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China’s Economic Challenges

Lt. General Hooper explains China’s serious economic challenges, including a slowing economy, a fragile real estate sector, underemployment, and an aging population.

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By Charles Hooper
Published on January 20, 2026

Lt. General Hooper explains China’s serious economic challenges, including a slowing economy, a fragile real estate sector, underemployment, and an aging population. We also explore why China has been reluctant to implement deeper structural reforms, how economic interdependence between the two countries remains strong, and why talk of decoupling is more complicated than it sounds.

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

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