·         Fresh data from China’s National Bureau of Statistics (NBS)for the first two months of 2022 suggests some activity has rebounded after several easing policies were put in place earlier this year.

·         Industrial output increased by 7.5% YoY, the strongest annual growth figure since June of last year.

·         Fixed asset investment in infrastructure and manufacturing increased by 10.5% and 20.9% YoY, respectively.

·        China’s housing market has remained under pressure in 2022 despite the recent policy measures aiming to encourage more spending. Floor space under construction increased by 1.8% YoY, the lowest growth figure since April 2018 according to the data.

·        Initiated floor space totaled 108.3m cumulative squared meters, declining by 14.9% YoY and 20.3% below pre-pandemic levels.

·       The steel-intensive automobile sector, however, has started off the year in better shape. Production increased by 20.6% YoY to 1.8m units.

      ·        Following a surge in Covid-19 cases, fresh lockdowns present the latest risk to the Chinese economy’s recovery, with the steel manufacturing hub of Tangshan one of the latest cities to introduce restrictions.