one of the most dependable observers of societal conditions. Citing his conversations with them, from Beijing to Suzhou to Shanghai, OCBC economist Tommy Xie concludes that China’s atmosphere is “notably pessimistic”. “All taxi drivers I interacted with believed they were earning less this year for various reasons. One common element cited was the increasing competition from new drivers, many of whom turned to driving as a last resort after losing their jobs,” relates Xie in a recent report.
Such pessimism was not expected. When China finally lifted its pandemic-related curbs after three years, locals, businesses and investors across the world were expecting a quick recovery.
