Businesses in China are feeling the effects of deflationary pressure as the Chinese economy slows, which could threaten Beijing’s stimulus initiatives if consumers put off making purchases.

Since February, demand has dropped for Nie Xingquan, a manufacturer of hand-made leather shoes; as a result, several stores have sold out of their existing inventory rather than reorder.

The source of this one, dropping pork prices, makes it more concerning than the one in late 2020/early 2021.

The fall in China’s real estate market has resulted in cheaper rent, furnishings, and appliances.