European companies are less upbeat about China’s vast market as its economy slows

By KEN MORITSUGU
Associated Press

BEIJING (AP) — An annual survey of more than 500 European companies has found that slowing growth in China is weighing on company plans to expand their businesses in the world’s second largest economy. China still ranks high as a place to invest, but the share of companies considering an expansion of their operations in the country this year fell to 42%, the lowest ever recorded. The government is launching programs to boost consumer spending, but confidence remains low because of a weak job market. The survey found that about one-third of the companies were optimistic about expanding their business this year, down from more than half in 2023, and only 15% were optimistic about profit growth.